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A BILL TO BE ENTITLED
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AN ACT
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relating to the sale of a motor vehicle, motorboat, vessel, or |
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outboard motor by a lienholder. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Sections 70.006(a), (e), and (f), Property Code, |
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are amended to read as follows: |
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(a) A holder of a lien under this subchapter on a motor |
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vehicle subject to Chapter 501, Transportation Code, or on a |
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motorboat, vessel, or outboard motor for which a certificate of |
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title is required under Subchapter B, Chapter 31, Parks and |
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Wildlife Code, as amended, who retains possession of the motor |
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vehicle, motorboat, vessel, or outboard motor shall, not later than |
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the 30th day after the date on which the charges accrue, give |
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written notice to the owner and each holder of a lien recorded on |
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the certificate of title. Not later than the 30th day after the |
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date on which the charges accrue, a holder of a possessory lien on a |
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motor vehicle under Section 70.001, other than a person licensed as |
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a franchised dealer under Chapter 2301, Occupations Code, shall |
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file a copy of the notice and all information required by this |
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section with the county tax assessor-collector's office in the |
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county in which the repairs were made with an administrative fee of |
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$25 payable to the county tax assessor-collector. If the motor |
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vehicle, motorboat, vessel, or outboard motor is registered outside |
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this state, the holder of a lien under this subchapter who retains |
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possession during that period shall give notice to the last known |
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registered owner and each lienholder of record. |
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(e) After notice is given under this section to the owner of |
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or the holder of a lien on the motor vehicle, motorboat, vessel, or |
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outboard motor, the owner or holder of the lien may obtain |
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possession of the motor vehicle, motorboat, vessel, or outboard |
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motor by paying all charges due to the holder of a lien under this |
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subchapter before the 31st day after the date: |
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(1) a copy of the notice relating to the motor vehicle |
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is filed with the county tax assessor-collector's office; or |
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(2) a copy of the notice relating to the motorboat, |
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vessel, or outboard motor is mailed or published, as applicable. |
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(f) If the charges are not paid within the applicable period |
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prescribed by Subsection (e) [before the 31st day after the date
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that a copy of the notice required by Subsection (a) is filed with
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the county tax assessor-collector's office], the lienholder may |
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sell the motor vehicle, motorboat, vessel, or outboard motor at a |
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public sale and apply the proceeds to the charges. The lienholder |
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shall pay excess proceeds to the person entitled to them. The |
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public sale may not take place before the 31st day after the date: |
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(1) a copy of the notice relating to the motor vehicle |
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is filed with the county tax assessor-collector's office; or |
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(2) a copy of the notice relating to the motorboat, |
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vessel, or outboard motor is mailed or published, as applicable. |
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SECTION 2. This Act takes effect September 1, 2019. |