Earlier this year, Texas Senate Bill 929 was signed into law, providing clarity around applicable deadline dates for when actions can be taken regarding construction liens. This bill sought to eliminate longstanding ambiguity on this topic and give those in the construction industry clearer parameters for what actions they can take to recover any owed compensation.
If you work in the construction industry as a contractor, mechanic, or materialman and want to learn more about how this may affect your business and rights, consult with Texas construction lawyers. MehaffyWeber has been monitoring these changes and can help you determine how to move forward if you need to file a lien against another party for nonpayment of services rendered.
Understanding Construction Liens in Texas
In Texas, a professional may issue a mechanic’s lien to recover compensation for completed work and materials. The lien places a financial claim against another party for the value of the work or materials provided. The rules for issuing liens are outlined in Texas Property Code Chapter 53 and allow a contractor, mechanic, or materialman who is contracted to provide specified services to file a lien against a property owner or the owner’s agent, trustee, receiver, contractor, or subcontractor.
These workers must follow specific steps and adhere to strict deadlines to ensure they retain their right to take legal action. These requirements include the standard process of filing a lien affidavit and serving the appropriate party, as well as adhering to certain time constraints.
Generally, contractors must file a notice of intent to issue a construction lien by either the 30th day after an agreement is completed or terminated, or the 15th day of the second or third month from the time the work was completed. The end of the period depends on the type of project or category of work. After providing the lien notice, the lien affidavit can be filed with the county clerk where the property is located.
The affidavit must provide all relevant details to document the work that was completed, the actions of the other party, and the details of nonpayment. The lien can also be enforced with a court order. Contractors have four years to receive payment or foreclose on the lien to recover their outstanding balance.
SB 929 Addresses Time Management Pain Points
Historically, there has been confusion around the deadlines for providing lien notices and filing affidavits, depending on the day of the month. For example, if the 15th or 30th fell on a weekend or holiday, there was uncertainty about whether or not the lien had to be filed early or later, leaving professionals at risk of missing the deadline to file.
Senate Bill 929 was the only bill pertaining to the construction industry during the most recent legislative session. Governor Greg Abbot signed it into law on May 21, 2025 and it went into effect immediately. Its enactment brings positive changes for professionals in the construction industry who have not been paid for their completed work.
Senate Bill 929 Provides Clarity on Deadlines for Taking Actions and Filing Lien Affidavits
The Texas legislature took notice of this confusion and took steps during the most recent legislative session to remedy this problem. The purpose of Senate Bill 929 (SB929) was to provide clarity for contractors, mechanics, and materialmen regarding the timelines for aspects of a mechanic’s lien. Some of the affected deadlines include:
- Time allowed to file a lien after work is completed
- The time you have to notify the parties
- The amount of time you have to initiate legal action
- The timeframe for removing a lien
The new language in the law now specifically states that if the end of the period to record the affidavit falls on a weekend or holiday, the deadline can be extended to the next day that is not a Saturday, Sunday, or a legally recognized holiday. This language explicitly provides permission to extend the deadline in these situations to ensure fairness.
The Impact of Senate Bill 929 on Construction in Texas
One of the most significant impacts resulting from the updated Texas Property Code is that the new guidance regarding dates is applicable to all deadlines related to lien actions initiated by construction professionals. This allows professionals to identify deadlines with confidence and helps retain their right to take legal action necessary to recover the compensation they are owed for their services.
Previously, contractors, mechanics, and materialmen could be left at a disadvantage if the deadline fell on a weekend or holiday, jeopardizing their ability to file a lien against delinquent parties. Since missing lien deadlines means losing the right to take action, extending these deadlines allows contractors to exercise their legal rights with confidence.
Seeking Guidance for How Senate Bill 929 and the Texas Property Code Affect Your Lien Rights
Deadlines are very important when it comes to filing construction liens. While Senate Bill 929 has provided greater clarity on this topic, the process is still complex, and missed deadlines or filing mistakes can negatively impact your ability to recover the payment you are entitled to receive for the work you have done.
To understand your rights as a contractor, mechanic, or materialman regarding filing liens under the Texas Property Code, legal representation can be a valuable asset. Mechanic’s liens can be complex, and deadlines can vary depending on the type of work completed, so seeking guidance can help you file all the necessary steps promptly and accurately. Our team stays up to date on changes made to statutes and policies so you have the most up-to-date counsel.
Contact MehaffyWeber Today to Schedule a Consultation
MehaffyWeber has closely monitored this legislation so our team can continue to provide you with current and effective representation when you are facing legal issues. Our team ensures all legal actions are properly executed and you are able to recover pay for the work that has been done. When you need legal help or have questions about SB929, we are ready to speak with you. Contact us today to schedule a consultation with our team and let us help you navigate the challenges you are facing.