reglab/statecodes huggingface dataset:
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.062. Applicability

Sec. 5.062.  APPLICABILITY.  (a)  This subchapter applies only to a transaction involving an executory contract for conveyance of real property used or to be used as the purchaser's residence or as the residence of a person related to the purchaser within the second degree by consanguinity or affinity, as determined under Chapter 573, Government Code.  For purposes of this subchapter, and only for the purposes of this subchapter:
(1)  a lot measuring one acre or less is presumed to be residential property; and
(2)  an option to purchase real property that includes or is combined or executed concurrently with a residential lease agreement, together with the lease, is considered an executory contract for conveyance of real property.
(b)  This subchapter does not apply to the following transactions under an executory contract:
(1)  the sale of state land; or
(2)  a sale of land by:
(A)  the Veterans' Land Board;
(B)  this state or a political subdivision of this state; or
(C)  an instrumentality, public corporation, or other entity created to act on behalf of this state or a political subdivision of this state, including an entity created under Chapter 303, 392, or 394, Local Government Code.
(c)  This subchapter does not apply to an executory contract that provides for the delivery of a deed from the seller to the purchaser within 180 days of the date of the final execution of the executory contract.
(d)  Section 5.066 and Sections 5.068-5.080 do not apply to a transaction involving an executory contract for conveyance if the purchaser of the property:
(1)  is related to the seller of the property within the second degree by consanguinity or affinity, as determined under Chapter 573, Government Code;  and
(2)  has waived the applicability of those sections in a written agreement.
(e)  Sections 5.066, 5.067, 5.071, 5.075, 5.079, 5.081, and 5.082 do not apply to an executory contract described by Subsection (a)(2).
(f)  Notwithstanding any other provision of this subchapter, only the following sections apply to an executory contract described by Subsection (a)(2) if the term of the contract is three years or less and the purchaser and seller, or the purchaser's or seller's assignee, agent, or affiliate, have not been parties to an executory contract to purchase the property covered by the executory contract for longer than three years:
(1)  Sections 5.063-5.065;
(2)  Section 5.073, except for Section 5.073(a)(2); and
(3)  Sections 5.083 and 5.085.
(g)  Except as provided by Subsection (b), if Subsection (f) conflicts with another provision of this subchapter, Subsection (f) prevails.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.091 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
Amended by:
Acts 2005, 79th Leg., Ch. 978 (H.B. 1823), Sec. 2, eff. September 1, 2005.
Acts 2015, 84th Leg., R.S., Ch. 996 (H.B. 311), Sec. 1, eff. September 1, 2015.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.0621. Construction With Other Law

Sec. 5.0621.  CONSTRUCTION WITH OTHER LAW.  (a)  Except as provided by Subsection (b), the provisions of this subchapter and Chapter 92 apply to the portion of an executory contract described by Section 5.062(a)(2) that is a residential lease agreement.
(b)  After a tenant exercises an option to purchase leased property under a residential lease described by Subsection (a), Chapter 92 no longer applies to the lease.
Added by Acts 2005, 79th Leg., Ch. 978 (H.B. 1823), Sec. 3, eff. September 1, 2005.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.0622. Additional Applicability: Certain Counties

Sec. 5.0622.  ADDITIONAL APPLICABILITY: CERTAIN COUNTIES.  (a)  This section applies only to a county with a population of less than 100,000 that is located in a metropolitan statistical area as defined by the federal Office of Management and Budget:
(1)  with a population of more than 1.5 million; and
(2)  adjacent to a different metropolitan statistical area as defined by the federal Office of Management and Budget with a population of more than 2.5 million.
(b)  The commissioners court of a county may adopt an order requiring an executory contract for the conveyance of land used or to be used as a residence located in the county to be subject to this subchapter.  The order must specify a method for determining whether the land is used or to be used as a residence.
(c)  The order may not include an executory contract for the conveyance of land:
(1)  described by Section 5.062(b), (c), or (d); or
(2)  that is to be used primarily for agricultural use, as defined by Section 1-d, Article VIII, Texas Constitution, or for farm, ranch, wildlife management, or timber production use within the meaning of Section 1-d-1, Article VIII, Texas Constitution, and for which no part of the land is to be used as a residence.
(d)  If a tract described by Subsection (c)(2) ceases to be used primarily for agricultural use or for farm, ranch, wildlife management, or timber production use, or any part of the land is used as a residence, the executory contract for the conveyance of the land may be included in an order authorized by this section.
Added by Acts 2021, 87th Leg., R.S., Ch. 911 (H.B. 4374), Sec. 1, eff. September 1, 2021.
Amended by:
Acts 2023, 88th Leg., R.S., Ch. 644 (H.B. 4559), Sec. 209, eff. September 1, 2023.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.063. Notice

Sec. 5.063.  NOTICE.  (a)  Notice under Section 5.064 must be in writing and must be delivered by registered or certified mail, return receipt requested.  The notice must be conspicuous and printed in 14-point boldface type or 14-point uppercase typewritten letters, and must include on a separate page the statement:
NOTICE
YOU ARE NOT COMPLYING WITH THE TERMS OF THE CONTRACT TO BUY YOUR PROPERTY. UNLESS YOU TAKE THE ACTION SPECIFIED IN THIS NOTICE BY (date) THE SELLER HAS THE RIGHT TO TAKE POSSESSION OF YOUR PROPERTY.
(b)  The notice must also:
(1)  identify and explain the remedy the seller intends to enforce;
(2)  if the purchaser has failed to make a timely payment, specify:
(A)  the delinquent amount, itemized into principal and interest;
(B)  any additional charges claimed, such as late charges or attorney's fees;  and
(C)  the period to which the delinquency and additional charges relate;  and
(3)  if the purchaser has failed to comply with a term of the contract, identify the term violated and the action required to cure the violation.
(c)  Notice by mail is given when it is mailed to the purchaser's residence or place of business. The affidavit of a person knowledgeable of the facts to the effect that notice was given is prima facie evidence of notice in an action involving a subsequent bona fide purchaser for value if the purchaser is not in possession of the real property and if the stated time to avoid the forfeiture has expired.  A bona fide subsequent purchaser for value who relies upon the affidavit under this subsection shall take title free and clear of the contract.
Acts 1983, 68th Leg., p. 3485, ch. 576, Sec. 1, eff. Jan. 1, 1984.  Amended by Acts 1993, 73rd Leg., ch. 444, Sec. 1, eff. Sept. 1, 1993;  Acts 1995, 74th Leg., ch. 994, Sec. 2, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.062 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.064. Seller's Remedies on Default

Sec. 5.064.  SELLER'S REMEDIES ON DEFAULT.  A seller may enforce the remedy of rescission or of forfeiture and acceleration against a purchaser in default under an executory contract for conveyance of real property only if:
(1)  the seller notifies the purchaser of:
(A)  the seller's intent to enforce a remedy under this section; and
(B)  the purchaser's right to cure the default within the 30-day period described by Section 5.065;
(2)  the purchaser fails to cure the default within the 30-day period described by Section 5.065;
(3)  Section 5.066 does not apply; and
(4)  the contract has not been recorded in the county in which the property is located.
Acts 1983, 68th Leg., p. 3484, ch. 576, Sec. 1, eff. Jan. 1, 1984.  Amended by Acts 1995, 74th Leg., ch. 994, Sec. 2, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.061 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.  Amended by Acts 2003, 78th Leg., ch. 959, Sec. 1, eff. Sept. 1, 2003.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 996 (H.B. 311), Sec. 2, eff. September 1, 2015.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.065. Right to Cure Default

Sec. 5.065.  RIGHT TO CURE DEFAULT.  Notwithstanding an agreement to the contrary, a purchaser in default under an executory contract for the conveyance of real property may avoid the enforcement of a remedy described by Section 5.064 by complying with the terms of the contract on or before the 30th day after the date notice is given under that section.
Acts 1983, 68th Leg., p. 3485, ch. 576, Sec. 1, eff. Jan. 1, 1984.  Amended by Acts 1995, 74th Leg., ch. 994, Sec. 2, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.063 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.  Amended by Acts 2003, 78th Leg., ch. 959, Sec. 2, eff. Sept. 1, 2003.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.067. Placement of Lien for Utility Service

Sec. 5.067.  PLACEMENT OF LIEN FOR UTILITY SERVICE.  Notwithstanding any terms of a contract to the contrary, the placement of a lien for the reasonable value of improvements to residential real estate for purposes of providing utility service to the property shall not constitute a default under the terms of an executory contract for the purchase of the real property.
Added by Acts 1991, 72nd Leg., ch. 743, Sec. 1, eff. Sept. 1, 1991.  Amended by Acts 1995, 74th Leg., ch. 994, Sec. 2, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.064 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.068. Foreign Language Requirement

Sec. 5.068.  FOREIGN LANGUAGE REQUIREMENT.  If the negotiations that precede the execution of an executory contract are conducted primarily in a language other than English, the seller shall provide a copy in that language of all written documents relating to the transaction, including the contract, disclosure notices, annual accounting statements, and a notice of default required by this subchapter.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.093 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.070. Seller's Disclosure of Tax Payments and Insurance Coverage

Sec. 5.070.  SELLER'S DISCLOSURE OF TAX PAYMENTS AND INSURANCE COVERAGE.  (a)  Before an executory contract is signed by the purchaser, the seller shall provide the purchaser with:
(1)  a tax certificate from the collector for each taxing unit that collects taxes due on the property as provided by Section 31.08, Tax Code;  and
(2)  a legible copy of any insurance policy, binder, or other evidence relating to the property that indicates:
(A)  the name of the insurer and the insured;
(B)  a description of the property insured;  and
(C)  the amount for which the property is insured.
(b)  The seller's failure to provide information required by this section:
(1)  is a false, misleading, or deceptive act or practice within the meaning of Section 17.46, Business & Commerce Code, and is actionable in a public or private suit brought under Subchapter E, Chapter 17, Business & Commerce Code;  and
(2)  entitles the purchaser to cancel and rescind the executory contract and receive a full refund of all payments made to the seller.
(c)  Subsection (b) does not limit the purchaser's remedy against the seller for other false, misleading, or deceptive acts or practices actionable in a suit brought under Subchapter E, Chapter 17, Business & Commerce Code.
(d)  If the executory contract is recorded, the seller is not required to continue insuring the property.
Added by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 996 (H.B. 311), Sec. 4, eff. September 1, 2015.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.071. Seller's Disclosure of Financing Terms

Sec. 5.071.  SELLER'S DISCLOSURE OF FINANCING TERMS.  Before an executory contract is signed by the purchaser, the seller shall provide to the purchaser a written statement that specifies:
(1)  the purchase price of the property;
(2)  the interest rate charged under the contract;
(3)  the dollar amount, or an estimate of the dollar amount if the interest rate is variable, of the interest charged for the term of the contract;
(4)  the total amount of principal and interest to be paid under the contract;
(5)  the late charge, if any, that may be assessed under the contract;  and
(6)  the fact that the seller may not charge a prepayment penalty or any similar fee if the purchaser elects to pay the entire amount due under the contract before the scheduled payment date under the contract.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.095 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.072. Oral Agreements Prohibited

Sec. 5.072.  ORAL AGREEMENTS PROHIBITED.  (a)  An executory contract is not enforceable unless the contract is in writing and signed by the party to be bound or by that party's authorized representative.
(b)  The rights and obligations of the parties to a contract are determined solely from the written contract, and any prior oral agreements between the parties are superseded by and merged into the contract.
(c)  An executory contract may not be varied by any oral agreements or discussions that occur before or contemporaneously with the execution of the contract.
(d)  The seller shall include in a separate document or in a provision of the contract a statement printed in 14-point boldfaced type or 14-point uppercase typewritten letters that reads substantially similar to the following:
THIS EXECUTORY CONTRACT REPRESENTS THE FINAL AGREEMENT BETWEEN THE SELLER AND PURCHASER AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES. THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.
____________________________            ____________________________(Date)                      (Signature of Seller)____________________________            ____________________________(Date)                        (Signature of Purchaser)
(e)  The seller's failure to provide the notice required by this section:
(1)  is a false, misleading, or deceptive act or practice within the meaning of Section 17.46, Business & Commerce Code, and is actionable in a public or private suit brought under Subchapter E, Chapter 17, Business & Commerce Code;  and
(2)  entitles the purchaser to cancel and rescind the executory contract and receive a full refund of all payments made to the seller.
(f)  Subsection (e) does not limit the purchaser's remedy against the seller for other false, misleading, or deceptive acts or practices actionable in a suit brought under Subchapter E, Chapter 17, Business & Commerce Code.
Added by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.073. Contract Terms, Certain Waivers Prohibited

Sec. 5.073.  CONTRACT TERMS, CERTAIN WAIVERS PROHIBITED.  (a)  A seller may not include as a term of the executory contract a provision that:
(1)  imposes an additional late-payment fee that exceeds the lesser of:
(A)  eight percent of the monthly payment under the contract; or
(B)  the actual administrative cost of processing the late payment;
(2)  prohibits the purchaser from pledging the purchaser's interest in the property as security to obtain a loan to place improvements, including utility improvements or fire protection improvements, on the property;
(3)  imposes a prepayment penalty or any similar fee if the purchaser elects to pay the entire amount due under the contract before the scheduled payment date under the contract;
(4)  forfeits an option fee or other option payment paid under the contract for a late payment; or
(5)  increases the purchase price, imposes a fee or charge of any type, or otherwise penalizes a purchaser leasing property with an option to buy the property for requesting repairs or exercising any other right under Chapter 92.
(b)  A provision of the executory contract that purports to waive a right or exempt a party from a liability or duty under this subchapter is void.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.096 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
Amended by:
Acts 2005, 79th Leg., Ch. 978 (H.B. 1823), Sec. 4, eff. September 1, 2005.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.074. Purchaser's Right to Cancel Contract Without Cause

Sec. 5.074.  PURCHASER'S RIGHT TO CANCEL CONTRACT WITHOUT CAUSE.  (a)  In addition to other rights or remedies provided by law, the purchaser may cancel and rescind an executory contract for any reason by sending by telegram or certified or registered mail, return receipt requested, or by delivering in person a signed, written notice of cancellation to the seller not later than the 14th day after the date of the contract.
(b)  If the purchaser cancels the contract as provided by Subsection (a), the seller shall, not later than the 10th day after the date the seller receives the purchaser's notice of cancellation:
(1)  return to the purchaser the executed contract and any property exchanged or payments made by the purchaser under the contract;  and
(2)  cancel any security interest arising out of the contract.
(c)  The seller shall include in immediate proximity to the space reserved in the executory contract for the purchaser's signature a statement printed in 14-point boldface type or 14-point uppercase typewritten letters that reads substantially similar to the following:
YOU, THE PURCHASER, MAY CANCEL THIS CONTRACT AT ANY TIME DURING THE NEXT TWO WEEKS. THE DEADLINE FOR CANCELING THE CONTRACT IS (date).  THE ATTACHED NOTICE OF CANCELLATION EXPLAINS THIS RIGHT.
(d)  The seller shall provide a notice of cancellation form to the purchaser at the time the purchaser signs the executory contract that is printed in 14-point boldface type or 14-point uppercase typewritten letters and that reads substantially similar to the following:
(date of contract)
NOTICE OF CANCELLATION
YOU MAY CANCEL THE EXECUTORY CONTRACT FOR ANY REASON WITHOUT ANY PENALTY OR OBLIGATION BY (date).
(1)  YOU MUST SEND BY TELEGRAM OR CERTIFIED OR REGISTERED MAIL, RETURN RECEIPT REQUESTED, OR DELIVER IN PERSON A SIGNED AND DATED COPY OF THIS CANCELLATION NOTICE OR ANY OTHER WRITTEN NOTICE TO (Name of Seller) AT (Seller's Address) BY (date).
(2)  THE SELLER SHALL, NOT LATER THAN THE 10TH DAY AFTER THE DATE THE SELLER RECEIVES YOUR CANCELLATION NOTICE:
(A)  RETURN THE EXECUTED CONTRACT AND ANY PROPERTY EXCHANGED OR PAYMENTS MADE BY YOU UNDER THE CONTRACT;  AND
(B)  CANCEL ANY SECURITY INTEREST ARISING OUT OF THE CONTRACT.
I ACKNOWLEDGE RECEIPT OF THIS NOTICE OF CANCELLATION FORM.
__________________________________________________
(Date)                                  (Purchaser's Signature)
I HEREBY CANCEL THIS CONTRACT.
__________________________________________________
(Date)                                  (Purchaser's Signature)
(e)  The seller may not request the purchaser to sign a waiver of receipt of the notice of cancellation form required by this section.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.097 by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.075. Purchaser's Right to Pledge Interest in Property on Contracts Entered Into Before September 1, 2001

Sec. 5.075.  PURCHASER'S RIGHT TO PLEDGE INTEREST IN PROPERTY ON CONTRACTS ENTERED INTO BEFORE SEPTEMBER 1, 2001.  (a)  On an executory contract entered into before September 1, 2001 , a purchaser may pledge the interest in the property, which accrues pursuant to Section 5.066, only to obtain a loan for improving the safety of the property or any improvements on the property.
(b)  Loans that improve the safety of the property and improvements on the property include loans for:
(1)  improving or connecting a residence to water service;
(2)  improving or connecting a residence to a wastewater system;
(3)  building or improving a septic system;
(4)  structural improvements in the residence;  and
(5)  improved fire protection.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.098 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.076. Recording Requirements

Sec. 5.076.  RECORDING REQUIREMENTS.  (a)  Except as provided by Subsection (b), the seller shall record the executory contract, including the attached disclosure statement required by Section 5.069, as prescribed by Title 3 on or before the 30th day after the date the contract is executed.
(b)  Section 12.002(c) does not apply to an executory contract filed for record under this section.
(c)  If the executory contract is terminated for any reason, the seller shall record the instrument that terminates the contract.
(d)  The county clerk shall collect the filing fee prescribed by Section 118.011, Local Government Code.
(e)  A seller who violates this section is liable to the purchaser in the same manner and for the same amount as a seller who violates Section 5.079 is liable to a purchaser, except the damages may not exceed $500 for each calendar year of noncompliance. This subsection does not limit or affect any other rights or remedies a purchaser has under other law.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.099 and amended Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 996 (H.B. 311), Sec. 5, eff. September 1, 2015.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.077. Annual Accounting Statement

Sec. 5.077.  ANNUAL ACCOUNTING STATEMENT.  (a)  The seller shall provide the purchaser with an annual statement in January of each year for the term of the executory contract.  If the seller mails the statement to the purchaser, the statement must be postmarked not later than January 31.
(b)  The statement must include the following information:
(1)  the amount paid under the contract;
(2)  the remaining amount owed under the contract;
(3)  the number of payments remaining under the contract;
(4)  the amounts paid to taxing authorities on the purchaser's behalf if collected by the seller;
(5)  the amounts paid to insure the property on the purchaser's behalf if collected by the seller;
(6)  if the property has been damaged and the seller has received insurance proceeds, an accounting of the proceeds applied to the property;  and
(7)  if the seller has changed insurance coverage, a legible copy of the current policy, binder, or other evidence that satisfies the requirements of Section 5.070(a)(2).
(c)  A seller who conducts less than two transactions in a 12-month period under this section who fails to comply with Subsection (a) is liable to the purchaser for:
(1)  liquidated damages in the amount of $100 for each annual statement the seller fails to provide to the purchaser within the time required by Subsection (a); and
(2)  reasonable attorney's fees.
(d)  A seller who conducts two or more transactions in a 12-month period under this section who fails to comply with Subsection (a) is liable to the purchaser for:
(1)  liquidated damages in the amount of $250 a day for each day after January 31 that the seller fails to provide the purchaser with the statement, but not to exceed the fair market value of the property; and
(2)  reasonable attorney's fees.
(e)  The requirements of this section continue to apply after a purchaser obtains title to the property by conversion or any other process.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995. Renumbered from Property Code Sec. 5.100 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
Amended by:
Acts 2005, 79th Leg., Ch. 978 (H.B. 1823), Sec. 5, eff. September 1, 2005.
Acts 2015, 84th Leg., R.S., Ch. 996 (H.B. 311), Sec. 6, eff. September 1, 2015.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.078. Disposition of Insurance Proceeds

Sec. 5.078.  DISPOSITION OF INSURANCE PROCEEDS.  (a)  The named insured under an insurance policy, binder, or other coverage relating to property subject to an executory contract for the conveyance of real property shall inform the insurer, not later than the 10th day after the date the coverage is obtained or the contract executed, whichever is later, of:
(1)  the executory contract for conveyance and the term of the contract;  and
(2)  the name and address of the other party to the contract.
(b)  An insurer who disburses proceeds under an insurance policy, binder, or other coverage relating to property that has been damaged shall issue the proceeds jointly to the purchaser and the seller designated in the contract.
(c)  If proceeds under an insurance policy, binder, or other coverage are disbursed, the purchaser and seller shall ensure that the proceeds are used to repair, remedy, or improve the condition on the property.
(d)  The failure of a seller or purchaser to comply with Subsection (c) is a false, misleading, or deceptive act or practice within the meaning of Section 17.46, Business & Commerce Code, and is actionable in a public or private suit brought under Subchapter E, Chapter 17, Business & Commerce Code.
(e)  Subsection (d) does not limit either party's remedy for other false, misleading, or deceptive acts or practices actionable in a suit brought under Subchapter E, Chapter 17, Business & Commerce Code.
Added by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.079. Title Transfer

Sec. 5.079.  TITLE TRANSFER.  (a)  A recorded executory contract shall be the same as a deed with a vendor's lien.  The vendor's lien is for the amount of the unpaid contract price, less any lawful deductions, and may be enforced by foreclosure sale under Section 5.066 or by judicial foreclosure.  A general warranty is implied unless otherwise limited by the recorded executory contract.  If an executory contract has not been recorded or converted under Section 5.081, the seller shall transfer recorded, legal title of the property covered by the executory contract to the purchaser not later than the 30th day after the date the seller receives the purchaser's final payment due under the contract.
(b)  A seller who violates Subsection (a) is liable to the purchaser for:
(1)  liquidated damages in the amount of:
(A)  $250 a day for each day the seller fails to transfer the title to the purchaser during the period that begins the 31st day and ends the 90th day after the date the seller receives the purchaser's final payment due under the contract;  and
(B)  $500 a day for each day the seller fails to transfer title to the purchaser after the 90th day after the date the seller receives the purchaser's final payment due under the contract;  and
(2)  reasonable attorney's fees.
(c)  If a person to whom a seller's property interest passes by will or intestate succession is required to obtain a court order to clarify the person's status as an heir or to clarify the status of the seller or the property before the person may convey good and indefeasible title to the property, the court in which the action is pending may waive payment of the liquidated damages and attorney's fees under Subsection (b) if the court finds that the person is pursuing the action to establish good and indefeasible title with reasonable diligence.
(d)  In this section, "seller" includes a successor, assignee, personal representative, executor, or administrator of the seller.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.102 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 996 (H.B. 311), Sec. 7, eff. September 1, 2015.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.080. Liability for Disclosures

Sec. 5.080.  LIABILITY FOR DISCLOSURES.  For purposes of this subchapter, a disclosure required by this subchapter that is made by a seller's agent is a disclosure made by the seller.
Added by Acts 1995, 74th Leg., ch. 994, Sec. 3, eff. Sept. 1, 1995.  Renumbered from Property Code Sec. 5.103 and amended by Acts 2001, 77th Leg., ch. 693, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.082. Request for Balance and Trustee

Sec. 5.082.  REQUEST FOR BALANCE AND TRUSTEE.  (a)  A purchaser under an executory contract, on written request, is entitled to receive the following information from the seller:
(1)  as of the date of the request or another date specified by the purchaser, the amount owed by the purchaser under the contract; and
(2)  if applicable, the name and address of the seller's desired trustee for a deed of trust to be executed under Section 5.081.
(b)  On or before the 10th day after the date the seller receives from the purchaser a written request for information described by Subsection (a), the seller shall provide to the purchaser a written statement of the requested information.
(c)  If the seller does not timely respond to a request made under this section, the purchaser may:
(1)  determine or pay the amount owed under the contract, including determining the amount necessary for a promissory note under Section 5.081; and
(2)  if applicable, select a trustee for a deed of trust under Section 5.081.
(d)  For purposes of Subsection (c)(2), a purchaser must select a trustee that lives or has a place of business in the same county where the property covered by the executory contract is located.
(e)  Not later than the 20th day after the date a seller receives notice of an amount determined by a purchaser under Subsection (c)(1), the seller may contest that amount by sending a written objection to the purchaser.  An objection under this subsection must:
(1)  be sent to the purchaser by regular and certified mail;
(2)  include the amount the seller claims is the amount owed under the contract; and
(3)  be based on written records kept by the seller or the seller's agent that were maintained and regularly updated for the entire term of the executory contract.
Added by Acts 2005, 79th Leg., Ch. 978 (H.B. 1823), Sec. 6, eff. September 1, 2005.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.083. Right to Cancel Contract for Improper Platting

Sec. 5.083.  RIGHT TO CANCEL CONTRACT FOR IMPROPER PLATTING.  (a)  Except as provided by Subsection (c), in addition to other rights or remedies provided by law, the purchaser may cancel and rescind an executory contract at any time if the purchaser learns that the seller has not properly subdivided or platted the property that is covered by the contract in accordance with state and local law.  A purchaser canceling and rescinding a contract under this subsection must:
(1)  deliver a signed, written notice of the cancellation and rescission to the seller in person; or
(2)  send a signed, written notice of the cancellation and rescission to the seller by telegram or certified or registered mail, return receipt requested.
(b)  If the purchaser cancels the contract as provided under Subsection (a), the seller, not later than the 10th day after the date the seller receives the notice of cancellation and rescission, shall:
(1)  deliver in person or send by telegram or certified or registered mail, return receipt requested, to the purchaser a signed, written notice that the seller intends to subdivide or plat the property properly; or
(2)  return to the purchaser all payments of any kind made to the seller under the contract and reimburse the purchaser for:
(A)  any payments the purchaser made to a taxing authority for the property; and
(B)  the value of any improvements made to the property by the purchaser.
(c)  A purchaser may not exercise the purchaser's right to cancel and rescind an executory contract under this section if, on or before the 90th day after the date the purchaser receives the seller's notice under Subsection (b)(1), the seller:
(1)  properly subdivides or plats the property; and
(2)  delivers in person or sends by telegram or certified or registered mail, return receipt requested, to the purchaser a signed, written notice evidencing that the property has been subdivided or platted in accordance with state and local law.
(d)  The seller may not terminate the purchaser's possession of the property covered by the contract being canceled and rescinded before the seller pays the purchaser any money to which the purchaser is entitled under Subsection (b).
Added by Acts 2005, 79th Leg., Ch. 978 (H.B. 1823), Sec. 6, eff. September 1, 2005.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.084. Right to Deduct

Sec. 5.084.  RIGHT TO DEDUCT.  If a seller is liable to a purchaser under this subchapter, the purchaser, without taking judicial action, may deduct the amount owed to the purchaser by the seller from any amounts owed to the seller by the purchaser under the terms of an executory contract.
Added by Acts 2005, 79th Leg., Ch. 978 (H.B. 1823), Sec. 6, eff. September 1, 2005.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter D. Executory Contract for Conveyance › Section 5.087. Additional Provisions: Certain Counties

Sec. 5.087.  ADDITIONAL PROVISIONS: CERTAIN COUNTIES.  (a)  This section applies only to a county adopting an order under Section 5.0622.
(b)  The commissioners court may not modify the provisions of this subchapter except the commissioners court may provide in the order that an executory contract to which the order applies may not be used to purchase land for residential purposes unless the conversion authorized by Section 5.081 is required to occur not later than three years after the date the executory contract is entered into.
Added by Acts 2021, 87th Leg., R.S., Ch. 911 (H.B. 4374), Sec. 2, eff. September 1, 2021.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter F. Requirements for Conveyances of Mineral or Royalty Interests › Section 5.151. Disclosure in Offer to Purchase Mineral Interest

Sec. 5.151.  DISCLOSURE IN OFFER TO PURCHASE MINERAL INTEREST.  (a)  A person who mails to the owner of a mineral or royalty interest an offer to purchase only the mineral or royalty interest, it being understood that for the purpose of this section the taking of an oil, gas, or mineral lease shall not be deemed a purchase of a mineral or royalty interest, and encloses an instrument of conveyance of only the mineral or royalty interest and a draft or other instrument, as defined in Section 3.104, Business & Commerce Code, providing for payment for that interest shall include in the offer a conspicuous statement printed in a type style that is approximately the same size as 14-point type style or larger and is in substantially the following form:
BY EXECUTING AND DELIVERING THIS INSTRUMENT YOU ARE SELLING ALL OR A PORTION OF YOUR MINERAL OR ROYALTY INTEREST IN (DESCRIPTION OF PROPERTY BEING CONVEYED).
(b)  A person who conveys a mineral or royalty interest as provided by Subsection (a) may bring suit against the purchaser of the interest if:
(1)  the purchaser did not give the notice required by Subsection (a);  and
(2)  the person has given 30 days' written notice to the purchaser that a suit will be filed unless the matter is otherwise resolved.
(c)  A plaintiff who prevails in a suit under Subsection (b) may recover from the initial purchaser of the mineral or royalty interest the greater of:
(1)  $100;  or
(2)  an amount up to the difference between the amount paid by the purchaser for the mineral or royalty interest and the fair market value of the mineral or royalty interest at the time of the sale.
(d)  The prevailing party in a suit under Subsection (b) may recover:
(1)  court costs;  and
(2)  reasonable attorney's fees.
(e)  A person must bring a suit under Subsection (b) not later than the second anniversary of the date the person executed the conveyance.
(f)  The remedy provided under this section shall be in addition to any other remedies existing under law, excluding rescission or other remedies that would make the conveyance of the mineral or royalty interest void or of no force and effect.
Added by Acts 1999, 76th Leg., ch. 1200, Sec. 1, eff. Sept. 1, 1999.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter F. Requirements for Conveyances of Mineral or Royalty Interests › Section 5.152. Certain Purchases of Mineral or Royalty Interests Void

Sec. 5.152.  CERTAIN PURCHASES OF MINERAL OR ROYALTY INTERESTS VOID.  (a)  This section applies only to the conveyance of a mineral or royalty interest by an instrument that:
(1)  is presented to the owner of the interest by the person acquiring the interest;
(2)  is titled an oil and gas lease or an oil and gas royalty lease or has other words in the caption or other prominently displayed label that indicate that the transaction is a lease of a mineral or royalty interest; and
(3)  has the effect of conveying, permanently or for a term, all or a portion of the owner's:
(A)  mineral interest in lands covered by an existing oil, gas, or mineral lease; or
(B)  royalty interest in production from an existing oil, gas, or mineral lease.
(b)  This section does not apply to a conveyance of a mineral or royalty interest by an instrument that:
(1)  is an oil, gas, or mineral lease;
(2)  conveys a mineral or royalty interest for a term; and
(3)  provides that the interest conveyed vests in possession after the expiration or termination of all or a portion of the interest conveyed by an existing oil, gas, or mineral lease in effect at the time of the execution of the instrument, commonly referred to as a top lease.
(c)  A conveyance instrument described by Subsection (a) must include:
(1)  a conspicuous statement printed at the top of the first page of the instrument below the caption, if any, in an approximate type size of at least 14 points and in substantially the following form:
THIS IS NOT AN OIL AND GAS LEASE. YOU ARE SELLING ALL OR A PORTION OF YOUR MINERAL OR ROYALTY INTERESTS IN (DESCRIPTION OF PROPERTY BEING CONVEYED).
; and
(2)  a conspicuous statement printed at the top of each subsequent page of the instrument and immediately above the signature of the person conveying the interest in an approximate  type size of at least 14 points and in substantially the following form:
THIS IS NOT AN OIL AND GAS LEASE. YOU ARE SELLING ALL OR A PORTION OF YOUR MINERAL OR ROYALTY INTERESTS.
(d)  If the conveyance instrument does not include the statements required by Subsection (c), the conveyance is void.
(e)  A person who has conveyed a royalty or mineral interest in a conveyance that is void under this section may bring suit against the purchaser of the interest to remove the conveyance as a cloud on title and may recover from the purchaser:
(1)  all royalties and bonuses paid to the purchaser and any successor or assign of the purchaser;
(2)  court costs; and
(3)  reasonable attorney's fees.
(f)  The remedies under this section are in addition to any other rights or remedies a person may have at law or pursuant to contract.
Added by Acts 2019, 86th Leg., R.S., Ch. 914 (H.B. 3838), Sec. 1, eff. September 1, 2019.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter G. Certain Private Transfer Fees Prohibited; Preservation of Private Real Property Rights › Section 5.201. Definitions

Sec. 5.201.  DEFINITIONS.  In this subchapter:
(1)  "Encumbered property" means all property, including the property of a subsequent purchaser, subject to the same private transfer fee obligation.
(2)  "Lender" means a lending institution, including a bank, trust company, banking association, savings and loan association, mortgage company, investment bank, credit union, life insurance company, and governmental agency, that customarily provides financing or an affiliate of a lending institution.
(3)  "Payee" means a person who claims the right to receive or collect a private transfer fee payable under a private transfer fee obligation and who may or may not have a pecuniary interest in the obligation.
(4)  "Private transfer fee" means an amount of money, regardless of the method of determining the amount, that is payable on the transfer of an interest in real property or payable for a right to make or accept a transfer.
(5)  "Private transfer fee obligation" means an obligation to pay a private transfer fee created under:
(A)  a declaration or other covenant recorded in the real property records in the county in which the property subject to the private transfer fee obligation is located;
(B)  a contractual agreement or promise; or
(C)  an unrecorded contractual agreement or promise.
(6)  "Subsequent owner" means a person who acquires real property by transfer from a person other than the person who is the seller of the property on the date the private transfer fee obligation is created.
(7)  "Subsequent purchaser" means a person who purchases real property from a person other than the person who is the seller on the date the private transfer fee obligation is created.  The term includes a lender who provides a mortgage loan to a subsequent purchaser to purchase the property.
(8)  "Transfer" means the sale, gift, conveyance, assignment, inheritance, or other transfer of an ownership interest in real property.
Added by Acts 2011, 82nd Leg., R.S., Ch. 211 (H.B. 8), Sec. 1, eff. June 17, 2011.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter G. Certain Private Transfer Fees Prohibited; Preservation of Private Real Property Rights › Section 5.203. Notice Requirements for Continuation of Existing Private Transfer Fee Obligations

Sec. 5.203.  NOTICE REQUIREMENTS FOR CONTINUATION OF EXISTING PRIVATE TRANSFER FEE OBLIGATIONS.  (a)  A person who receives a private transfer fee under a private transfer fee obligation created before the effective date of this subchapter must, on or before January 31, 2012, file for record a "Notice of Private Transfer Fee Obligation" as provided by this section in the real property records of each county in which the property is located.
(b)  Multiple payees of a single private transfer fee under a private transfer fee obligation must designate one payee as the payee of record for the fee.
(c)  A notice under Subsection (a) must:
(1)  be printed in at least 14-point boldface type;
(2)  state the amount of the private transfer fee and the method of determination, if applicable;
(3)  state the date or any circumstance under which the private transfer fee obligation expires, if any;
(4)  state the purpose for which the money from the private transfer fee obligation will be used;
(5)  notwithstanding Subsection (b), state the name of each payee and each payee's contact information;
(6)  state the name and address of the payee of record to whom the payment of the fee must be sent;
(7)  include the acknowledged signature of each payee or authorized representative of each payee; and
(8)  state the legal description of the property subject to the private transfer fee obligation.
(d)  A person required to file a notice under this section shall:
(1)  refile the notice described by this section not earlier than the 30th day before the third anniversary of the original filing date described by Subsection (a) and within a similar 30-day period every third year thereafter; and
(2)  amend the notice to reflect any change in the name or address of any payee included in the notice not later than the 30th day after the date the change occurs.
(e)  A person who amends a notice under Subsection (d)(2) must include:
(1)  the recording information of the original notice filed as required by this section; and
(2)  the legal description of the property subject to the private transfer fee obligation.
(f)  If a person required to file a notice under this section fails to comply with this section:
(1)  payment of the private transfer fee may not be a requirement for the conveyance of an interest in the property to a purchaser;
(2)  the property is not subject to further obligation under the private transfer fee obligation; and
(3)  the private transfer fee obligation is void.
Added by Acts 2011, 82nd Leg., R.S., Ch. 211 (H.B. 8), Sec. 1, eff. June 17, 2011.
2023 Texas Statutes › Property Code › Title 2 - Conveyances › Chapter 5 - Conveyances › Subchapter G. Certain Private Transfer Fees Prohibited; Preservation of Private Real Property Rights › Section 5.204. Additional Compliance Requirement: Timely Acceptance of Fees Paid Under Existing Private Transfer Fee Obligations

Sec. 5.204.  ADDITIONAL COMPLIANCE REQUIREMENT:  TIMELY ACCEPTANCE OF FEES PAID UNDER EXISTING PRIVATE TRANSFER FEE OBLIGATIONS.  (a)  The payee of record on the date a private transfer fee is paid under a private transfer fee obligation subject to Section 5.203 must accept the payment on or before the 30th day after the date the payment is tendered to the payee.
(b)  If the payee of record fails to comply with Subsection (a):
(1)  the payment must be returned to the remitter;
(2)  payment of the private transfer fee may not be a requirement for the conveyance of an interest in the property to a purchaser; and
(3)  the property is not subject to further obligation under the private transfer fee obligation.
Added by Acts 2011, 82nd Leg., R.S., Ch. 211 (H.B. 8), Sec. 1, eff. June 17, 2011.