Tex.
Local Gov't Code Section 271.9041
Appraisal Service Contracts; Indemnification Limitations; Duties of Appraiser
(a)
In this section, “governmental agency” has the meaning assigned by Section 271.003 (Definitions).(b)
This section applies only to a contract for appraisal services for real property entered into by a licensed appraiser and a governmental agency.(c)
A provision of a contract for appraisal services, or a promise in connection with the contract, is void and unenforceable if the provision requires a licensed appraiser to indemnify or hold harmless a governmental agency against liability for damage, other than damage to the extent the damage is caused by or results from an act of:(1)
negligence;(2)
intentional tort;(3)
intellectual property infringement; or(4)
failure to pay:(A)
a subcontractor or supplier committed by the appraiser or the appraiser’s agent;(B)
a consultant under contract; or(C)
another person over which the appraiser exercises control.(d)
Except as provided by Subsection (e)(2), a provision of a contract for appraisal services, or a promise in connection with the contract, is void and unenforceable if the provision requires a licensed appraiser to defend a person against a claim based wholly or partly on the negligence or fault of, or breach of contract by:(1)
the governmental agency that is a party to the contract;(2)
an employee or agent of the governmental agency; or(3)
another person over which the governmental agency exercises control, other than the appraiser or an employee, agent, or consultant of the appraiser.(e)
A contract for appraisal services may require:(1)
the reimbursement of a governmental agency’s reasonable attorney’s fees in proportion to an appraiser’s liability; and(2)
an appraiser to name a governmental agency as an additional insured under the appraiser’s general liability insurance policy and provide any defense provided by the policy.(f)
A contract for appraisal services must require a licensed appraiser to perform services:(1)
with the professional skill and care ordinarily provided by competent appraisers under the same or similar circumstances and professional license; and(2)
as expeditiously as is prudent considering the ordinary professional skill and care of a competent appraiser.(g)
A provision of a contract for appraisal services establishing a different standard of care than a standard described by Subsection (f) is void and unenforceable. If a contract contains a void and unenforceable provision described by this subsection, the standard of care described by Subsection (f) applies.(h)
This section does not prohibit a governmental agency from including in and enforcing a provision in a contract for appraisal services that relates to the scope, fees, and schedule of a project in the contract.
Source:
Section 271.9041 — Appraisal Service Contracts; Indemnification Limitations; Duties of Appraiser, https://statutes.capitol.texas.gov/Docs/LG/htm/LG.271.htm#271.9041 (accessed Jun. 5, 2024).
