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Texas Public Time Frames

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Texas Public Time Frames


Step 1: First Bond Claim Notice
  • Contracting with remote contractors: Written notice to the prime contractor on or before the 15th day of the 2nd month following each month in which labor was performed or materials were delivered.

Step 2: Second Bond Claim Notice
  • Contracting with the prime contractor and with remote contractors: Notice to the original contractor and surety, along with sworn statement on or before the 15th day of the 3rd month following each month in which all or part of the claimed labor was performed or materials were furnished. See Speed Bumps

Step 3: Suit
  • Suit must be filed not less than 60 days after notice is given and no later than one year after the date of filing the claim.

Bond Bits

  • Contracts less than $25,000 are excluded from bond requirements.
  • Amount of Bond: 100% of contract price except highway projects, 50% of contract price.
  • P3 projects:  Payment bonds or an alternative form of security. 
  • Claimants against General Contractors payment bond:  First and second tier subcontractors and suppliers.
  • Suppliers to suppliers MAY have rights to claim but statute is not clear. Must be within above tiers.
  • Retainage – Written notice of retainage claims must be served to the prime contractor and surety within 90 days of final completion of the project.

Owner’s agreement may include one or a combination of the following as an acceptable form of security: payment bonds, parent company guarantees, letters of credit or other satisfactory forms of security.