Liens, Bonds & Collections

If an owner or general contractor fails to timely pay on a project, you may be entitled to prompt pay interest. Prompt payment acts are intended to deter late payments by general contractors and owners by enabling contractors and suppliers to pursue additional remedies including penalty interest, attorneys’ fees and suspension of performance.

Texas Private

engineer meeting for an architectural project. working with partner and engineering tools working on blueprint architectural project at the construction site at desk in the office.

Co-author: Stephanie Snyder-Zuasnabar

Texas has new lien laws that affect all construction projects with a prime contract dated on or after January 1, 2022.  The new lien laws are particularly helpful to architects, engineers, and surveyors.  Design professionals will benefit from the expanded lien rights provided by this new legislation.  Lower tier design professionals will

The general prohibition against waiving lien rights under Chapter 53 of the Texas Property Code has been written about extensively, and is well known throughout the industry.  However, the Construction Trust Fund Act (Ch. 162 of the Texas Property Code) does not contain any such prohibition.  From the Act itself, it is not clear whether

Close-up Of Yellow Hard Hat Over Rolled Up American Banknote On White Background

Co-author: Tim Fandrey

In these unprecedented times, every bit of revenue is critical to the continued operation of nearly every business operating within the construction industry. Fortunately, there are a myriad of remedies to aide collection efforts. Perhaps the most commonly discussed remedy is the mechanic’s lien provided by Chapter 53 of the Texas Property

When owners file bankruptcy or projects otherwise go south, lien priority often comes to the forefront.  The idea is relatively simple.  Priority is how courts determine which creditors get paid first.  This often pits lenders against M&M lien claimants.  For lenders, their liens typically arise when they record their deeds of trust.  However, for M&M

Texas surety law contains obscure procedural rules that can have outsized consequences. Chapter 43 of the Civil Practice and Remedies Code is an important example.

Applicability

This chapter applies to everything that is a “surety” as defined by the statute. The statute’s definition includes “an endorser, a guarantor, and a drawer of a draft that