Happy New Year! Thank you for bearing with me as I complete my review. Every year, January 1 brings with it a slate of new laws. My criteria as to what constitutes a “top new law” are: what I find interesting, what will impact my clients the most, and how broad the change will be in general. Unless otherwise stated, these laws went into effect on January 1, 2025. And if you’re wondering why the list is so light, it’s because the Texas legislature wasn’t in session last year.
And I have done the same for California here.
As with last year, our honorable mention is the federal Corporate Transparency Act. I've addressed the federal Corporate Transparency Act a few times before (here, here, and here, and on LinkedIn and Twitter). However, the CTA is not currently being enforced (due to a court injunction). As yet, we do not know what the fate of the CTA will be. Check with your business attorney.
Also, the Supreme Court of Texas upheld as constitutional the 15th Court of Appeals (the appellate business court, although its jurisdiction is somewhat broader than that).
5. New District Courts (HB 3474)
In an effort to relieve some of the stress on the courts, the legislature added District Courts 477 (Denton) and 498 (Kendall, effective October 1).
4. Changes to Mandatory Vehicle Safety Inspections (HB 3297)
Texas is one of a minority of states that requires annual vehicle safety inspections (California does not, focusing instead of emissions). As of January 1, this has changed for most non-commercial vehicles.
3. Clarification of Certain Criminal Offenses (HB 4504)
This is a lengthy bill, designed to clarify existing law so that it is more accessible. Although this is outside of my areas of practice, the new law does include some crimes related to real estate, construction, business, etc. (e.g., mortgage fraud, insurance fraud, hindering secured creditors).
2. Texas Data Privacy and Security Act (HB 4)
Back in 2023, Texas joined a short but growing list of states (including California) passing data security legislation. HB 4 went into effect (mostly) on July 1, 2024; however, the consumer’s right to opt-out (set forth at Tex. Bus. Comm. Code section 541.055(e)) is effective January 1, 2025.
1. Property Tax Relief Act (SB 2)
This is the big one. The legislature has lowered school district tax rates. School districts will be able to make up the difference from state funds. SB 2 also increases the homestead exemption to $100,000.00 (from $40,000.00).
Conclusion
As mentioned, there weren’t a lot to choose from. But these are the highlights. If you have your own picks, let us know in the comments or send us an email. Happy 2025!
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