H.B. No. 2960 amends the Business & Commerce Code and the Civil Practice and Remedies Code in Texas regarding construction contracts. The bill establishes that any provision in a construction contract that subjects the contract to another state's law, litigation, or arbitration is deemed void as against public policy. Additionally, if a venue provision is rendered void under this new rule, any legal action arising from the contract must be brought in Texas, specifically in the county where the property involved is located, unless the parties agree to a different venue after a dispute arises.

The bill also modifies existing language in the Civil Practice and Remedies Code to clarify that venue agreements that are void under the new provisions of Chapter 272 are not subject to the previous "voidable" status. The changes apply only to contracts entered into or renewed after the effective date of the Act, which is set for September 1, 2025.

Statutes affected:
Introduced: Commerce Code 272.001, of the Civil Practice and Remedies Code 15.020 (of the Civil Practice and Remedies Code 15, Commerce Code 272)
House Committee Report: Commerce Code 272.001, Civil Practice and Remedies Code 15.020 (of the Civil Practice and Remedies Code 15, Commerce Code 272, Civil Practice and Remedies Code 15)
Engrossed: Commerce Code 272.001, Civil Practice and Remedies Code 15.020 (of the Civil Practice and Remedies Code 15, Commerce Code 272, Civil Practice and Remedies Code 15)
Senate Committee Report: Commerce Code 272.001, Civil Practice and Remedies Code 15.020 (of the Civil Practice and Remedies Code 15, Commerce Code 272, Civil Practice and Remedies Code 15)
Enrolled: Commerce Code 272.001, Civil Practice and Remedies Code 15.020 (of the Civil Practice and Remedies Code 15, Commerce Code 272, Civil Practice and Remedies Code 15)