1-1 By: Ratliff S.B. No. 1035
1-2 (In the Senate - Filed March 12, 1993; March 15, 1993, read
1-3 first time and referred to Committee on State Affairs;
1-4 April 7, 1993, reported favorably by the following vote: Yeas 12,
1-5 Nays 0; April 7, 1993, sent to printer.)
1-6 COMMITTEE VOTE
1-7 Yea Nay PNV Absent
1-8 Harris of Dallas x
1-9 Rosson x
1-10 Carriker x
1-11 Henderson x
1-12 Leedom x
1-13 Lucio x
1-14 Luna x
1-15 Nelson x
1-16 Patterson x
1-17 Shelley x
1-18 Sibley x
1-19 West x
1-20 Whitmire x
1-21 A BILL TO BE ENTITLED
1-22 AN ACT
1-23 relating to regulation of certain motor vehicle dealers and the
1-24 sale, titling, and registration of certain motor vehicles.
1-25 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-26 SECTION 1. Subdivision (vii), Subsection (1-A), Section (a),
1-27 Article 6686, Revised Statutes, is amended to read as follows:
1-28 (vii) In addition to other requirements provided by law, the
1-29 Department may not issue or renew a general distinguishing number
1-30 as a motor vehicle dealer or a wholesale motor vehicle auction to
1-31 an applicant until the applicant shows proof satisfactory to the
1-32 Department that the applicant has purchased a properly executed
1-33 surety bond in the amount of $50,000 <$25,000> with good and
1-34 sufficient surety approved by the Department. The bond shall be
1-35 approved as to form by the attorney general and shall be
1-36 conditioned on the applicant's payment of all valid bank drafts,
1-37 including checks, drawn by the applicant for the purchase of motor
1-38 vehicles in the applicant's transfer of good title to each motor
1-39 vehicle the applicant offers for sale. In lieu of the bond
1-40 otherwise required by this subdivision, the Department may accept
1-41 and receive the pledge of cash, a cash deposit, a certificate of
1-42 deposit, or other instrument determined by the Department to be
1-43 adequate security for the obligations of the bond. Recovery
1-44 against the bond or other security may be made by a person who
1-45 obtains a judgment against a dealer or wholesale motor vehicle
1-46 auction assessing damages and attorney's fees for an act or
1-47 omission on which the bond is conditioned if the act or omission
1-48 occurred during the term for which the general distinguishing
1-49 number will be valid. The requirements of this subdivision do not
1-50 apply to a person licensed by the Texas Motor Vehicle Commission.
1-51 SECTION 2. The importance of this legislation and the
1-52 crowded condition of the calendars in both houses create an
1-53 emergency and an imperative public necessity that the
1-54 constitutional rule requiring bills to be read on three several
1-55 days in each house be suspended, and this rule is hereby suspended,
1-56 and that this Act take effect and be in force from and after its
1-57 passage, and it is so enacted.
1-58 * * * * *
1-59 Austin,
1-60 Texas
1-61 April 7, 1993
1-62 Hon. Bob Bullock
1-63 President of the Senate
1-64 Sir:
1-65 We, your Committee on State Affairs to which was referred S.B.
1-66 No. 1035, have had the same under consideration, and I am
1-67 instructed to report it back to the Senate with the recommendation
1-68 that it do pass and be printed.
2-1 Harris of
2-2 Dallas, Chairman
2-3 * * * * *
2-4 WITNESSES
2-5 FOR AGAINST ON
2-6 ___________________________________________________________________
2-7 Name: Nancy Gray x
2-8 Representing: Metroplex Dealers Auto Auction
2-9 City: Terrell
2-10 -------------------------------------------------------------------
2-11 Name: Stanley McDonald x
2-12 Representing: McDonald Bros Used Cars
2-13 City: San Antonio
2-14 -------------------------------------------------------------------
2-15 Name: Scotty Gray x
2-16 Representing: Metroplex Dealers Auto Auction
2-17 City: Terrell
2-18 -------------------------------------------------------------------
2-19 Name: Louis Ackerman x
2-20 Representing: Red Bird Ford
2-21 City: Duncanville
2-22 -------------------------------------------------------------------
2-23 Name: Claudia Dodd x
2-24 Representing: Dodd Motor Co.
2-25 City: Gilmer
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2-27 Name: George Dodd x
2-28 Representing: Dodd Motor Co.
2-29 City: Gilmer
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