H.B. No. 4531 seeks to enhance the protection of property rights by addressing the issue of fraudulent documents related to real property conveyances. The bill amends Section 51.901(c) of the Government Code to establish new criteria for identifying fraudulent documents, specifically targeting those associated with individuals convicted of certain offenses under the Penal Code or those linked to an owner's affidavit and certificate of mailing that has not been contested in a timely manner. Additionally, it introduces Section 51.9035, which allows property owners to file a motion in district court to challenge the validity of such documents, thereby creating a structured judicial review process.

The legislation also introduces new procedures for property owners to file affidavits regarding purported conveyances. Under the newly added Section 5.0206 of the Property Code, property owners can record an affidavit and a certificate of mailing to notify relevant parties. If no controverting affidavit is filed within 120 days, the property owner may seek a judicial ruling under Section 51.9035. The bill specifies the required forms for the affidavits and certificates, ensuring they contain essential details. Furthermore, it clarifies that bona fide purchasers or mortgagees can rely on district court findings regarding conveyance validity, thus safeguarding the interests of good faith property acquirers. The bill is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Government Code 51.901 (Government Code 51)
House Committee Report: Government Code 51.901 (Government Code 51)