By: Otto (Senate Sponsor - Wentworth) H.B. No. 2559

(In the Senate - Received from the House April 26, 2007; April 27, 2007, read first time and referred to Committee on Transportation and Homeland Security; May 8, 2007, reported adversely, with favorable Committee Substitute by the following vote: Yeas 8, Nays 0; May 8, 2007, sent to printer.)

COMMITTEE SUBSTITUTE FOR H.B. No. 2559 By: Wentworth

A BILL TO BE ENTITLED

AN ACT

relating to the authority of a dealer to conduct certain motor vehicle sales outside of a dealership.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subchapter H, Chapter 2301, Occupations Code, is amended by adding Section 2301.361 to read as follows:

Sec. 2301.361. OFFSITE SALES. (a) Except as provided by Subsection (b) and Sections 2301.358(c) and (d), a dealer may only sell or offer to sell a motor vehicle from an established and permanent place of business:

(1) that is approved by the division; and

(2) for which a general distinguishing number has been issued.

(b) A dealer may sell or offer to sell a motor vehicle online through an advertisement on the Internet to a buyer who never personally appears at the dealer's established and permanent place of business.

SECTION 2. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2007.

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