Sec. 53.101. FUNDS REQUIRED TO BE RESERVED. (a) During the progress of work under an original contract for which a mechanic's lien may be claimed and for 30 days after the work under the contract is completed, the owner shall reserve:
(1) 10 percent of the contract price of the work to the owner; or
(2) 10 percent of the value of the work, measured by the proportion that the work done bears to the work to be done, using the contract price or, if there is no contract price, using the reasonable value of the completed work.
(b) In this section, "owner" includes the owner's agent, trustee, or receiver.
Acts 1983, 68th Leg., p. 3545, ch. 576, Sec. 1, eff. Jan. 1, 1984. Amended by Acts 1989, 71st Leg., ch. 1138, Sec. 15, eff. Sept. 1, 1989.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 690 (H.B. 2237), Sec. 18, eff. January 1, 2022.
Notes of Decisions
Page v. Structural Wood Components, Inc., 102 S.W.3d 720 (Tex. 2003).
· cites it 8× “A subcontractor or other claimant who wants to make a claim on that retainage must properly give notice and file "an affidavit claiming a lien not later than the 30th day after the work is completed.”
Green Int'l, Inc. v. Solis, 951 S.W.2d 384 (Tex. 1997).
· cites it 2× “See TEX. PROP.CODE § 53.101. Thus, the Subcontracts contemplated that Solis would execute the waiver of lien releases before receiving one hundred percent of his compensation due.”
Bond v. Kagan-Edelman Enter., 985 S.W.2d 253 (Tex. App. 1999).
· cites it 5× “Tex. Prop. Code § 53.101. The retained funds secure the payment of those who furnish material and labor for any contractor or subcontractor in the performance of the work.”
Page v. Marton Roofing, Inc., 102 S.W.3d 750 (Tex. App. 2002).
· cites it 3× “Tex. Prop.Code Ann. §§ 53.101, 53.103 (Vernon 1995) (emphasis added).”
Page v. Marton Roofing, Inc., 102 S.W.3d 733 (Tex. 2003).
· cites it 2× “; Tex. Prop.Code § 53.101. Here, Marton Roofing filed its affidavit two months after the original contract was terminated, and consequently failed to perfect a lien on the statutory retainage.”
Hadnot v. Wenco Distributors, 961 S.W.2d 232 (Tex. App. 1997).
· cites it 2× “1983); see Tex. PROP.Code Ann. § 53.101 et seq (Vernon 1995); Tex.”
Stolz v. Honeycutt, 42 S.W.3d 305 (Tex. App. 2001).
“Tex. Prop.Code Ann. § 53.101(a). A claimant may then secure a lien on the retained funds if he provides the owner with proper notice under the statute and files an affidavit claiming a lien no later than the 30th day after the work was completed.”
Aiken v. State, 36 S.W.3d 131 (Tex. App. 2000).
“The Property Code requires an owner, under an original contract for which a mechanic’s lien may be claimed, to retain ten percent of the contract price of the work or ten percent of the value of the work during the progress of the work and for thirty days after the work is…”
Ronk v. State, 250 S.W.3d 467 (Tex. App. 2008).
· cites it 2× “See TEX. PROP.CODE ANN. § 53.101 (Vernon 2007) (requiring retainage of funds under construction contract to pay subcontractors).”
— Tex. Prop. Code § 53.101(a) — 3 cases
Stolz v. Honeycutt, 42 S.W.3d 305 (Tex. App. 2001).
“Tex. Prop.Code Ann. § 53.101(a). A claimant may then secure a lien on the retained funds if he provides the owner with proper notice under the statute and files an affidavit claiming a lien no later than the 30th day after the work was completed.”
— Tex. Prop. Code § 53.101(a)(1) — 1 case
Bond v. Kagan-Edelman Enter., 985 S.W.2d 253 (Tex. App. 1999).
“Tex. Prop. Code § 53.101. The retained funds secure the payment of those who furnish material and labor for any contractor or subcontractor in the performance of the work.”
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