BILL ANALYSIS



S.B. 1435
By: Sibley (Horn)
May 16, 1995
Committee Report (Unamended)


BACKGROUND

When a right of survivorship agreement exists, a surviving spouse
is required only to produce a death certificate to have a new motor
vehicle title issued in the surviving spouse's name. Although this
is current law, a surviving spouse is often required to produce
more than a copy of the death certificate. At a time of
bereavement, requiring a surviving spouse to find, copy, and
produce more documents that are required is unnecessary.

PURPOSE

As proposed, S.B. 1435 sets forth requirements for the rights of
survivorship agreement between spouses regarding joint ownership
and transfer of title of a jointly owned motor vehicle.

RULEMAKING AUTHORITY

Rulemaking authority is granted to the Department of Transportation
when dealing with the Vernon's Texas Civil Statute, Certificate of
Title Act (Article 6687-1).

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Article 6687-1, V.T.C.S. (Certificate of Title
Act), by adding Section 35A, as follows:

     Sect. 35A. (a) Requires the Texas Department of Transportation
(department) to include on each certificate of title (title) a
rights of survivorship agreement form (agreement). Sets forth
requirements for the agreement.

     (b) Authorizes, if the vehicle is registered in the name of
either spouse or both and if the agreement is signed by both,
ownership of the vehicle to be transferred only by both spouses
acting jointly; and, on the death of one of the spouses, ownership
to be transferred by the surviving spouse by transferring the title
with a copy of the death certificate of the deceased spouse
attached, and requires the department to issue a new title in the
name of the surviving spouse or transferee without requiring
additional evidence of the spouse's death.

     (c) Authorizes an agreement to be revoked only by surrender of
the title to the department and joint application by the husband
and wife for a new title in the name of the person designated in
the application.

SECTION 2. Amends Sections 24 and 35, Article 6687-A, V.T.C.S., to
re-define "certificate of title."  Deletes a provision requiring
the department to issue a new title to the surviving spouse upon
being provided with a copy of the death certificate of the deceased
spouse if an agreement providing the rights of survivorship is
signed by the husband and wife.

SECTION 3. Provides that this Act does not affect the validity of
a rights of survivorship indication included by the department on
a title before the effective date of this Act. Makes application of
this Act prospective.

SECTION 4. Effective Date - September 1, 1995

SECTION 5. Emergency Clause.

SUMMARY OF COMMITTEE ACTION

S.B. 1435 was considered by the Committee on Civil Practices in a
formal meeting on May 16, 1995. The bill was reported favorably,
without amendment, with the recommendation that it do pass, be
printed and be sent to the Committee on Local and Consent Calendars
by a record vote of six ayes, zero nays, zero pnv and three absent.