| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the regulation of motor vehicle dealers, manufacturers, |
|
|
distributors, and representatives. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Subchapter J, Chapter 2301, Occupations Code, is |
|
|
amended by adding Section 2301.483 to read as follows: |
|
|
Sec. 2301.483. PROPERTY USE AGREEMENTS RELATED TO PROPERTY |
|
|
OWNED BY MANUFACTURER, DISTRIBUTOR, OR REPRESENTATIVE. (a) |
|
|
Notwithstanding Sections 2301.4671, 2301.481, and 2301.482, and |
|
|
subject to this section, a dealer may enter into a property use |
|
|
agreement for a franchise in which the manufacturer, distributor, |
|
|
or representative has purchased any necessary real estate for the |
|
|
dealership. |
|
|
(b) A property use agreement under this section may include |
|
|
provisions that: |
|
|
(1) limit the franchised dealer's ability to add a |
|
|
line-make; |
|
|
(2) prohibit the sale or transfer of the dealership |
|
|
property to any transferee that will not continue to engage in the |
|
|
business of buying, selling, or exchanging new motor vehicles or |
|
|
servicing or repairing motor vehicles under a manufacturer's |
|
|
warranty under a franchise in effect with the manufacturer or |
|
|
distributor that purchased or funded any part of the dealership |
|
|
property; and |
|
|
(3) bind a franchised dealer's successor. |
|
|
(c) A property use agreement under this section expires on |
|
|
the earlier of: |
|
|
(1) the date provided by the property use agreement; |
|
|
or |
|
|
(2) the termination of the franchise between the |
|
|
parties to the property use agreement. |
|
|
(d) This section applies to a subsidiary of, or a person |
|
|
controlled by, a manufacturer, distributor, or representative. |
|
|
SECTION 2. Section 2301.6521(d), Occupations Code, is |
|
|
amended to read as follows: |
|
|
(d) A franchised dealer may not protest an application to |
|
|
relocate a dealership under this section if the proposed relocation |
|
|
site is not: |
|
|
(1) more than two miles [or less] from the dealership's |
|
|
current location; or |
|
|
(2) closer to the franchised dealer than the site from |
|
|
which the dealership is being relocated. |
|
|
SECTION 3. Section 2301.483, Occupations Code, as added by |
|
|
this Act, applies only to an agreement entered into or renewed under |
|
|
Chapter 2301, Occupations Code, on or after the effective date of |
|
|
this Act. An agreement entered into or renewed before that date is |
|
|
governed by the law in effect on the date the agreement was entered |
|
|
into or renewed, and the former law is continued in effect for that |
|
|
purpose. |
|
|
SECTION 4. Section 2301.6521(d), Occupations Code, as |
|
|
amended by this Act, applies only to an application to relocate a |
|
|
dealership that is made on or after the effective date of this Act. |
|
|
An application made before that date is governed by the law in |
|
|
effect on the date the application was made, and the former law is |
|
|
continued in effect for that purpose. |
|
|
SECTION 5. 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, 2013. |