Releases

Texas Senate Bill 889, which went into effect June 17, will allow lenders to directly collect rent from tenants of commercial properties that are in default. "In essence, the bill allows lenders to collect rents without first foreclosing on the property," says Andrew Ingrum in the Dallas office of Thompson & Knight. "Prior to this legislation, there was very little legal authority that allowed such actions." Ingrum notes that while the new law creates a simple process for collecting rent, it may present some operational challenges for lenders who are receiving rent, but don't have the authority to operate the property. Thompson & Knight recently was named among the top five Texas firms for real estate law by the prestigious Chambers USA directory. For information, contact Barry Pound at 800-559-4534 or barry@androvett.com.