By Giddings H.B. No. 3759
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 of certain persons who provide or
1-3 agree to provide residential carpet cleaning services; providing
1-4 penalties.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 ARTICLE 1. GENERAL PROVISIONS
1-7 SECTION 1.01. DEFINITIONS. In this Act:
1-8 (1) "Consumer" means an individual who is solicited to
1-9 purchase or who purchases the services of a residential carpet
1-10 cleaner who is required to register under this Act.
1-11 (2) "Person" means an individual, corporation,
1-12 organization, business trust, estate, trust, partnership,
1-13 association, or any other private legal entity.
1-14 (3) "Residential carpet cleaner" means a person who
1-15 provides or agrees to provide carpet cleaning services to a
1-16 one-to-four-family dwelling used or occupied wholly or partly as
1-17 the residence of one or more persons.
1-18 SECTION 1.02. EXEMPTIONS. The registration requirements of
1-19 this Act do not apply to a:
1-20 (1) maid or other person who performs domestic or
1-21 household services; or
2-1 (2) person who engages in or provides carpet cleaning
2-2 services only as an incidental part of the person's normal
2-3 business.
2-4 SECTION 1.03. WAIVER VOID. A waiver of a provision of this
2-5 Act by a consumer is void.
2-6 ARTICLE 2. REGISTRATION
2-7 SECTION 2.01. REGISTRATION REQUIREMENT. A person may not
2-8 engage in business as a residential carpet cleaner in this state
2-9 unless the person holds a certificate of registration issued under
2-10 this Act.
2-11 SECTION 2.02. REGISTRATION STATEMENT. (a) A person must
2-12 file a registration statement with the secretary of state before
2-13 engaging in business as a residential carpet cleaner in this state.
2-14 The registration statement must contain:
2-15 (1) the name, street address, and telephone number of
2-16 the cleaner;
2-17 (2) the name under which the cleaner is doing or
2-18 intends to do business, if different from the cleaner's name;
2-19 (3) if the cleaner's business is incorporated:
2-20 (A) the cleaner's business name registered with
2-21 the secretary of state;
2-22 (B) the location of the cleaner's registered
2-23 business office; and
2-24 (C) the name and address of each person who
2-25 directly or indirectly owns or controls 10 percent or more of the
3-1 outstanding shares of stock in the cleaner's business;
3-2 (4) each registered location for which a certificate
3-3 of registration will be issued and the cleaner's principal business
3-4 location;
3-5 (5) any assumed name under which the cleaner is doing
3-6 business; and
3-7 (6) a complete disclosure of any litigation relating
3-8 to carpet cleaning brought against the cleaner or an owner,
3-9 officer, or director of the cleaner that:
3-10 (A) was completed within three years before the
3-11 date on which the statement is filed; or
3-12 (B) is pending on the date of filing.
3-13 (b) Each residential carpet cleaner shall maintain a copy of
3-14 the registration statement in the cleaner's business records.
3-15 (c) The residential carpet cleaner shall update the
3-16 registration statement when a material change occurs in the
3-17 information on file.
3-18 (d) The residential carpet cleaner shall notify the
3-19 secretary of state if a legal action relating to the cleaner's
3-20 business is brought against the cleaner or an owner, officer, or
3-21 director of the cleaner. The notice must be given to the secretary
3-22 of state in writing not later than the 10th day after the date on
3-23 which the cleaner receives notice of the action.
3-24 SECTION 2.03. ISSUANCE OF CERTIFICATE OF REGISTRATION. The
3-25 secretary of state shall issue a certificate of registration to a
4-1 residential carpet cleaner that:
4-2 (1) files a completed registration statement; and
4-3 (2) pays the required registration fee.
4-4 SECTION 2.04. CERTIFICATE OF REGISTRATION NOT TRANSFERABLE.
4-5 A certificate of registration issued under this Act is not
4-6 transferable.
4-7 SECTION 2.05. TERM; RENEWAL. (a) A residential carpet
4-8 cleaner's certificate of registration expires on the first
4-9 anniversary of the date of issuance.
4-10 (b) A registrant may renew a certificate of registration
4-11 before the expiration date of the certificate by paying the renewal
4-12 fee and complying with other renewal requirements as prescribed by
4-13 rules of the secretary of state. The secretary of state shall
4-14 issue a renewal certificate to the registrant at the time of the
4-15 renewal.
4-16 (c) The secretary of state shall notify each registrant in
4-17 writing of the pending expiration not later than the 30th day
4-18 before the date on which the certificate of registration expires.
4-19 SECTION 2.06. POSTING OF CERTIFICATE AND OTHER INFORMATION.
4-20 (a) Each residential carpet cleaner shall post the certificate of
4-21 registration in a conspicuous place accessible to clients and
4-22 prospective clients in the cleaner's principal office.
4-23 (b) Each residential carpet cleaner registered under this
4-24 Act shall display in the cleaner's principal office a sign provided
4-25 by the secretary of state that contains:
5-1 (1) a statement that the cleaner is registered with
5-2 the secretary of state;
5-3 (2) the mailing address and telephone number of the
5-4 secretary of state; and
5-5 (3) a statement informing consumers that a complaint
5-6 against a cleaner registered under this Act may be directed to the
5-7 secretary of state.
5-8 SECTION 2.07. RECORDS. Each registrant shall maintain
5-9 records relating to the operation of the carpet cleaning business
5-10 as prescribed by rule of the secretary of state.
5-11 ARTICLE 3. PROHIBITIONS AND RESTRICTIONS
5-12 SECTION 3.01. REPRESENTATIVE. For purposes of this article,
5-13 a representative of a residential carpet cleaner includes a
5-14 salesperson, agent, or other representative of the cleaner.
5-15 SECTION 3.02. ADVERTISING SERVICES WITHOUT FILING
5-16 REGISTRATION STATEMENT. (a) A residential carpet cleaner or a
5-17 representative of the cleaner may not advertise the services of the
5-18 cleaner unless the cleaner has filed a registration statement
5-19 required by Article 2 of this Act.
5-20 (b) An advertisement for the services of a residential
5-21 carpet cleaner must contain the registration number of the
5-22 certificate issued under Article 2 of this Act.
5-23 (c) The secretary of state by rule shall adopt regulations
5-24 and establish standards relating to permissible forms of
5-25 advertising by a person registered under this Act.
6-1 SECTION 3.03. FRAUDULENT OR DECEPTIVE CONDUCT. A
6-2 residential carpet cleaner may not directly or indirectly engage in
6-3 a fraudulent or deceptive act, practice, or course of business
6-4 relating to the offer or sale of carpet cleaning services.
6-5 SECTION 3.04. CAUSING WAIVER PROHIBITED. A residential
6-6 carpet cleaner may not attempt to cause a consumer to waive a right
6-7 under this Act.
6-8 ARTICLE 4. POWERS AND DUTIES OF SECRETARY OF STATE;
6-9 ADMINISTRATIVE ENFORCEMENT
6-10 SECTION 4.01. ADMINISTRATIVE AND RULEMAKING AUTHORITY. (a)
6-11 The secretary of state shall administer this Act.
6-12 (b) The secretary of state shall adopt rules necessary for
6-13 the administration of this Act.
6-14 SECTION 4.02. FILING FEE. The secretary of state shall
6-15 charge each applicant for:
6-16 (1) a certificate of registration, a $100 fee; and
6-17 (2) renewal of a certificate, a $50 fee.
6-18 SECTION 4.03. DENIAL, SUSPENSION, OR REVOCATION OF
6-19 CERTIFICATE OF REGISTRATION. (a) The secretary of state may deny,
6-20 suspend, revoke, or reinstate a certificate of registration.
6-21 (b) The secretary of state by rule:
6-22 (1) may establish grounds for denial, suspension,
6-23 revocation, or reinstatement of a certificate of registration in
6-24 addition to those provided by this Act; and
6-25 (2) shall establish procedures for disciplinary
7-1 actions.
7-2 (c) It is a ground for the denial of a certificate of
7-3 registration, or the permanent revocation or suspension for a
7-4 definite period, after notice and hearing, of a residential carpet
7-5 cleaner's certificate of registration, that the person filing a
7-6 registration statement or the certificate holder:
7-7 (1) violated this Act; or
7-8 (2) provided false information on a registration
7-9 statement or other document filed with the secretary of state under
7-10 this Act.
7-11 (d) A proceeding relating to the suspension or revocation of
7-12 a certificate of registration issued under this Act is subject to
7-13 Chapter 2001, Government Code.
7-14 (e) A person whose certificate of registration has been
7-15 revoked under this section may not apply for a new certificate of
7-16 registration before the first anniversary of the date of the
7-17 revocation.
7-18 ARTICLE 5. EFFECTIVE DATE; EMERGENCY CLAUSE
7-19 SECTION 5.01. EFFECTIVE DATE. This Act takes effect
7-20 September 1, 1999.
7-21 SECTION 5.02. EMERGENCY. The importance of this legislation
7-22 and the crowded condition of the calendars in both houses create an
7-23 emergency and an imperative public necessity that the
7-24 constitutional rule requiring bills to be read on three several
7-25 days in each house be suspended, and this rule is hereby suspended.