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A BILL TO BE ENTITLED
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AN ACT
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relating to the rental of personal property under a rental |
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agreement. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter D, Chapter 35, Business & Commerce |
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Code, is amended by adding Section 35.63 to read as follows: |
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Sec. 35.63. DISCLOSURE REQUIRED FOR RENTAL OF PERSONAL |
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PROPERTY. (a) A written rental agreement the terms of which allow |
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a party to take possession or control of personal property of the |
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other party must, in a prominent place on the face of the agreement: |
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(1) state that criminal charges may be pursued under |
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Section 31.04, Penal Code, for failing to: |
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(A) return the personal property held under the |
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agreement; or |
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(B) pay the applicable rental charge on returning |
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the personal property after the agreement has expired; and |
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(2) describe the punishment applicable under Section |
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31.04, Penal Code. |
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(b) A blank line must be reserved near the statement |
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required under Subsection (a) for the renter to initial to confirm |
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the renter's review of the statement. |
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SECTION 2. Section 31.04, Penal Code, is amended by |
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amending Subsection (c) and adding Subsection (c-1) to read as |
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follows: |
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(c) For purposes of Subsections (a)(4) and [,] (b)(2)[, and
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(b)(4)], notice shall be notice in writing, sent by registered or |
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certified mail with return receipt requested or by telegram with |
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report of delivery requested, and addressed to the actor at his |
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address shown on the [rental agreement or] service agreement. |
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(c-1) For purposes of Subsections (b)(3) and (4) and any |
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other notice required under this section with respect to a rental |
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agreement, notice shall be in writing and shall be: |
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(A) delivered to the actor in person; or |
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(B) sent by registered or certified mail, |
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restricted delivery, with return receipt requested, and addressed |
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to the actor at the actor's address shown on the rental agreement. |
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SECTION 3. The changes in law made by this Act apply only to |
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a rental agreement entered into on or after the effective date of |
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this Act. A rental agreement entered into before the effective date |
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of this Act is governed by the law in effect on the date the |
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agreement was entered into, and the former law is continued in |
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effect for that purpose. |
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SECTION 4. This Act takes effect September 1, 2007. |