Texas Codes

Tex. Prop. Code § 53.202 (2026)

Bond Requirements

✓ current as of May 2026
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Sec. 53.202. BOND REQUIREMENTS. The bond must:

(1) be in a penal sum at least equal to the total of the original contract amount;

(2) be in favor of the owner;

(3) have the written approval of the owner endorsed on it;

(4) be executed by:

(A) the original contractor as principal; and

(B) a corporate surety authorized and admitted to do business in this state and licensed by this state to execute bonds as surety, subject to Section 1, Chapter 87, Acts of the 56th Legislature, Regular Session, 1959 (Article 7.19-1, Vernon's Texas Insurance Code);

(5) be conditioned on prompt payment for all labor, subcontracts, materials, specially fabricated materials, and normal and usual extras not exceeding 15 percent of the contract price; and

(6) clearly and prominently display on the bond or on an attachment to the bond:

(A) the name, mailing address, physical address, and telephone number, including the area code, of the surety company to which any notice of claim should be sent; or

(B) the toll-free telephone number maintained by the Texas Department of Insurance under Subchapter B, Chapter 521, Insurance Code, and a statement that the address of the surety company to which any notice of claim should be sent may be obtained from the Texas Department of Insurance by calling the toll-free telephone number.

Acts 1983, 68th Leg., p. 3551, ch. 576, Sec. 1, eff. Jan. 1, 1984. Amended by Acts 1989, 71st Leg., ch. 1138, Sec. 29, eff. Sept. 1, 1989; Acts 1997, 75th Leg., ch. 1132, Sec. 2, eff. Sept. 1, 1997; Acts 2001, 77th Leg., ch. 380, Sec. 5, eff. Sept. 1, 2001.

Amended by:

Acts 2005, 79th Leg., Ch. 728 (H.B. 2018), Sec. 11.158, eff. September 1, 2005.

Notes of Decisions
Cited in 4 cases, 2004–2006 · leading case: Laughlin Env't, Inc. v. Premier Towers, L.P., 126 S.W.3d 668 (Tex. App. 2004).
Laughlin Env't, Inc. v. Premier Towers, L.P., 126 S.W.3d 668 (Tex. App. 2004). · cites it 8× “See Tex. PROp.Code §§ 53.202, 53.203. Under section 53.”
Fondren Constr. Co. v. Briarcliff Hous. Dev. Assocs., Inc., 196 S.W.3d 210 (Tex. App. 2006). · cites it 4× “Laws 706 , 707-08 (amended nonsubstan-tively 2005) (current version at Tex. PROP. Code Ann. § 53.202 (6) (Vernon Supp.”
Am. States Ins. v. United States, 324 B.R. 600 (Bankr. N.D. Tex. 2005). “TEX. PROP. CODE § 53.202. See generally Laughlin Environ.”
Fondren Constr. Co., Inc., & Robert G. Lubkeman v. BriarCliff Hous. Dev. Assocs., Inc., DPMC-Briarcliff, L.P., & John Deere Co. (Tex. App. 2006). · cites it 2× “First, Fondren argues John Deere’s bond does not prominently display contact information as Texas Property Code section 53.202(6) requires.”
— Tex. Prop. Code § 53.202(1) — 2 cases
Laughlin Env't, Inc. v. Premier Towers, L.P., 126 S.W.3d 668 (Tex. App. 2004). “See Tex. PROp.Code §§ 53.202, 53.203. Under section 53.”
Fondren Constr. Co. v. Briarcliff Hous. Dev. Assocs., Inc., 196 S.W.3d 210 (Tex. App. 2006). “Laws 706 , 707-08 (amended nonsubstan-tively 2005) (current version at Tex. PROP. Code Ann. § 53.202 (6) (Vernon Supp.”
— Tex. Prop. Code § 53.202(3) — 1 case
Laughlin Env't, Inc. v. Premier Towers, L.P., 126 S.W.3d 668 (Tex. App. 2004). “See Tex. PROp.Code §§ 53.202, 53.203. Under section 53.”
— Tex. Prop. Code § 53.202(5) — 1 case
Laughlin Env't, Inc. v. Premier Towers, L.P., 126 S.W.3d 668 (Tex. App. 2004). “See Tex. PROp.Code §§ 53.202, 53.203. Under section 53.”
— Tex. Prop. Code § 53.202(6) — 2 cases
Fondren Constr. Co. v. Briarcliff Hous. Dev. Assocs., Inc., 196 S.W.3d 210 (Tex. App. 2006). “Laws 706 , 707-08 (amended nonsubstan-tively 2005) (current version at Tex. PROP. Code Ann. § 53.202 (6) (Vernon Supp.”
Fondren Constr. Co., Inc., & Robert G. Lubkeman v. BriarCliff Hous. Dev. Assocs., Inc., DPMC-Briarcliff, L.P., & John Deere Co. (Tex. App. 2006). “First, Fondren argues John Deere’s bond does not prominently display contact information as Texas Property Code section 53.202(6) requires.”
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