H.B. No. 1227
1-1 AN ACT
1-2 relating to repossession of a motor vehicle for repair charges.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Section 70.001, Property Code, is amended by
1-5 amending Subsections (b), (e), and (f) and adding Subsection (g) to
1-6 read as follows:
1-7 (b) If a worker relinquishes possession of a motor vehicle,
1-8 motorboat, vessel, or outboard motor in return for a check or money
1-9 order <written order for payment> on which payment is stopped, has
1-10 been dishonored because of insufficient funds, no funds or because
1-11 the drawer or maker of the order has no account or the account upon
1-12 which it was drawn has been closed, the lien provided by this
1-13 section continues to exist and the worker is entitled to possession
1-14 of the vehicle, motorboat, vessel, or outboard motor until the
1-15 amount due is paid, unless the vehicle, motorboat, vessel, or
1-16 outboard motor is possessed by a person who became a bona fide
1-17 purchaser of the vehicle after a stop payment order was made. A
1-18 person entitled to possession of property under this subsection is
1-19 entitled to take possession thereof in accordance with the
1-20 provisions of Section 9.503, Business & Commerce Code.
1-21 (e) A worker may not transfer <sell for cash or other
1-22 consideration> to a third party, and a person who performs
1-23 repossession services may not accept, a check or money order that
1-24 is received as payment for repair of an article and that is
2-1 returned to the worker because of insufficient funds or no funds,
2-2 because the drawer or maker of the check or money order has no
2-3 account, or because the account on which the check or money order
2-4 is drawn has been closed.
2-5 (f) A person commits an offense if the person transfers or
2-6 accepts <sells> a check or money order in violation of Subsection
2-7 (e). An offense under this subsection is a Class B misdemeanor.
2-8 (g) A motor vehicle that is repossessed under this section
2-9 shall be promptly delivered to the location where the repair was
2-10 performed or a vehicle storage facility licensed under the Vehicle
2-11 Storage Facility Act (Article 6687-9a, Revised Statutes). The
2-12 motor vehicle must remain at the repair location or a licensed
2-13 vehicle storage facility at all times until the motor vehicle is
2-14 lawfully returned to the motor vehicle's owner or a lienholder or
2-15 is disposed of as provided by this subchapter.
2-16 SECTION 2. This Act takes effect September 1, 1995.
2-17 SECTION 3. The importance of this legislation and the
2-18 crowded condition of the calendars in both houses create an
2-19 emergency and an imperative public necessity that the
2-20 constitutional rule requiring bills to be read on three several
2-21 days in each house be suspended, and this rule is hereby suspended.