1-1 AN ACT 1-2 relating to documentary fee included in a vehicle retail 1-3 installment contract. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 348.006(c), Finance Code, is amended to 1-6 read as follows: 1-7 (c) For a documentary fee to be included in the principal 1-8 balance of a retail installment contract: 1-9 (1) the retail seller must charge the documentary fee 1-10 to cash buyers and credit buyers; 1-11 (2) the documentary fee may not exceed $50 for a motor 1-12 vehicle retail installment contract or a reasonable amount agreed 1-13 to by the retail seller and retail buyer for a heavy commercial 1-14 vehicle retail installment contract; and 1-15 (3) the buyer's order and the retail installment 1-16 contract must include: 1-17 (A) a statement of the amount of the documentary 1-18 fee; and 1-19 (B) in reasonable proximity to the place in each 1-20 where the amount of the documentary fee is disclosed, the following 1-21 notice in type that is bold-faced, capitalized, underlined, or 1-22 otherwise conspicuously set out from surrounding written material: 1-23 "A DOCUMENTARY FEE IS NOT AN OFFICIAL FEE. A DOCUMENTARY FEE 1-24 IS NOT REQUIRED BY LAW, BUT MAY BE CHARGED TO BUYERS FOR HANDLING 2-1 DOCUMENTS AND PERFORMING SERVICES RELATING TO THE CLOSING OF A 2-2 SALE. A DOCUMENTARY FEE MAY NOT EXCEED $50 FOR A MOTOR VEHICLE 2-3 CONTRACT OR A REASONABLE AMOUNT AGREED TO BY THE PARTIES FOR A 2-4 HEAVY COMMERCIAL VEHICLE CONTRACT. THIS NOTICE IS REQUIRED BY 2-5 LAW." 2-6 SECTION 2. This Act takes effect September 1, 1999. 2-7 SECTION 3. The importance of this legislation and the 2-8 crowded condition of the calendars in both houses create an 2-9 emergency and an imperative public necessity that the 2-10 constitutional rule requiring bills to be read on three several 2-11 days in each house be suspended, and this rule is hereby suspended. _______________________________ _______________________________ President of the Senate Speaker of the House I certify that H.B. No. 1510 was passed by the House on May 13, 1999, by a non-record vote. _______________________________ Chief Clerk of the House I certify that H.B. No. 1510 was passed by the Senate on May 26, 1999, by the following vote: Yeas 30, Nays 0. _______________________________ Secretary of the Senate APPROVED: _____________________ Date _____________________ Governor