Houston has one of the largest construction markets in the U.S., and there are a number of residential, commercial, and infrastructure projects that are still underway throughout the city. The Texas Civil Practice and Remedies Code and the Texas Property Code have several statutes of limitations that impact construction disputes, such as deadlines.
Construction claims in Houston are subject to strict filing deadlines, and missing them can result in the loss of valuable legal rights. In general, breach of contract claims must be filed within four years, property damage and negligence claims within two years, construction defect claims may be subject to a ten-year statute of repose, and mechanic’s lien claims must comply with specific notice and filing deadlines under Texas law.
A seasoned legal representation filing a construction claim in Houston can avail much in terms of applicable deadlines of construction claims before it becomes too late to preserve valuable legal rights. Texas has, in general, a four-year statute of limitations for many claims of a breach of contract under the Texas Civil Practice and Remedies Code §16.004.
Before diving deeper, let’s first know when construction claims are due!
Time Limit for Filing Construction Claims
All construction disputes do not have the same stages. Typically, the time to file a claim is determined by the type of claim.
Common examples include:
- A contract is breached: This happens when one party fails to live up to its obligations under the agreement. Breach of contract is usually 4 years of Texas Civil Practice and Remedies Code §16.004.
- Avoiding causing property damage: Decently two years under the Texas Civil Practice and Remedies Code §16.003.
- Construction defect claims: May be subject to statute of repose, ten years in §16.009.
- Mechanic’s lien rights: Texas Property Code, Chapter 53, governs and has very specific notice and filing requirements.
Why is the Construction Deadline Important?
There are several different parties that are involved in construction projects, such as owners, subcontractors, suppliers, architects, engineers, and more. As time passes, it will be more difficult to gather evidence when there is a payment dispute or if the work was faulty.
Think of a business property that was completed 3 years ago, and has developed a leaky roof. Several years of delay by the owner may cause valuable records to be lost, and witnesses to forget important information. Even if a claim is a valid claim, it can be denied if it is submitted late.
What role can Contracts Play in Filing Deadlines?
Numerous construction contracts have notice clauses that stipulate that the parties will report the problem within days or weeks after it is identified by them. However, the contractual deadlines don’t always take the place of the Texas statutes, but can add other obligations.
Mediation or arbitration may also be required by some agreements before litigation. Failure to do so could impede recovery or make the dispute more difficult.
Steps to Take Before Filing a Construction Claim
- Read the notice and dispute provisions in the construction contract.
- Collect all invoices, change orders, inspection reports, emails, and photos.
- Record dates of defects or payment problems detected.
- Provide all notices required by the contract or Texas law.
- Submit the claim timely within the statute of limitations or the statute of repose.
Key Takeaways
- There are strict deadlines for filing construction claims.
- The provisions of Texas Civil Practice and Remedies Code §§16.003, 16.004, and 16.009 are often invoked.
- There may be other deadlines imposed by contract notice requirements.
- Construction claims are supported by good time documentation.
- Failure to file on time may be a “foregone conclusion.”
- Knowing the proper legal timeframe is vital to construction rights protection.
