By:  Sibley                                            S.B. No. 560
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the regulation of certain consumer transactions
 1-3     involving real property.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 39.002, Business & Commerce Code, is
 1-6     amended to read as follows:
 1-7           Sec. 39.002.  APPLICABILITY OF CHAPTER.  (a)  This chapter
 1-8     applies only to a consumer transaction in which the merchant or the
 1-9     merchant's agent engages in a personal solicitation of a sale to
1-10     the consumer at a place other than the merchant's place of
1-11     business, and the consumer's agreement or offer to purchase is
1-12     given to the merchant or the merchant's agent at a place other than
1-13     the merchant's place of business:
1-14                 (1)  for the purchase of goods or services for
1-15     consideration that exceeds $25 payable in installments or in cash;
1-16     or
1-17                 (2)  for the purchase of real property for
1-18     consideration that exceeds $100 payable in installments or in cash.
1-19           (b)  Notwithstanding Subsection (a), this chapter does not
1-20     apply to:
1-21                 (1)  a purchase of farm equipment;
1-22                 (2)  an insurance sale regulated by the Texas
1-23     Department of Insurance;
1-24                 (3)  a residential service contract sale regulated by
1-25     the Texas Real Estate Commission;
 2-1                 (4)  a sale of goods or services made:
 2-2                       (A)  under a preexisting revolving charge account
 2-3     or retail charge agreement; or
 2-4                       (B)  after negotiations between the parties at a
 2-5     business establishment at a fixed location where goods or services
 2-6     are offered or exhibited for sale; or
 2-7                 (5) [(4)]  a sale of real property if:
 2-8                       (A)  the purchaser is represented by a licensed
 2-9     attorney;
2-10                       (B)  the transaction is negotiated by a licensed
2-11     real estate broker; or
2-12                       (C)  the transaction is negotiated at a place
2-13     other than the consumer's residence by the person who owns the
2-14     property.
2-15           SECTION 2.  This Act takes effect September 1, 2001.