2023 Texas Statutes › Property Code › Title 5 - Exempt Property and Liens › Subtitle B - Liens › Chapter 53 - Mechanic's, Contractor's, or Materialman's Lien › Subchapter D. Funds Withheld by Owner Following Notice › Section 53.085. Affidavit Required

Sec. 53.085.  AFFIDAVIT REQUIRED.  (a)  Any person who furnishes labor or materials for the construction of improvements on real property shall, if requested and as a condition of payment for such labor or materials, provide to the requesting party, or the party's agent, an affidavit stating that the person has paid each of the person's subcontractors, laborers, or materialmen in full for all labor and materials provided to the person for the construction.  In the event, however, that the person has not paid each of the person's subcontractors, laborers, or materialmen in full, the person shall state in the affidavit the amount owed and the name and, if known, the address and telephone number of each subcontractor, laborer, or materialman to whom the payment is owed.
(b)  The seller of any real property shall, upon request by the purchaser or the purchaser's agent prior to closing of the purchase of the real property, provide to the purchaser or the purchaser's agent, a written affidavit stating that the seller has paid each of the seller's contractors, laborers, or materialmen in full for all labor and materials provided to the seller through the date specified in the affidavit for any construction of improvements on the real property and that the seller is not indebted to any person, firm, or corporation by reason of any such construction through the date specified in the affidavit.  In the event that the seller has not paid each of the seller's contractors, laborers, or materialmen in full for labor and material provided through the date specified in the affidavit, the seller shall state in the affidavit the amount owed and the name and, if known, the address and telephone number of each contractor, laborer, or materialman to whom the payment is owed.
(c)  The affidavit may include:
(1)  a waiver or release of lien rights or payment bond claims by the affiant that is conditioned on the receipt of actual payment or collection of funds when payment is made by check or draft, as provided by Subchapter L;
(2)  a warranty or representation that certain bills or classes of bills will be paid by the affiant from funds paid in reliance on the affidavit; and
(3)  an indemnification by the affiant for any loss or expense resulting from false or incorrect information in the affidavit.
(d)  A person, including a seller, commits an offense if the person intentionally, knowingly, or recklessly makes a false or misleading statement in an affidavit under this section.  An offense under this section is a misdemeanor.  A person adjudged guilty of an offense under this section shall be punished by a fine not to exceed $4,000 or confinement in jail for a term not to exceed one year or both a fine and confinement.  A person may not receive community supervision for the offense.
(e)  A person signing an affidavit under this section is personally liable for any loss or damage resulting from any false or incorrect information in the affidavit.
Added by Acts 1987, 70th Leg., ch. 578, Sec. 1, eff. Aug. 31, 1987.  Amended by Acts 1989, 71st Leg., ch. 1138, Sec. 14, eff. Sept. 1, 1989;  Acts 1997, 75th Leg., ch. 526, Sec. 13, eff. Sept. 1, 1997.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 271 (H.B. 1456), Sec. 2, eff. January 1, 2012.