Texas Local Government Code 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.
Terms Used In Texas Local Government Code 262.007
- Contract: A legal written agreement that becomes binding when signed.
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Equitable: Pertaining to civil suits in "equity" rather than in "law." In English legal history, the courts of "law" could order the payment of damages and could afford no other remedy. See damages. A separate court of "equity" could order someone to do something or to cease to do something. See, e.g., injunction. In American jurisprudence, the federal courts have both legal and equitable power, but the distinction is still an important one. For example, a trial by jury is normally available in "law" cases but not in "equity" cases. Source: U.S. Courts
- Written: includes any representation of words, letters, symbols, or figures. See Texas Government Code 311.005
(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.