TX SB1734

Expands the legal presumption of fraud to include documents purporting to convey title to or an interest in real property when a person has been convicted of an offense under Title 7 (Offenses Against Property) or Title 8 (Offenses Against Public Administration) of the Texas Penal Code related to that document, or when an owner's affidavit has been filed and no controverting affidavit was submitted within the required timeframe

Creates a new judicial review process (Section 51.9035, Government Code) allowing property owners to file a verified petition with the district clerk to challenge fraudulent conveyance documents, with no filing fee required and the court authorized to rule ex parte based solely on documentary evidence

Establishes a new owner's affidavit process (Section 5.0206, Property Code) enabling property owners to record an affidavit disputing a purported conveyance, with required notification to the grantor and grantee by certified mail, and a 120-day window for filing a controverting affidavit

Provides that bona fide purchasers, mortgagees, and their successors may conclusively rely on a district court's finding that a document does not convey title to or interest in real property

Takes effect September 1, 2025; passed the Senate 31-0 on April 24, 2025, and the House 121-18 on May 15, 2025