The bill, H.B. No. 5011, introduces new protections for property owners within property owners' associations in Texas. It amends Section 209.005(o) of the Property Code to clarify that if a party prevails in an action against a property owners' association, that party is entitled to recover court costs and attorney's fees incurred during the action. Additionally, the bill adds Section 209.018, which allows property owners to withhold assessment payments while a legal action against the association is pending. If the association prevails, the property owner must pay the withheld assessments and resume payments.

Furthermore, the bill stipulates that a property owners' association cannot file a suit to collect withheld assessments from a property owner who wins an action against the association. The provisions of this bill will apply only to actions filed on or after its effective date of September 1, 2025, ensuring that any actions filed before this date will be governed by the previous law.

Statutes affected:
Introduced: Property Code 209.005 (Property Code 209)