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What is a Notice of Commencement in Texas?

A Notice of Commencement is a document that establishes the formal start date of a construction project and identifies the project stakeholders, such as the property owner, lender, and general contractor.

How does retainage work in Texas?

Texas law obligates construction owners to withhold 10% of the value of the work during the course of a project and for 30 days after final completion. This is generally known as statutory retainage.

Does Texas have a Prompt Payment Act?

Under the Texas Prompt Payment Act, once an owner receives a request for payment, the contractor has a right to be paid within thirty-five (35) days. This regulation is only valid if the work conforms to the contract and the amount requested is allowed under the contract.

Does Texas require preliminary notices?

Residential Disclosure Notice: In Texas, a general contractor is generally not required to give any preliminary notice. However, when a project is residential, a GC must provide a Residential Disclosure Statement.

Is a notice of intent to lien required in Texas?

In all cases, Texas requires that you send a separate pre-lien notice for each month youre not paid, or you will forfeit your right to file a mechanics lien for that months work.

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