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§ 113.003.Remedies

Title 5. Governmental Liability · Chapter 113. Water Supply Contract Claim Against Local District or Authority · Last amended 2013 · Last verified August 29, 2026

In one sentenceSection 113.003 allows any contract remedy consistent with the contract, including cover and specific performance, but bars consequential and exemplary damages.

Full Text of § 113.003

Text sizeJump to: (a) (b)

(a)Except as provided by Subsection (b), remedies awarded in a proceeding adjudicating a claim under this chapter may include any remedy available for breach of contract that is not inconsistent with the terms of the contract, including the cost of cover and specific performance.
(b)Remedies awarded in a proceeding adjudicating a claim under this chapter may not include consequential or exemplary damages.
End

Plain-English Summary

The remedy section is written as a permission followed by a subtraction.

Any remedy available for breach of contract is on the table, so long as it is not inconsistent with the terms of the contract itself.

Two remedies are named. The cost of cover — what the buyer pays to get replacement water elsewhere — and specific performance.

Cover is the practical remedy here. A generator that loses its supply buys water somewhere else at a higher price, and the difference is the loss.

Specific performance matters where cover is impossible. Water rights are not fungible, and no amount of money creates a second source in a dry basin.

Consequential damages are barred. The lost revenue from a plant that could not run is the largest number in the case, and it is the number the legislature took away.

Exemplary damages are barred too, which keeps the exposure to what the contract itself is worth.

The contract can narrow this further. Remedies must not be inconsistent with the contract’s terms, so a negotiated limit still governs.

Cover is measured by what replacement costs. The remedy asks what the purchaser paid to obtain water elsewhere, not what the failure did to the rest of the business.

The court is applying the contract, not rewriting it. A remedy inconsistent with the agreement is unavailable however sympathetic the failure, which puts the negotiating table ahead of the courthouse.

Frequently Asked Questions

What can a purchaser recover?

Any contract remedy not inconsistent with the contract, including the cost of cover and specific performance.

Are consequential damages available?

No. Consequential and exemplary damages are both excluded.

Can the contract limit remedies further?

Yes. A remedy must not be inconsistent with the contract’s own terms.

Amendment History

  • Added by Acts 2013, 83rd Leg., R.S., Ch. 1138 (H.B. 3511), Sec. 1, eff. June 14, 2013.
  • Added by Acts 2013, 83rd Leg., R.S., Ch. 1340 (S.B. 958), Sec. 1, eff. June 14, 2013.
Source & verification. Section text is reproduced verbatim from Texas Legislature Online (statutes.capitol.texas.gov). Enacted by the Texas Legislature. Current through May 14, 2026. Last verified August 29, 2026. · Official source