Texas § PR.62.061 - SUIT TO FORECLOSE LIEN

§ PR.62.061. SUIT TO FORECLOSE LIEN

SUIT TO FORECLOSE LIEN. (a) A broker may not bring a suit to foreclose a lien under this chapter unless the commission is earned and payable. A broker may bring a suit to foreclose a lien in any district court for the county in which the commercial real estate is located by filing a sworn complaint stating that the notice of lien has been recorded. (b) A complaint in a suit filed under this section must contain: (1) a brief description of the commission agreement that is the basis for the lien, including: (A) a description of the disclosure of the broker's right to the lien contained in the commission agreement; (B) the date on which the commission agreement was executed; (C) the event for which a commission is considered to be earned; and (D) the event for which a commission is considered to be payable; (2) a description of the services performed by the broker; (3) the amount of the payable commission that is unpaid; (4) a description of the commercial real estate to which the lien attaches; and (5) other facts necessary for a full understanding of the rights of the parties. (c) The broker must include as a defendant in a suit brought under this subchapter each person the broker believes to have an interest in the commercial real estate that is subordinate to or encumbered by the broker's lien. (d) If the broker and a person against whom the broker claims a commission use alternative dispute resolution procedures to resolve a dispute concerning entitlement to the broker's commission, the broker's lien remains valid, and any suit to foreclose the lien is stayed until the alternative dispute resolution process is completed. Added by Acts 1999, 76th Leg., ch. 1571, Sec. 1, eff. Aug. 30, 1999.