Bill Text: TX HB2076 | 2015-2016 | 84th Legislature | Comm Sub

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to notice requirements and other procedures relating to the possession or sale of a motor vehicle, motorboat, vessel, or outboard motor by a possessory lienholder.

Spectrum: Slight Partisan Bill (Republican 2-1)

Status: (Passed) 2015-06-19 - See remarks for effective date [HB2076 Detail]

Download: Texas-2015-HB2076-Comm_Sub.html

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By: Oliveira, Harless (Senate Sponsor - Nichols) H.B. No. 2076
(In the Senate - Received from the House May 13, 2015;
May 14, 2015, read first time and referred to Committee on Business
and Commerce; May 25, 2015, reported adversely, with favorable
Committee Substitute by the following vote: Yeas 8, Nays 0;
May 25, 2015, sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR H.B. No. 2076 By: Creighton

COMMITTEE VOTE
YeaNayAbsentPNV
EltifeX
CreightonX
EllisX
HuffinesX
SchwertnerX
SeligerX
TaylorofGalvestonX
WatsonX
WhitmireX
A BILL TO BE ENTITLED
AN ACT
relating to notice requirements and other procedures relating to
the possession or sale of a motor vehicle, motorboat, vessel, or
outboard motor by a possessory lienholder.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 70.001, Property Code, is amended by
adding Subsections (b-1) and (b-2) to read as follows:
(b-1) Except as provided by Subsection (b), a lien provided
by this section on a motor vehicle, motorboat, vessel, or outboard
motor is released when a worker:
(1) receives good and sufficient payment of the
amounts due under Subsection (a) and, if applicable, Subsection
(d); or
(2) relinquishes possession of the motor vehicle,
motorboat, vessel, or outboard motor.
(b-2) A worker's right to possession under this section may
not be assigned to a third party in return for payment of any amount
due under Subsection (a) or (d).
SECTION 2. Effective September 1, 2015, Sections 70.006(e),
(f), (g), and (h), Property Code, are amended to read as follows:
(e) After notice is given under this section to the owner of
or the holder of a lien on the motor vehicle, motorboat, vessel, or
outboard motor, the owner or holder of the lien may obtain
possession of the motor vehicle, motorboat, vessel, or outboard
motor by paying all charges due to the holder of a lien under this
subchapter before the 31st day after the date a copy of the notice
is filed with the county tax assessor-collector's office [the
notice is mailed or published as provided by this section].
(f) If the charges are not paid before the 31st day after the
date that a copy of the notice required by Subsection (a) is filed
with the county tax assessor-collector's office [day that the
notice is mailed or published, as applicable], the lienholder may
sell the motor vehicle, motorboat, vessel, or outboard motor at a
public sale and apply the proceeds to the charges. The lienholder
shall pay excess proceeds to the person entitled to them. The public
sale may not take place before the 31st day after the date a copy of
the notice is filed with the county tax assessor-collector's
office.
(g) After providing notice in accordance with this section,
a holder of a possessory lien on a motor vehicle under Section
70.001, other than a person licensed as a franchised dealer under
Chapter 2301, Occupations Code, shall, on request, [not later than
the 30th day after the date on which the charges accrue, make
commercially reasonable efforts to] allow an owner and each
lienholder of record to inspect or arrange an inspection of the
motor vehicle by a qualified professional to verify that the
repairs were made. The inspection must be completed before the date
of the public sale authorized by Subsection (f).
(h) Not later than the 15th business day after the date the
county tax assessor-collector receives notice under this section,
the county tax assessor-collector shall provide a copy of the
notice that indicates the date the notice was filed with the county
tax assessor-collector to the owner of the motor vehicle and each
holder of a lien recorded on the certificate of title of the motor
vehicle. Except as provided by this subsection, the county tax
assessor-collector shall provide the notice required by this
section in the same manner as a holder of a lien is required to
provide a notice under this section, except that the county tax
assessor-collector is not required to use certified mail. Notice
under this section is required regardless of the date on which the
charges on which the possessory lien is based accrued.
SECTION 3. (a) Sections 70.006(e), (f), and (h), Property
Code, as amended by this Act, apply only to a notice required under
Section 70.006(a), Property Code, provided on or after September 1,
2015. A notice provided before September 1, 2015, is governed by the
law as it existed immediately before September 1, 2015, and that law
is continued in effect for that purpose.
(b) Section 70.006(g), Property Code, as amended by this
Act, applies only to a sale of a motor vehicle, motorboat, vessel,
or outboard motor for which the notice required under Section
70.006(a), Property Code, is provided on or after September 1,
2015. A sale for which the notice required under Section 70.006(a),
Property Code, is provided before September 1, 2015, is governed by
the law as it existed immediately before September 1, 2015, and that
law is continued in effect for that purpose.
SECTION 4. Except as otherwise provided by this Act, this
Act takes effect immediately if it receives a vote of two-thirds of
all the members elected to each house, as provided by Section 39,
Article III, Texas Constitution. If this Act does not receive the
vote necessary for immediate effect, this Act takes effect
September 1, 2015.
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