|
|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to assignment of security interests in certain collateral. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Chapter 261, Business & Commerce Code, as |
|
effective April 1, 2009, is amended by adding Section 261.012 to |
|
read as follows: |
|
Sec. 261.012. ASSIGNMENT OF SECURITY INTEREST. (a) A |
|
holder of a utility security interest under Section 261.004 may |
|
assign, absolutely or otherwise, the holder's security interest in |
|
personal property subject to this chapter to a person other than the |
|
owner of the property without affecting the interest of the owner or |
|
the validity or perfection of the security interest, but any person |
|
without notice of the assignment is protected in dealing with the |
|
security-interest holder as the holder of record of the security |
|
interest and the security-interest holder remains liable for any |
|
obligations as security-interest holder on the utility security |
|
instrument until the assignee is named as security-interest holder |
|
on the utility security interest. The same rules apply to |
|
subsequent assignees of the original or subsequent assignees. |
|
(b) An assignee may record the assignment of a security |
|
instrument under this chapter by applying to the secretary of state |
|
for the assignee to be named as security-interest holder on the |
|
utility security instrument and notifying the debtor utility of the |
|
assignment. An assignee's failure to make the application or |
|
notify the debtor utility of the assignment does not create a cause |
|
of action against the assignee or the security-interest holder or |
|
affect the validity or perfection of the security interest assigned |
|
to the assignee. |
|
SECTION 2. Section 1201.219, Occupations Code, is amended |
|
by adding Subsections (d) and (e) to read as follows: |
|
(d) A holder of a lien perfected under Subsection (b) may |
|
assign, absolutely or otherwise, the holder's lien on a |
|
manufactured home to a person other than the owner of the |
|
manufactured home without affecting the interest of the owner or |
|
the validity or perfection of the lien, but any person without |
|
notice of the assignment is protected in dealing with the |
|
lienholder as the holder of record of the lien and the lienholder |
|
remains liable for any obligations as lienholder until the assignee |
|
is named as lienholder on the statement of ownership and location. |
|
The same rules apply to subsequent assignees of the original or |
|
subsequent assignees. |
|
(e) An assignee may record the assignment of a lien on a |
|
manufactured home by applying to the department for the assignee to |
|
be named as lienholder on the statement of ownership and location |
|
and notifying the debtor of the assignment. An assignee's failure |
|
to make the application or notify the debtor of the assignment does |
|
not create a cause of action against the assignee or the lienholder |
|
or affect the validity or perfection of the lien assigned to the |
|
assignee. |
|
SECTION 3. Section 31.052, Parks and Wildlife Code, is |
|
amended by amending Subsection (a) and adding Subsections (c) and |
|
(d) to read as follows: |
|
(a) Except as provided by this section and Section |
|
31.050(c), [in Subsection (c) of Section 31.050 of this code] and |
|
except for statutory liens, security interests in a vessel or |
|
outboard motor shall be noted on the certificate of title of the |
|
vessel or outboard motor to which the security interest applies. |
|
(c) A security-interest holder may assign, absolutely or |
|
otherwise, the holder's security interest in the vessel or outboard |
|
motor to a person other than the owner of the vessel or outboard |
|
motor without affecting the interest of the owner or the validity or |
|
perfection of the security interest, but any person without notice |
|
of the assignment is protected in dealing with the |
|
security-interest holder as the holder of record of the security |
|
interest and the security-interest holder remains liable for any |
|
obligations as security-interest holder until the assignee is named |
|
as security-interest holder on the certificate of title. The same |
|
rules apply to subsequent assignees of the original or subsequent |
|
assignees. |
|
(d) An assignee may record the assignment of a security |
|
interest in a vessel or outboard motor under this subchapter by |
|
applying to the department or a county tax assessor-collector for |
|
the assignee to be named as security-interest holder on the |
|
certificate of title and notifying the debtor of the assignment. An |
|
assignee's failure to make the application or notify the debtor of |
|
the assignment does not create a cause of action against the |
|
assignee or the security-interest holder or affect the validity or |
|
perfection of the security interest assigned to the assignee. |
|
SECTION 4. Section 501.114, Transportation Code, is amended |
|
to read as follows: |
|
Sec. 501.114. ASSIGNMENT OF LIEN. (a) A lienholder may |
|
assign, absolutely or otherwise, the holder's lien on a motor |
|
vehicle to a person other than the owner of the motor vehicle |
|
without affecting the interest of the owner or the validity or |
|
perfection of the lien, but any person without notice of the |
|
assignment is protected in dealing with the lienholder as the |
|
holder of record of the lien and the lienholder remains liable for |
|
any obligations as lienholder until the assignee is named as |
|
lienholder on the certificate of title. The same rules apply to |
|
subsequent assignees of the original or subsequent assignees. |
|
(b) An assignee may record the assignment of a lien recorded |
|
under Section 501.113 by: |
|
(1) applying to the county assessor-collector for the |
|
assignee to be named as lienholder on the certificate of title |
|
[assignment of the lien]; and |
|
(2) notifying the debtor of the assignment. |
|
(c) An assignee's [(b) A lienholder's] failure to make an |
|
application under Subsection (b) or notify a debtor of an |
|
assignment does not create a cause of action against the assignee or |
|
the lienholder or affect the validity or perfection of the lien |
|
assigned to the assignee. |
|
(d) [(c)] An application under Subsection (b) [(a)] must |
|
be: |
|
(1) signed by the person to whom the lien is assigned; |
|
and |
|
(2) accompanied by: |
|
(A) the applicable fee; |
|
(B) a copy of the assignment agreement executed |
|
by the parties; and |
|
(C) the certificate of title on which the lien to |
|
be assigned is recorded. |
|
(e) [(d)] On receipt of the completed application and fee, |
|
the department: |
|
(1) may amend the department's records to substitute |
|
the subsequent lienholder for the previous lienholder; and |
|
(2) shall issue a new certificate of title as provided |
|
by Section 501.027. |
|
(f) [(e)] The issuance of a certificate of title under |
|
Subsection (e) [(d)] is recordation of the assignment. The time of |
|
the recordation of a lien assigned under this section is considered |
|
to be the time the lien was recorded under Section 501.113. |
|
SECTION 5. This Act is intended to clarify rather than |
|
change existing law. |
|
SECTION 6. 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, 2009. |