By Hamric H.B. No. 2578
Line and page numbers may not match official copy.
Bill not drafted by TLC or Senate E&E.
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the registration and issuance of a certificate of title
1-3 to certain vehicles and the circumstances under which a person may
1-4 legally operate a vehicle pending registration of the vehicle.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Section, 501.051, Transportation Code, is amended
1-7 to read as follows:
1-8 Section 501.051. Grounds for Refusal to Issue or for
1-9 Revocation or Suspension of Certificate. (a) The department shall
1-10 refuse to issue a certificate of title or shall suspend or revoke a
1-11 certificate of title if:
1-12 (1) the application for the certificate contains a
1-13 false or fraudulent statement;
1-14 (2) the applicant failed to furnish required
1-15 information requested by the department;
1-16 (3) the applicant is not entitled to a certificate of
1-17 title;
1-18 (4) the department has reason to believe that the
1-19 motor vehicle is stolen;
1-20 (5) the department has reason to believe that the
1-21 issuance of a certificate of title would defraud the owner or a
2-1 lienholder of the motor vehicle;
2-2 (6) the registration for the motor vehicle is
2-3 suspended or revoked; or
2-4 (7) the required fee has not been paid.
2-5 (b) Failure to comply with Section 502.153 of this code is
2-6 not grounds for refusal to issue a certificate of title.
2-7 SECTION 2. Subsection 502.153, Transportation Code, is
2-8 amended by adding Subsection (j) to read as follows:
2-9 (j) This section does not prohibit the issuance of a
2-10 certificate of title to a vehicle to a person who is otherwise
2-11 entitled to obtain a certificate of title to the vehicle as
2-12 provided by Chapter 501.
2-13 SECTION 3. Subsection (f), Section 503.063, Transportation
2-14 Code, is amended to read as follows:
2-15 (f) Except as provided by this subsection, a [A] dealer may
2-16 not issue an additional temporary cardboard buyer's tag to a person
2-17 after the expiration of 21 days after the issue of a temporary
2-18 cardboard buyer's tag. An additional temporary cardboard buyer's
2-19 tag issued under the terms of this subsection is valid for a
2-20 maximum of 21 days after the date of issue. A dealer may issue an
2-21 additional temporary cardboard buyer's tag to a person, and the
2-22 person may operate the vehicle for which the tag was issued on the
2-23 additional temporary cardboard buyer's tag if the dealer has been
2-24 unable to obtain on behalf of the vehicle's owner the necessary
2-25 documents to obtain permanent metal license plates because:
3-1 (1) necessary [the] documents are in the possession of
3-2 a lienholder who has not complied with the terms of Section
3-3 501.115(a) of this code; or
3-4 (2) the purchaser has failed to comply with the terms
3-5 of Section 502.153 of this code. [An additional tag issued under
3-6 the terms of this subsection is valid for a maximum of 21 days
3-7 after the date of issue.]
3-8 SECTION 4. The importance of this legislation and the
3-9 crowded condition of the calendars in both houses create an
3-10 emergency and an imperative public necessity that the
3-11 constitutional rule requiring bills to be read on three several
3-12 days in each house be suspended, and this rule is hereby suspended,
3-13 and that this Act take effect and be in force from and after its
3-14 passage, and it is so enacted.