Texas Property Code

§ 28.009 — RIGHT TO SUSPEND WORK

PR § 28.009Title 4. ACTIONS AND REMEDIES · Ch. 28. PROMPT PAYMENT TO CONTRACTORS AND SUBCONTRACTORS

Statute text

(a)If an owner fails to pay the contractor the undisputed amount within the time limits provided by this chapter, the contractor or any subcontractor may suspend contractually required performance the 10th day after the date the contractor or subcontractor gives the owner and the owner's lender written notice:

(1)informing the owner and lender that payment has not been received; and

(2)stating the intent of the contractor or subcontractor to suspend performance for nonpayment.

(b)For purposes of Subsection (a), the contractor or subcontractor must give the owner's lender the written notice only if:

(1)the owner has obtained a loan intended to pay for all or part of the construction project;

(2)the lender has remitted funds, including acquisition funds, for construction purposes;

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Legislative history

Added by Acts 1999, 76th Leg., ch. 805, Sec. 4, eff. Sept. 1, 1999.