Texas HB3287 amends the Property Code to clarify trust fund definitions and award attorney's fees in certain cases.

Texas HB3287 amends the Texas Property Code to redefine trust funds related to construction contracts. It specifies that funds reserved under Section 53.101 are trust funds unless they are for residential properties like single-family houses, duplexes, triplexes, or quadruplexes. The bill also mandates that courts award reasonable attorney's fees and costs to beneficiaries who prevail in actions against trustees. These changes apply to construction contracts entered into and actions commenced after the bill's effective date of September 1, 2025.

Texas HB3287 amends the Property Code to clarify trust fund definitions and award attorney's fees in certain cases.

Texas HB3287 amends the Texas Property Code to redefine trust funds related to construction contracts. It specifies that funds reserved under Section 53.101 are trust funds unless they are for residential properties like single-family houses, duplexes, triplexes, or quadruplexes. The bill also mandates that courts award reasonable attorney's fees and costs to beneficiaries who prevail in actions against trustees. These changes apply to construction contracts entered into and actions commenced after the bill's effective date of September 1, 2025.