TWT H.B. 3543 75(R)BILL ANALYSIS


TRANSPORTATION
H.B. 3543
By: Bosse
4-25-97
Committee Report (Unamended)



BACKGROUND 

Under current law, only designated lease facilitators and specific
exempted licensed vehicle dealers may lease vehicles. However, there is no
penalty for unlicensed lessors or lessees using the word "lease" or
"leasing" in their name. 

PURPOSE

The purpose of HB. 3543 is to stop independent dealers and other
unlicensed entities from using the word "lease" or "leasing" in their
names. This bill would also encourage those who are not licensed and are
in the leasing business to obtain a license. 

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency or
institution. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Subchapter E, Texas Motor Vehicle Commission Code
(Article 4413(36), Vernon's Texas Civil Statutes), by adding Section 5.05
to prevent a person from using the words "lease" or "leasing" or any
variation of those words in the name of the person or the name of an
entity owned by the person unless the person is a licensed lease
facilitator or is exempt under Section 4.01. 

SECTION 2. Emergency clause. Effective upon passage.