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Texas Occupations Code - Chapter 2301 Sale Or Lease Of Motor VehiclesLegal Research Home > Texas Laws > Occupations Code > Texas Occupations Code - Chapter 2301 Sale Or Lease Of Motor Vehicles The distribution and sale of motor vehicles in this state vitally affects the general economy of the state and the public interest and welfare of ... In this chapter: (1) "Ambulance" means a vehicle that is used exclusively to transport or to provide emergency medical care to an injured or ill ... (a) The terms and conditions of a franchise are subject to this chapter. (b) An agreement to waive the terms of this chapter is void ... Unless otherwise specifically provided by law not in conflict with this chapter, all aspects of the distribution and sale of motor vehicles are governed exclusively ... (a) A reference in law, including a rule, to the Texas Motor Vehicle Commission or to the board means the director, except that a reference ... A person may not act as, offer to act as, or claim to be a broker. Added by Acts 2001, 77th Leg., ch. 1421, § ... Notwithstanding any other law, a person licensed under this chapter does not commit an offense by employing a person to tow a disabled vehicle to ... (a) The director is the division's chief executive and administrative officer and shall administer and enforce this chapter. (b) The director must be licensed to ... A division employee is subject to dismissal if the employee has an interest in or is related within the first degree by consanguinity or affinity, ... (a) The director or the director's designee shall develop an intra-agency career ladder program that addresses opportunities for mobility and advancement of employees in the ... (a) The director or the director's designee shall prepare and maintain a written policy statement to ensure implementation of an equal employment opportunity program under ... (a) The board has the exclusive original jurisdiction to regulate those aspects of the distribution, sale, or lease of motor vehicles that are governed by ... (a) In accordance with this chapter, the board shall: (1) administer this chapter; (2) establish the qualifications of license holders; (3) ensure that the distribution, ... (a) Notwithstanding any other provision of law, the board has all powers necessary, incidental, or convenient to perform a power or duty expressly granted under ... The director may delegate any of the director's powers to one or more of the division's employees. Added by Acts 2001, 77th Leg., ch. 1421, ... The authority to adopt rules under this chapter is vested in the board. In accordance with this chapter and the rules, decisions, and orders of ... Notwithstanding any other law to the contrary, all money collected by the board under this chapter shall be deposited in the state treasury to the ... (a) Notwithstanding any other law, the director or a board member, hearings examiner, or division employee is not personally liable for damages resulting from an ... A time limit relating to a board proceeding that is imposed by this chapter on the board or on a dealer is tolled during the ... (a) The director or the director's designee shall prepare information describing the functions of the board and the procedures by which complaints or protests are ... (a) The board shall provide to a person who files a complaint, and to each person that is the subject of the complaint, information about ... (a) If the board has reason to believe, through receipt of a complaint or otherwise, that a violation of this chapter or a rule, order, ... (a) The owner of a motor vehicle or the owner's designated agent may make a complaint concerning a defect in a motor vehicle that is ... (a) A franchised dealer shall provide notice of the complaint procedures provided by Section 2301.204 and Subchapter M to each person to whom the dealer ... (a) The board shall develop and implement policies that provide the public with a reasonable opportunity to appear before the board and to speak on ... (a) Unless a person holds a license issued under this chapter authorizing the activity, the person may not: (1) engage in business as, serve in ... (a) A person may not engage in the business of buying, selling, or exchanging new motor vehicles unless the person: (1) holds a franchised dealer's ... Unless a person holds a vehicle lease facilitator license and complies with this chapter, the person may not: (1) act in the capacity of or ... (a) A person is not required to obtain a license to act as a vehicle lessor or a vehicle lease facilitator if the person is: ... ( a) A nonfranchised dealer may not operate as a dealer unless the person holds a general distinguishing number. A nonfranchised dealer is not required ... A new application for a license under this chapter shall be reviewed and may be investigated to determine compliance with this chapter. Added by Acts ... (a) An application for a dealer's license must be on a form prescribed by the board. The application must include: (1) the information required by ... Notwithstanding any other law or rule, a request for an application for a dealer's license is confidential, is not an open record, and is not ... An application for a manufacturer's, distributor's, converter's, or representative's license must be on a form prescribed by the board. The application must include information the ... (a) An applicant for a manufacturer's license must provide a list of each distributor or representative acting for the applicant and each dealer franchised to ... (a) An application for a distributor's license must disclose: (1) the manufacturer for whom the distributor will act; (2) whether the manufacturer is licensed in ... (a) An application for a vehicle lessor's license must: (1) be on a form prescribed by the board; (2) contain evidence of compliance with Chapter ... (a) An application for a vehicle lease facilitator license must be on a form prescribed by the board and contain the information required by the ... A license issued under this chapter is subject to each provision of this chapter and board rule in effect on the date the license is ... (a) The annual fees for a license issued under this chapter are: (1) $900 for a manufacturer or distributor, plus $20 for each dealer franchised ... Obtaining a license under this chapter constitutes doing business in this state. A license holder who fails to designate an agent for service of process ... The board may: (1) issue a duplicate license for any license the board issues; (2) charge a fee for the issuance of a duplicate license; ... (a) A license issued under this chapter expires on the first anniversary of the date the license is issued. (b) The board may issue a ... The board shall notify each person licensed under this chapter of the date of license expiration and the amount of the fee required for license ... A dealer shall renew the dealer's license annually on an application prescribed by the board. The board shall include in the renewal application a request ... The holder of a manufacturer's, distributor's, converter's, or representative's license may apply for a renewal of the license by complying with the application process specified ... A dealer may not: (1) violate a board rule; (2) aid or abet a person who violates this chapter; or (3) use false, deceptive, or ... A franchised dealer may not require as a condition of the sale and delivery of a new motor vehicle a retail purchaser of the vehicle ... A franchised dealer may not fail to perform an obligation placed on: (1) the selling dealer in connection with the preparation and delivery of a ... (a) A franchised dealer may not operate without appropriate signs that: (1) are readily and easily visible to the public; and (2) identify the dealer's ... (a) A franchised dealer may conduct business at more than one location, except that the dealer may establish and maintain a separate location for the ... A licensed dealer shall promptly notify the board of any proposed change in its ownership, location, franchise, or any other matter the board by rule ... (a) A franchised dealer may not directly or indirectly pay a fee to a vehicle lessor or a vehicle lease facilitator. (b) For purposes of ... (a) A person who holds a license issued under this chapter may not participate in a new motor vehicle show or exhibition unless: (1) the ... (a) A dealer must notify the manufacturer or distributor of a vehicle the dealer is franchised to sell of the dealer's decision to assign, sell, ... (a) A dealer whose application is rejected under Section 2301.359 may file a protest with the board. A protest filed under this section is a ... (a) A manufacturer or distributor shall file with the board a copy of the current requirements the manufacturer or distributor imposes on its dealers with ... (a) A manufacturer or distributor shall fairly and adequately compensate its dealers for warranty work. (b) A manufacturer or distributor may not pay or reimburse ... (a) A dealer may request an adjustment in the dealer's warranty labor rate. The request must be sent to the manufacturer or distributor by certified ... (a) A manufacturer or distributor shall pay a dealer's claim for reimbursement for warranty work or dealer preparation and delivery work not later than the ... (a) A manufacturer or distributor may not charge back to a dealer money paid by the manufacturer or distributor to satisfy a claim approved and ... A manufacturer or distributor may not require, as a prerequisite to the payment of a claim for reimbursement, that a dealer file a statement of ... A manufacturer, distributor, or representative may not require or attempt to require a franchised dealer to order, accept delivery of, or pay anything of value, ... (a) A manufacturer, distributor, or representative shall deliver in a reasonable quantity and within a reasonable time to a franchised dealer who holds a franchise ... (a) Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not terminate or discontinue a franchise with a franchised dealer or directly ... (a) Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not modify or replace a franchise if the modification or replacement would ... (a) Notwithstanding the terms of any franchise, in determining whether good cause has been established under Section 2301.453 or 2301.454, the board shall consider all ... A manufacturer, distributor, or representative may not: (1) use any false, deceptive, or misleading advertising; or (2) notwithstanding the terms of any franchise, require that ... Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not prevent a franchised dealer who meets reasonable capital requirements from reasonably changing: ... Notwithstanding the terms of any franchise, except as provided by Section 2301.359 or 2301.360, a manufacturer, distributor, or representative may not fail to give effect ... Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not require or attempt to require that a franchised dealer assign to or ... Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not, after a complaint and a hearing, fail or refuse to perform an ... (a) Notwithstanding the terms of any franchise or any other law, a franchised dealer's preparation, delivery, and warranty obligations as filed with the board are ... (a) Notwithstanding the terms of any franchise, except as provided by Subsection (b), a manufacturer, distributor, or representative shall honor the succession to a dealership ... Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not require a franchised dealer to directly or indirectly pay or assume any ... (a) Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not deny or withhold approval of a written application to relocate a ... (a) In this section: (1) "Net cost" means the franchised dealer cost for a new, unsold, undamaged, and complete motor vehicle of the current model ... (a) Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not require a franchised dealer to submit to arbitration on any issue ... Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not: (1) require adherence to unreasonable sales or service standards; or (2) unreasonably ... A manufacturer, distributor, or representative may not: (1) notwithstanding the terms of any franchise, directly or indirectly discriminate against a franchised dealer or otherwise treat ... Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative shall compensate a franchised dealer for all costs incurred by the dealer as required ... A manufacturer, distributor, or representative may not directly or indirectly, or through a subsidiary or agent, require as a condition for obtaining financing for a ... (a) A manufacturer, distributor, or representative may not: (1) compel a franchised dealer through a financing subsidiary of the manufacturer or distributor to agree to ... (a) Notwithstanding the terms of any franchise, a manufacturer, distributor, or representative may not deny or withhold approval of a franchised dealer's application to add ... A manufacturer, distributor, or representative may not: (1) fail or refuse to offer to its same line-make franchised dealers all models manufactured for that line-make; ... (a) A manufacturer, distributor, or representative may not require a franchised dealer to compensate the manufacturer or distributor for any court costs, attorney's fees, or ... (a) Except as provided by Subsection (b), after the first anniversary of the ending date of a manufacturer or distributor incentive program, a manufacturer or ... (a) In this section, "manufacturer" includes: (1) a representative; or (2) a person who: (A) is affiliated with a manufacturer or representative; or (B) directly ... A manufacturer whose products are offered for sale in this state under a franchise entered into between its distributor or representative and a dealer is ... (a) Notwithstanding the terms of any franchise or any other law, an action or proceeding brought by a manufacturer, representative, converter, or distributor against a ... In this subchapter, "mediation" means a nonbinding forum in which an impartial mediator facilitates communication between parties to promote reconciliation, settlement, or understanding between the ... (a) In an action brought against a manufacturer or distributor under Sections 2301.451-2301.474 by a franchised dealer whose franchise provides for arbitration in compliance with ... (a) By agreement, the parties shall select and compensate a mediator who is qualified to serve under Section 154.052(a), Civil Practice and Remedies Code. (b) ... (a) The parties by agreement shall select a venue and schedule for mediation under this subchapter. If the parties are unable to agree on a ... (a) Except as provided by Subsection (b) of this section, Section 154.073, Civil Practice and Remedies Code, applies to mediation under this subchapter. (b) If ... (a) The board is not liable for the compensation paid or to be paid to a mediator employed under this subchapter. (b) Without regard to ... The board retains jurisdiction of the subject matter of and parties to a dispute during mediation and may, on the motion of a party or ... (a) Except as provided by this subchapter, mediation under this subchapter does not affect a procedural right or duty conferred by this chapter or by ... (a) If mediation resolves the dispute, the board shall enter an order incorporating the terms of the agreement reached in mediation. (b) If mediation does ... (a) A vehicle lessor may not directly or indirectly accept a fee from a dealer. For purposes of this subsection, "fee" does not include an ... (a) A vehicle lessor may appoint one or more vehicle lease facilitators licensed under this chapter to represent the lessor in obtaining prospective vehicle lessees. ... (a) In a vehicle lease solicited, procured, or produced by a vehicle lease facilitator, the vehicle lessor shall disclose to the lessee that a fee ... (a) Except as provided by Subsection (b) or by federal law, including a federal agency rule, a vehicle lessor may not, and the vehicle lease ... (a) A vehicle lease facilitator may not: (1) sell or offer to sell a new motor vehicle; (2) accept a fee from a dealer; (3) ... With respect to the regulation of motor vehicle distribution under this chapter, a person may not use the word "lease" or "leasing," or any variation ... In this subchapter: (1) "Impairment of market value" means a substantial loss in market value caused by a defect specific to a motor vehicle. (2) ... (a) The board shall cause a manufacturer, converter, or distributor to perform an obligation imposed by this subchapter. (b) The board shall adopt rules for ... (a) A manufacturer, converter, or distributor shall make repairs necessary to conform a new motor vehicle to an applicable manufacturer's, converter's, or distributor's express warranty. ... (a) A manufacturer, converter, or distributor that is unable to conform a motor vehicle to an applicable express warranty by repairing or correcting a defect ... (a) A rebuttable presumption that a reasonable number of attempts have been undertaken to conform a motor vehicle to an applicable express warranty is established ... (a) The director under board rules shall conduct hearings and issue final orders for the implementation and enforcement of this subchapter. An order issued by ... (a) A refund or replacement under this subchapter because a motor vehicle is alleged to not conform to an express warranty is not available to ... (a) In an order issued under this subchapter, the director shall name the person responsible for paying the cost of any refund or replacement. A ... (a) A party to a proceeding before the director under this subchapter that is affected by a final order of the director is entitled to ... (a) A manufacturer, distributor, or converter that has been ordered to repurchase or replace a vehicle shall, through its franchised dealer, issue a disclosure statement ... (a) The board shall publish an annual report on the motor vehicles ordered repurchased or replaced under this subchapter. (b) The report must list the ... Information filed with the board under this subchapter is not a public record and is not subject to release under Chapter 552, Government Code, until ... (a) The board shall prepare, publish, and distribute information concerning an owner's rights under this subchapter. The retail seller of a new motor vehicle shall ... (a) The board may deny an application for a license, revoke or suspend a license, place on probation a person whose license has been suspended, ... (a) The board may deny an application for a license to establish a dealership if, following a protest, the applicant fails to establish good cause ... The revocation or suspension of a manufacturer's or distributor's license may be: (1) limited to one or more municipalities or counties or any other defined ... If a suspension of a license is probated, the board may: (1) require the license holder to report regularly to the board on matters that ... In this subchapter, "contested case" has the meaning assigned by Section 2001.003, Government Code. Added by Acts 2001, 77th Leg., ch. 1421, § 5, eff. ... To the extent of a conflict between this chapter and Chapter 2001, Government Code, this chapter controls. Added by Acts 2001, 77th Leg., ch. 1421, ... (a) This section does not apply to: (1) an action with respect to which this chapter or rules of the board establish specific procedural time ... (a) A hearing shall be conducted in any contested case arising under this chapter or a board rule. The hearing must be conducted in accordance ... (a) A hearing under this subchapter must be held by the director or a hearings examiner. A reference in this chapter to a hearings examiner ... (a) Notice of a contested case hearing involving a license holder must be given in accordance with this chapter and board rules. (b) Notice must ... Notice of a rulemaking hearing must be given in accordance with Chapter 2001, Government Code, and board rules before the 30th day preceding the date ... Notice of a hearing shall describe in summary form the purpose of the hearing and the date, time, and place of the hearing. Added by ... (a) A hearing must be convened at the time and place stated in the notice. (b) A hearing may be recessed until a time and ... (a) In a contested case, the hearings examiner shall serve on each party a copy of the examiner's proposal for decision and recommended order containing ... On the motion of any party, the board, without holding a contested case hearing, may issue a final order dismissing a complaint, protest, or response ... (a) An order or decision of the board must: (1) include a separate finding of fact with respect to each specific issue the board is ... (a) The filing fee for a contested case or a protest that involves a hearing is: (1) $35 for a complaint filed under Subchapter M; ... A party who seeks a rehearing of an order shall seek the rehearing in accordance with Chapter 2001, Government Code. Added by Acts 2001, 77th ... (a) A party to a proceeding affected by a final order, rule, or decision or other final action of the board or director under this ... (a) A petition for judicial review under this chapter must be filed not later than the 30th day after the date on which the action, ... An appeal in which evidence outside the record of the board is to be taken under Chapter 2001, Government Code, or otherwise, shall be brought ... (a) A person filing an appeal under this subchapter shall pursue the appeal with reasonable diligence. (b) If the person fails to prosecute the appeal ... An appeal under this subchapter does not affect the enforcement of a final board order unless: (1) the enforcement of the order is enjoinable under ... (a) A writ of error is allowed from the supreme court for an appeal of an interlocutory order described by Section 51.014(a)(3) or (6), Civil ... (a) If, after a proceeding under this chapter and board rules, the board determines that a person is violating or has violated this chapter, a ... (a) If it appears to the board that a person is violating this chapter or a board rule or order, the board after notice may ... (a) On the initiation of a board proceeding, whether by complaint, protest, or otherwise, a person who receives notice from the board of a statutory ... (a) If it appears that a person has violated, is violating, or is threatening to violate this chapter or a board rule or order, the ... (a) Notwithstanding any other law, including Subchapter E, Chapter 17, Business & Commerce Code, in addition to the other remedies provided by this subchapter, a ... Notwithstanding the other provisions of this chapter, the board is not required to pay a filing fee when filing a complaint or other enforcement action. ... Last modified: August 11, 2007 |
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