The law of adverse possession is based on notice. The legitimacy of an adverse possession claim is established when circumstances are such that it is visible to others i.e., others are or should be on notice - that the possessor is asserting a claim of right to the property which is actual, open, notorious, exclusive, hostile, continuous, and uninterrupted for the applicable statutory period referred to in the CPRC as statutes of limitation. Note that the burden here is on the owner. Once an owner discovers the presence of a potential adverse possessor or is otherwise put on notice of an adverse possession claim, he must act to defeat the adverse possessors claim within the period prescribed by one of three statutes of limitation:
Sec. 16.024 - The Three-Year Statute
A person [i.e., the original owner] must bring suit to recover real property held by another in peaceable and adverse possession under title or color title not later than three years after the day the cause of action accrues.
Under this section, the possessor must have title (i.e., a deed as part of a regular chain of title) or color of title, which refers to a claim of title that has some reasonable basis but for some legitimate reason does not fit within the usual chain of title. So, the possessor must be able to produce some conveyance/title paperwork to support his claim if he is to assert adverse possession.
Sec. 16.025 - The Five-Year Statute
(a) A person [i.e., the original owner] must bring suit not later than five years after the day the cause of action accrues to recover real property held in peaceable and adverse possession by another who:
(1) cultivates, uses, or enjoys the property;
(2) pays applicable taxes on the property; and
(3) claims the property under a duly registered deed.
(b) This section does not apply to a claim based on a forged deed or a deed executed under a forged power of attorney.
Under this five-year statute, some sort of deed of record is still required.
Sec. 16.026 - The Ten-Year Statute (Nicknamed the Bare Possession Statute)
(a) A person must bring suit not later than 10 years after the day the cause of action accrues to recover real property held in peaceable and adverse possession by another who cultivates, uses, or enjoys the property.
(b) Without a title instrument, peaceable and adverse possession is limited in this section to 160 acres, including improvements, unless the number of acres actually enclosed exceeds 160. If the number of enclosed acres exceeds 160 acres, peaceable and adverse possession extends to the real property actually enclosed.
(c) Peaceable possession of real property held under a duly registered deed or other memorandum of title that fixes the boundaries of the possessors claim extends to the boundaries specified in the instrument.
The ten-year statute is the catch all. A deed or other memorandum of title is not necessary so long as the elements of adverse possession are met however, such documentation may be useful to establish the boundaries of the claimed tract. Otherwise the key to determining boundaries is what area is fenced in as a designed enclosure - not just a casual fence. Rhodes v. Cahill, 802 S.W.2d 643,646 (Tex. 1990).
Two other sections, Sec.16.027 and Sec.16.028, are less commonly used. The first provides a 25 year statute of limitation regardless of whether the person is or has been under a legal disability. The second allows a 25 year statute based on a title instrument, even if that instrument is void on its face or in fact.
Statutes of limitation do not include any periods of disability on the part of the original owner (e.g., he was under 18 years old, of unsound mind, or serving in the armed forces in time of war).
Statutes of limitation may be tacked or combined by various successive possessor of the property so long as there exists privity of estate (a direct legal connection) between these persons.
What sort of action should the owner take to defeat a claim of adverse possession? The most obvious course of action is to evict the interloper if that can be accomplished peaceably. If not, or if the adverse claimant asserts a title claim, then the owners remedy is litigation what is called a trespass to try title action requesting a declaratory judgment.
Litigation by the Adverse Possessor
Alternatively, an adverse possessor may be the one to file suit to establish his claim. To do so, he must prove (a) a visible appropriation and possession of the land, sufficient to give notice to the record title holder that is (2) peaceable, (3) under a claim of right hostile to the title holders claim, and (4) that continues for the duration specified in the applicable statute. What is a visible appropriation? The possessor must visibly appropriate the property as to give notice to any other person that they claim a right to the property. Perkins v. McGehee, 133 S.W.3d 291, 292 (Tex.App. - Forth Worth 2004, no pet.).
Finally, Sec. 16.034 provides that the prevailing in a suit for possession of real property may receive an award of costs and reasonable attorneys fees.
Creative Approaches: The Affidavit of Adverse Possession
What should an adverse possessor do who believes that one of the above statutes of limitation allows him to claim ownership? The first and best option is to file suit for a declaratory judgment in district court. However, if a lawsuit is not a feasible or affordable option, it may be useful to consider filing an affidavit (an Affidavit of Adverse Possession) in the real property records which contains specific wording that asserts and justifies a claim of adverse possession. At the very least, such an affidavit acts as a marker in time to begin putting all others on notice of an adverse possession claim, thereby providing a fixed point for commencement of the applicable statute of limitations.
As part of this process, it is advisable to research the title to the subject property to determine if there are known owners who can be located. Title companies will issue a relatively inexpensive title report, or an online service such as TitleSearch.com can be used. If there are record owners that can be located, one might be better advised to contact them and attempt to make a deal that preserves the existing chain of title.