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A BILL TO BE ENTITLED
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AN ACT
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relating to the selection by motor vehicle dealers of materials and |
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vendors for motor vehicle dealership upgrades and improvements. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter J, Chapter 2301, Occupations Code, is |
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amended by adding Section 2301.483 to read as follows: |
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Sec. 2301.483. SELECTION BY DEALER OF VENDOR OR MATERIALS |
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FOR DEALERSHIP IMPROVEMENT. (a) Except as provided by Subsection |
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(b), a manufacturer or distributor may not: |
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(1) require a dealer to purchase or use specific |
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materials or to purchase goods or services from a specific vendor |
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when making an upgrade or improvement to the dealer's dealership; |
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or |
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(2) directly or indirectly take an adverse financial |
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or other action against a dealer who chooses materials or a vendor |
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as provided by this section. |
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(b) If a manufacturer or distributor provides money |
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directly or indirectly to a dealer to compensate the dealer for a |
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specific upgrade or improvement, the dealer may select the |
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materials and vendors for upgrade or improvement but shall select |
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materials and vendors that are of like kind and quality to those |
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specified by the manufacturer or distributor, if any. |
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SECTION 2. The changes in law made by this Act apply to a |
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manufacturer, distributor, and dealer regardless of the date the |
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person's license is issued or renewed under Chapter 2301, |
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Occupations Code, and regardless of the date a franchise agreement |
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is entered into or renewed. |
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SECTION 3. This Act takes effect September 1, 2013. |