| |
| |
| |
|
|
AN ACT
|
|
|
relating to liens on real property. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 51.0001(8), Property Code, is amended to |
|
|
read as follows: |
|
|
(8) "Trustee" means a person or persons authorized to |
|
|
exercise the power of sale under the terms of a security instrument |
|
|
in accordance with Section 51.0074. |
|
|
SECTION 2. Section 51.002, Property Code, is amended by |
|
|
amending Subsections (b) and (h) and adding Subsection (b-1) to |
|
|
read as follows: |
|
|
(b) Except as provided by Subsection (b-1), notice [Notice] |
|
|
of the sale, which must include a statement of the earliest time at |
|
|
which the sale will begin, must be given at least 21 days before the |
|
|
date of the sale by: |
|
|
(1) posting at the courthouse door of each county in |
|
|
which the property is located a written notice designating the |
|
|
county in which the property will be sold; |
|
|
(2) filing in the office of the county clerk of each |
|
|
county in which the property is located a copy of the notice posted |
|
|
under Subdivision (1); and |
|
|
(3) serving written notice of the sale by certified |
|
|
mail on each debtor who, according to the records of the mortgage |
|
|
servicer of the debt, is obligated to pay the debt. |
|
|
(b-1) If the courthouse or county clerk's office is closed |
|
|
because of inclement weather, natural disaster, or other act of |
|
|
God, a notice required to be posted at the courthouse under |
|
|
Subsection (b)(1) or filed with the county clerk under Subsection |
|
|
(b)(2) may be posted or filed, as appropriate, up to 48 hours after |
|
|
the courthouse or county clerk's office reopens for business, as |
|
|
applicable. |
|
|
(h) For the purposes of Subsection (a), the commissioners |
|
|
court of a county may designate an area other than an area at the |
|
|
courthouse where sales under this section will take place that is in |
|
|
a public place within a reasonable proximity of the county |
|
|
courthouse and in a location as accessible to the public as the |
|
|
courthouse door. The commissioners court shall record that |
|
|
designation in the real property records of the county. A sale may |
|
|
not be held at an area designated under this subsection before the |
|
|
90th day after the date the designation is recorded. The posting of |
|
|
the notice required by Subsection (b)(1) of a sale designated under |
|
|
this subsection to take place at an area other than an area of the |
|
|
courthouse remains at the courthouse door of the appropriate |
|
|
county. |
|
|
SECTION 3. Chapter 51, Property Code, is amended by adding |
|
|
Section 51.0074 to read as follows: |
|
|
Sec. 51.0074. DUTIES OF TRUSTEE. (a) One or more persons |
|
|
may be authorized to exercise the power of sale under a security |
|
|
instrument. |
|
|
(b) A trustee may not be: |
|
|
(1) assigned a duty under a security instrument other |
|
|
than to exercise the power of sale in accordance with the terms of |
|
|
the security instrument; or |
|
|
(2) held to the obligations of a fiduciary of the |
|
|
mortgagor or mortgagee. |
|
|
SECTION 4. Section 51.0075, Property Code, is amended by |
|
|
adding Subsection (f) to read as follows: |
|
|
(f) The purchase price in a sale held by a trustee or |
|
|
substitute trustee under this section is payable immediately on |
|
|
acceptance of the bid by the trustee or substitute trustee. The |
|
|
trustee or substitute trustee shall disburse the proceeds of the |
|
|
sale as provided by law. |
|
|
SECTION 5. (a) Section 51.002(b-1), Property Code, as added |
|
|
by this Act, applies only to a notice required to be posted or filed |
|
|
on or after the effective date of this Act. A notice required to be |
|
|
posted or filed before the effective date of this Act is governed by |
|
|
the law in effect immediately before that date, and that law is |
|
|
continued in effect for that purpose. |
|
|
(b) Section 51.002(h), Property Code, as amended by this |
|
|
Act, applies only to a designation of an area for sales made on or |
|
|
after the effective date of this Act. A designation made before the |
|
|
effective date of this Act is governed by the law in effect |
|
|
immediately before that date, and that law is continued in effect |
|
|
for that purpose. |
|
|
(c) Section 51.0074, Property Code, as added by this Act, |
|
|
applies only to the designation of a trustee under a security |
|
|
instrument executed on or after the effective date of this Act. The |
|
|
designation of a trustee under a security instrument executed |
|
|
before the effective date of this Act is governed by the law in |
|
|
effect immediately before that date, and that law is continued in |
|
|
effect for that purpose. |
|
|
(d) Section 51.0075(f), Property Code, as added by this Act, |
|
|
applies only to a public sale conducted on or after the effective |
|
|
date of this Act. A public sale conducted before the effective date |
|
|
of this Act is governed by the law in effect immediately before that |
|
|
date, and that law is continued in effect for that purpose. |
|
|
SECTION 6. This Act takes effect immediately if it receives |
|
|
a vote of two-thirds of all the members elected to each house, as |
|
|
provided by Section 39, Article III, Texas Constitution. If this |
|
|
Act does not receive the vote necessary for immediate effect, this |
|
|
Act takes effect September 1, 2007. |
| |
| |
| |
______________________________ |
______________________________ |
| |
President of the Senate |
Speaker of the House |
| |
| |
|
|
I certify that H.B. No. 2738 was passed by the House on April |
|
|
25, 2007, by the following vote: Yeas 126, Nays 0, 1 present, not |
|
|
voting; and that the House concurred in Senate amendments to H.B. |
|
|
No. 2738 on May 25, 2007, by the following vote: Yeas 142, Nays 0, |
|
|
1 present, not voting. |
|
|
|
|
|
______________________________ |
|
|
Chief Clerk of the House |
| |
|
|
I certify that H.B. No. 2738 was passed by the Senate, with |
|
|
amendments, on May 23, 2007, by the following vote: Yeas 31, Nays |
|
|
0. |
|
|
|
|
|
______________________________ |
|
|
Secretary of the Senate |
|
|
APPROVED: __________________ |
|
|
Date |
|
|
|
|
|
__________________ |
|
|
Governor |