Bill Text: TX HB1504 | 2013-2014 | 83rd Legislature | Comm Sub
Bill Title: Relating to the selection by motor vehicle dealers of materials and vendors for motor vehicle dealership upgrades and improvements.
Sponsorship: Partisan Bill (Republican 1)
Status: (Introduced - Dead) 2013-05-04 - Considered in Calendars [HB1504 Detail]
Download: Texas-2013-HB1504-Comm_Sub.html
| 83R13673 BEF-D | |||
| By: Kuempel | H.B. No. 1504 | ||
| Substitute the following for H.B. No. 1504: | |||
| By: Kuempel | C.S.H.B. No. 1504 | ||
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| relating to the selection by motor vehicle dealers of materials and | ||
| vendors for motor vehicle dealership upgrades and improvements. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Subchapter J, Chapter 2301, Occupations Code, is | ||
| amended by adding Section 2301.483 to read as follows: | ||
| Sec. 2301.483. SELECTION BY DEALER OF VENDOR OR MATERIALS | ||
| FOR DEALERSHIP IMPROVEMENT. (a) Except as otherwise provided by | ||
| this section, a manufacturer or distributor may not: | ||
| (1) require a dealer to purchase or use specific | ||
| materials or to purchase materials, goods, or services from a | ||
| specific vendor when making an upgrade or improvement to the | ||
| dealer's dealership; or | ||
| (2) directly or indirectly take an adverse action | ||
| against a dealer who chooses materials, goods, or services or a | ||
| vendor for an upgrade to the dealer's dealership as provided by this | ||
| section. | ||
| (b) If a manufacturer or distributor provides money, | ||
| credit, an allowance, or a reimbursement directly or indirectly to | ||
| a dealer to compensate the dealer for the cost of, or a substantial | ||
| portion of the cost of, a specific upgrade or improvement to the | ||
| dealer's dealership, the dealer may select the materials, goods, | ||
| services, and vendors for the upgrade or improvement, but shall | ||
| select materials, goods, services, and vendors that are of like | ||
| kind and quality to those specified by the manufacturer or | ||
| distributor, if any. | ||
| (c) This section does not allow a dealer or a vendor | ||
| selected by a dealer to infringe on, eliminate, or impair a | ||
| manufacturer's or distributor's intellectual property rights. | ||
| (d) This section does not apply to a sign that contains | ||
| intellectual property owned by a manufacturer or distributor. | ||
| SECTION 2. The changes in law made by this Act apply to a | ||
| manufacturer, distributor, and dealer regardless of the date the | ||
| person's license is issued or renewed under Chapter 2301, | ||
| Occupations Code, and regardless of the date a franchise agreement | ||
| is entered into or renewed. | ||
| SECTION 3. This Act takes effect September 1, 2013. | ||
