By Najera H.B. No. 115
77R638 DWS-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the sale of a flood-damaged motor vehicle; providing
1-3 penalties.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter B, Chapter 17, Business & Commerce
1-6 Code, is amended by adding Section 17.13 to read as follows:
1-7 Sec. 17.13. SELLING FLOOD-DAMAGED MOTOR VEHICLE. (a) A
1-8 person in the business of selling motor vehicles may not sell a
1-9 motor vehicle that the seller knows has been damaged by being
1-10 wholly or partly submerged in water, regardless of whether the
1-11 damage has been repaired, unless before the sale is completed the
1-12 seller provides to the buyer a notice disclosing the damage.
1-13 (b) A notice under Subsection (a) must:
1-14 (1) be in at least 10-point bold-faced type;
1-15 (2) be in a separate document or, if included in
1-16 another document, be located in a conspicuous place in the
1-17 document;
1-18 (3) state that the motor vehicle has been damaged by
1-19 floodwaters; and
1-20 (4) describe the damage and the actions, if any, that
1-21 the seller knows have been taken to repair the damage.
1-22 (c) A sale made in violation of this section is voidable by
1-23 the buyer. If the sale is voided, the buyer is entitled to recover
1-24 from the seller all money and other property that the buyer gave in
2-1 connection with the sale.
2-2 (d) A seller commits an offense if the seller:
2-3 (1) sells a motor vehicle without providing a notice
2-4 required by this section; or
2-5 (2) provides false or misleading information in a
2-6 notice provided under this section.
2-7 (e) An offense under this section is a Class A misdemeanor.
2-8 SECTION 2. Article 59.01(2), Code of Criminal Procedure, is
2-9 amended to read as follows:
2-10 (2) "Contraband" means property of any nature,
2-11 including real, personal, tangible, or intangible, that is:
2-12 (A) used in the commission of:
2-13 (i) any first or second degree felony
2-14 under the Penal Code;
2-15 (ii) any felony under Section 38.04 or
2-16 Chapters 29, 30, 31, 32, 33, 33A, or 35, Penal Code; [or]
2-17 (iii) any felony under The Securities Act
2-18 (Article 581-1 et seq., Vernon's Texas Civil Statutes); or
2-19 (iv) an offense under Section 17.13,
2-20 Business & Commerce Code;
2-21 (B) used or intended to be used in the
2-22 commission of:
2-23 (i) any felony under Chapter 481, Health
2-24 and Safety Code (Texas Controlled Substances Act);
2-25 (ii) any felony under Chapter 483, Health
2-26 and Safety Code;
2-27 (iii) a felony under Chapter 153, Finance
3-1 Code;
3-2 (iv) any felony under Chapter 34, Penal
3-3 Code;
3-4 (v) a Class A misdemeanor under Subchapter
3-5 B, Chapter 365, Health and Safety Code, if the defendant has been
3-6 previously convicted twice of an offense under that subchapter; or
3-7 (vi) any felony under Chapter 152, Finance
3-8 Code;
3-9 (C) the proceeds gained from the commission of a
3-10 felony listed in Paragraph (A) or (B) of this subdivision or a
3-11 crime of violence; or
3-12 (D) acquired with proceeds gained from the
3-13 commission of a felony listed in Paragraph (A) or (B) of this
3-14 subdivision or a crime of violence.
3-15 SECTION 3. Article 59.06, Code of Criminal Procedure, is
3-16 amended by adding Subsection (p) to read as follows:
3-17 (p) If the forfeited property is a motor vehicle that was
3-18 the subject of an offense under Section 17.13, Business & Commerce
3-19 Code, the motor vehicle may not be sold to a person who has not
3-20 been provided a notice as provided by that section.
3-21 SECTION 4. This Act takes effect September 1, 2001.