Bill Text: TX SB1263 | 2017-2018 | 85th Legislature | Comm Sub
Bill Title: Relating to the regulation of a service contract.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2017-05-01 - Committee report printed and distributed [SB1263 Detail]
Download: Texas-2017-SB1263-Comm_Sub.html
By: Hughes | S.B. No. 1263 | |
(In the Senate - Filed March 3, 2017; March 13, 2017, read | ||
first time and referred to Committee on Business & Commerce; | ||
May 1, 2017, reported adversely, with favorable Committee | ||
Substitute by the following vote: Yeas 9, Nays 0; May 1, 2017, sent | ||
to printer.) | ||
COMMITTEE SUBSTITUTE FOR S.B. No. 1263 | By: Nichols |
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relating to the regulation of a service contract. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 1304.003(b), Occupations Code, is | ||
amended to read as follows: | ||
(b) A service contract described by Subsection (a)(2)(A) | ||
may also provide for: | ||
(1) incidental payment or indemnity under limited | ||
circumstances, including towing, rental, and emergency road | ||
service; | ||
(2) the repair or replacement of a product for damage | ||
resulting from a power surge or for accidental damage incurred in | ||
handling the product; [ |
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(3) identity recovery, if the service contract is | ||
financed under Chapter 348 or 353, Finance Code; or | ||
(4) the replacement of a motor vehicle key or key fob | ||
in the event the key or key fob is inoperable, lost, or stolen. | ||
SECTION 2. Section 1304.1581, Occupations Code, is amended | ||
by adding Subsection (g) to read as follows: | ||
(g) Notwithstanding Subsection (b)(1) or (c)(1), a provider | ||
is not required to deduct the amount of any claims paid under a | ||
service contract from the amount of a refund required under this | ||
section. | ||
SECTION 3. Section 1304.159, Occupations Code, is amended | ||
by adding Subsection (d) to read as follows: | ||
(d) Notwithstanding Subsection (c), a provider is not | ||
required to deduct the amount of any claims paid under a service | ||
contract from the amount of a refund a service contract holder is | ||
entitled to under this section. | ||
SECTION 4. The changes in law made by this Act apply only to | ||
a service contract entered into or renewed on or after the effective | ||
date of this Act. A service contract entered into or renewed before | ||
the effective date of this Act is governed by the law in effect | ||
immediately before the effective date of this Act, and that law is | ||
continued in effect for that purpose. | ||
SECTION 5. This Act takes effect September 1, 2017. | ||
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