Tex. Local Gov't Code Section 262.007
Suit Against County Arising Under Certain Contracts


(a)

A county that is a party to a written contract for engineering, architectural, or construction services or for goods related to engineering, architectural, or construction services may sue or be sued, plead or be impleaded, or defend or be defended on a claim arising under the contract. A suit on the contract brought by a county shall be brought in the name of the county. A suit on the contract brought against a county shall identify the county by name and must be brought in a state court in that county.

(b)

The total amount of money recoverable from a county on a claim for breach of the contract is limited to the following:

(1)

the balance due and owed by the county under the contract as it may have been amended, including any amount owed as compensation for the increased cost to perform the work as a direct result of owner-caused delays or acceleration;

(2)

the amount owed for change orders or additional work required to carry out the contract;

(3)

reasonable and necessary attorney’s fees that are equitable and just; and

(4)

interest as allowed by law.

(c)

An award of damages under this section may not include:

(1)

consequential damages, except as allowed under Subsection (b)(1);

(2)

exemplary damages; or

(3)

damages for unabsorbed home office overhead.

(d)

This section does not waive a defense or a limitation on damages available to a party to a contract, other than a bar against suit based on sovereign immunity.

(e)

This section does not waive sovereign immunity to suit in federal court.
Acts 2003, 78th Leg., ch. 1203, Sec. 2, eff. Sept. 1, 2003.

Source: Section 262.007 — Suit Against County Arising Under Certain Contracts, https://statutes.­capitol.­texas.­gov/Docs/LG/htm/LG.­262.­htm#262.­007 (accessed May 11, 2024).

262.001
Appointment of Agent to Make Contracts
262.002
Authority to Purchase Road Equipment and Tires Through Comptroller
262.003
Small, Sole-source Purchase Exempt from Competitive Bidding
262.004
Contract and Other Instruments Vest Rights in County
262.005
Application of Other Law
262.006
Least Cost Review Program
262.007
Suit Against County Arising Under Certain Contracts
262.011
Purchasing Agents
262.012
County Auditors as Purchasing Agents in Certain Counties
262.021
Short Title
262.022
Definitions
262.023
Competitive Requirements for Certain Purchases
262.024
Discretionary Exemptions
262.025
Competitive Bidding Notice
262.026
Opening of Bids
262.027
Awarding of Contract
262.028
Lump-sum or Unit Price Method
262.029
Time Warrant Election
262.030
Alternative Competitive Proposal Procedure for Certain Goods and Services
262.031
Changes in Plans and Specifications
262.032
Bid or Performance Bond
262.033
Injunction
262.034
Criminal Penalties
262.036
Selection and Retention of Insurance Broker
262.037
Qualification
262.0225
Additional Competitive Procedures
262.0235
Procedures Adopted by County Purchasing Agents for Electronic Bids or Proposals
262.0241
Mandatory Exemptions: Certain Recreational Services
262.0245
Competitive Procurement Procedures Adopted by County Purchasing Agents or Commissioners Court
262.0255
Additional Notice and Bond Provisions Relating to Purchase of Certain Equipment
262.0256
Pre-bid Conference for Certain Counties or a District Governed by Those Counties
262.0271
Consideration of Health Insurance Provided by Bidder
262.0275
Safety Record of Bidder Considered
262.0276
Contract with Person Indebted to County
262.0295
Alternative Multistep Competitive Proposal Procedure
262.0305
Modification After Award

Accessed:
May 11, 2024

§ 262.007’s source at texas​.gov