SRC-PNG H.B. 2176 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 2176
By: Siebert (Jackson)
Economic Development
5/2/1999
Engrossed


DIGEST 

Currently, under Texas law, there are two different deadlines for release
by the holder of a lien against a motor vehicle when the lien is paid off;
one states not more than 10 days under the Finance Code, and the other
states not more than 21 days under the Transportation Code.  This bill
would resolve the conflict of law by amending the Transportation Code to
refer to the Finance Code, thus establishing the 10-day time limit as the
standard. 

PURPOSE

As proposed, H.B. 2176 resolves the conflict of law regarding the deadline
for the release of a lien by a holder of a lien against a motor vehicle by
amending the Transportation Code to refer to the Finance Code, thus
establishing the 10-day time limit as the standard. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 501.115(a), Transportation Code, to require the
lienholder, when a debt or lien has been satisfied, to execute and deliver
a discharge of the lien, within a reasonable time not to exceed the maximum
time allowed in Section 348.408, Finance Code, rather than 21 days, from
the receipt of the final payment. 

SECTION 2. Emergency clause.
  Effective date: upon passage.