1 | 1 | | 81R28182 JSC-D |
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2 | 2 | | By: Villarreal H.B. No. 4526 |
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3 | 3 | | Substitute the following for H.B. No. 4526: |
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4 | 4 | | By: England C.S.H.B. No. 4526 |
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5 | 5 | | |
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6 | 6 | | |
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7 | 7 | | A BILL TO BE ENTITLED |
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8 | 8 | | AN ACT |
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9 | 9 | | relating to the disclosure of charges for motor vehicle repairs; |
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10 | 10 | | providing a civil penalty. |
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11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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12 | 12 | | SECTION 1. Title 2, Business & Commerce Code, is amended by |
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13 | 13 | | adding Chapter 22 to read as follows: |
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14 | 14 | | CHAPTER 22. DISCLOSURE OF MOTOR VEHICLE REPAIR CHARGES |
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15 | 15 | | Sec. 22.01. DEFINITION. In this chapter, "motor vehicle |
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16 | 16 | | repair dealer" means a person in the business of performing |
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17 | 17 | | mechanical or nonmechanical repairs on motor vehicles. |
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18 | 18 | | Sec. 22.02. SCHEDULE OF CHARGES. (a) Before taking |
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19 | 19 | | possession of a motor vehicle, a motor vehicle repair dealer shall |
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20 | 20 | | provide a customer with a written schedule of charges that |
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21 | 21 | | includes: |
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22 | 22 | | (1) the charge for making an estimate of repairs; |
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23 | 23 | | (2) the total estimated charge for releasing a motor |
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24 | 24 | | vehicle to the customer in a disassembled state, if the dealer does |
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25 | 25 | | not repair the vehicle; |
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26 | 26 | | (3) the total estimated charge for releasing a motor |
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27 | 27 | | vehicle to the customer in substantially the same condition as the |
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28 | 28 | | vehicle was in when delivered to the dealer, if the dealer does not |
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29 | 29 | | repair the vehicle; |
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30 | 30 | | (4) storage charges; |
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31 | 31 | | (5) towing charges; |
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32 | 32 | | (6) the posted labor rate; and |
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33 | 33 | | (7) an itemized list of all other foreseeable charges, |
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34 | 34 | | other than the charges to be included in the estimate under Section |
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35 | 35 | | 22.04. |
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36 | 36 | | (b) The schedule of charges must include a written notice in |
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37 | 37 | | substantially the following form: |
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38 | 38 | | "NOTICE: UNFORESEEN DAMAGE. In the course of having an |
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39 | 39 | | estimate made, a part of your vehicle may be damaged due to age, |
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40 | 40 | | stress, heat, or a defect, and it may not be possible to return the |
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41 | 41 | | vehicle to substantially the same condition as the vehicle was in |
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42 | 42 | | when delivered to the motor vehicle repair dealer without repairing |
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43 | 43 | | or replacing that part. If this occurs, the motor vehicle repair |
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44 | 44 | | dealer may request additional charges above the amount in the |
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45 | 45 | | schedule of charges for the purpose of repairing or replacing the |
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46 | 46 | | part. If you do not authorize the additional charges, the motor |
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47 | 47 | | vehicle repair dealer is not required to return the vehicle to you |
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48 | 48 | | in substantially the same condition as the vehicle was in when |
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49 | 49 | | delivered to the repair dealer, and may release the vehicle to you |
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50 | 50 | | in a disassembled state." |
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51 | 51 | | (c) A motor vehicle repair dealer may not charge a customer |
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52 | 52 | | for a service not listed on the schedule of charges or the estimate |
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53 | 53 | | under Section 22.04, unless the dealer notifies the customer in |
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54 | 54 | | writing, by telephone, or in another manner authorized by the |
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55 | 55 | | customer, and the customer agrees to the charge. |
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56 | 56 | | (d) A motor vehicle repair dealer shall require the customer |
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57 | 57 | | to sign the itemized schedule of charges to acknowledge that the |
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58 | 58 | | customer has read the schedule. A motor vehicle repair dealer shall |
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59 | 59 | | provide a customer a copy of the signed schedule, and shall retain a |
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60 | 60 | | copy of the signed schedule until the first anniversary of the date |
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61 | 61 | | the customer signed the schedule. |
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62 | 62 | | Sec. 22.03. PROVISION OF SCHEDULE OF CHARGES IF VEHICLE IS |
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63 | 63 | | TOWED. If a customer's motor vehicle is brought to the motor |
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64 | 64 | | vehicle repair dealer by a towing service and the dealer does not |
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65 | 65 | | have an opportunity to provide the written schedule of charges to |
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66 | 66 | | the customer before taking possession of the vehicle, the dealer |
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67 | 67 | | shall provide the schedule of charges not later than the time the |
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68 | 68 | | dealer provides the customer the estimate under Section 22.04. |
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69 | 69 | | Sec. 22.04. WRITTEN ESTIMATE. (a) A motor vehicle repair |
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70 | 70 | | dealer may not perform repair work on a motor vehicle before the |
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71 | 71 | | dealer provides to the customer a written estimate of: |
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72 | 72 | | (1) the total charges for the repairs, not including |
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73 | 73 | | any applicable tax; and |
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74 | 74 | | (2) the time in which the repairs will be completed. |
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75 | 75 | | (b) If the motor vehicle repair dealer must disassemble a |
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76 | 76 | | major component of a vehicle to make an estimate, the dealer shall |
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77 | 77 | | disclose that fact to the customer before the dealer disassembles |
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78 | 78 | | the component. |
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79 | 79 | | (c) After receiving an estimate under this section, a |
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80 | 80 | | customer may authorize the repairs or may request the return of the |
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81 | 81 | | customer's vehicle in a disassembled state or in substantially the |
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82 | 82 | | same condition as the vehicle was in when delivered to the dealer. |
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83 | 83 | | (d) A motor vehicle repair dealer may not charge an amount |
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84 | 84 | | that exceeds the estimate by 10 percent, unless the dealer notifies |
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85 | 85 | | the customer in writing, by telephone, or in another manner |
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86 | 86 | | authorized by the customer and the customer authorizes the |
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87 | 87 | | increase. If the customer authorizes the increase, the dealer |
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88 | 88 | | shall note on the work order or invoice: |
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89 | 89 | | (1) the manner of authorization; |
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90 | 90 | | (2) the date and time of the authorization; |
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91 | 91 | | (3) the name of the person giving the authorization; |
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92 | 92 | | (4) if the authorization was obtained by a telephone |
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93 | 93 | | call made by the motor vehicle repair dealer to the customer, the |
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94 | 94 | | telephone number called; and |
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95 | 95 | | (5) if the authorization was obtained by electronic |
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96 | 96 | | communication, the e-mail address or telephone number from which |
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97 | 97 | | the communication originated, if applicable. |
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98 | 98 | | (e) If the motor vehicle repair dealer is unable to complete |
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99 | 99 | | the repair work in the time estimated, the dealer shall notify the |
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100 | 100 | | customer, and the customer may request the return of the vehicle in |
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101 | 101 | | a disassembled state or in substantially the same condition as the |
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102 | 102 | | vehicle was in when delivered to the dealer. |
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103 | 103 | | Sec. 22.05. WAIVER. (a) A consumer may waive receipt of |
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104 | 104 | | the schedule of charges or the estimate if the consumer signs and |
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105 | 105 | | provides to the motor vehicle repair dealer a written waiver as |
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106 | 106 | | provided by this section that must be: |
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107 | 107 | | (1) conspicuous and in boldface type of at least |
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108 | 108 | | 10-point size; and |
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109 | 109 | | (2) identified by the heading "Waiver of Consumer |
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110 | 110 | | Rights" or words of similar meaning. |
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111 | 111 | | (b) A waiver of the right to receive the schedule of charges |
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112 | 112 | | under Section 22.02 must be in substantially the following form: |
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113 | 113 | | "I waive my rights under Chapter 22, Business & Commerce |
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114 | 114 | | Code, to receive a written schedule of charges from a motor vehicle |
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115 | 115 | | repair dealer for making an estimate of the cost of repairs to my |
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116 | 116 | | motor vehicle. I understand that I am waiving the right to an |
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117 | 117 | | itemized list of charges involved in making the estimate, including |
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118 | 118 | | towing and storage charges and the cost associated with the return |
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119 | 119 | | of my vehicle in substantially the same condition as the vehicle was |
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120 | 120 | | in when delivered to the dealer or in a disassembled state. I |
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121 | 121 | | voluntarily consent to this waiver." |
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122 | 122 | | (c) A waiver of the right to receive an estimate under |
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123 | 123 | | Section 22.04 must be in substantially the following form: |
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124 | 124 | | "I waive my rights under Chapter 22, Business & Commerce |
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125 | 125 | | Code, to receive a written estimate from a motor vehicle repair |
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126 | 126 | | dealer for the cost of repairing my motor vehicle and the time by |
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127 | 127 | | which the repairs will be completed. I voluntarily consent to this |
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128 | 128 | | waiver." |
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129 | 129 | | (d) A motor vehicle repair dealer may not: |
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130 | 130 | | (1) require a customer to sign a waiver as a condition |
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131 | 131 | | of doing business with the customer; or |
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132 | 132 | | (2) incentivize, coerce, or harass a customer to sign |
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133 | 133 | | a waiver. |
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134 | 134 | | Sec. 22.06. RETURN OF VEHICLE. (a) If a customer requests |
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135 | 135 | | the return of the customer's vehicle under Section 22.04(c) or (e), |
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136 | 136 | | the motor vehicle repair dealer shall return the vehicle to the |
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137 | 137 | | customer at the earliest practicable commercially reasonable time |
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138 | 138 | | after the customer requests the return. The dealer may impose a |
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139 | 139 | | charge for returning a vehicle only if the amount of the charge is |
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140 | 140 | | included in the schedule under Section 22.02. |
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141 | 141 | | (b) Notwithstanding Subsection (a), if, in the course of |
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142 | 142 | | having an estimate of repair work made, a part is damaged due to |
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143 | 143 | | age, stress, heat, or a defect, and because of the damaged part it |
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144 | 144 | | is no longer possible to return the vehicle in substantially the |
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145 | 145 | | same condition as the vehicle was in when delivered to the motor |
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146 | 146 | | vehicle repair dealer, the dealer may request that the customer |
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147 | 147 | | authorize an additional charge for the repair or replacement of the |
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148 | 148 | | part. If the customer does not authorize the additional charge, the |
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149 | 149 | | dealer is not required to return the vehicle in substantially the |
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150 | 150 | | same condition as the vehicle was in when delivered to the dealer |
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151 | 151 | | and may return the vehicle to the customer in a disassembled state. |
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152 | 152 | | Sec. 22.07. PROVISION OF DETAILED INVOICE. (a) A motor |
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153 | 153 | | vehicle repair dealer shall record work performed on an invoice |
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154 | 154 | | that: |
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155 | 155 | | (1) describes the repair work done with reasonable |
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156 | 156 | | particularity; |
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157 | 157 | | (2) lists the name and exact charge for each part |
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158 | 158 | | supplied and clearly discloses whether each part supplied was used, |
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159 | 159 | | rebuilt, or reconditioned; and |
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160 | 160 | | (3) discloses the trade name, business address, and |
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161 | 161 | | business telephone number of the dealer. |
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162 | 162 | | (b) The motor vehicle repair dealer shall provide one copy |
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163 | 163 | | of the invoice to the customer and shall retain one copy until the |
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164 | 164 | | first anniversary of the date the repair work is completed. |
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165 | 165 | | Sec. 22.08. RETURN OF REPLACED PART. A motor vehicle repair |
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166 | 166 | | dealer shall return a replaced part to the customer if requested by |
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167 | 167 | | the customer when the invoice is given. A dealer is not required to |
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168 | 168 | | return a part that must be returned to the manufacturer or |
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169 | 169 | | distributor under a warranty or for exchange. |
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170 | 170 | | Sec. 22.09. EXCEPTION. A motor vehicle repair dealer is not |
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171 | 171 | | required to provide a written schedule or estimate under this |
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172 | 172 | | chapter if the dealer charges $15 or less for the repair work. |
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173 | 173 | | Sec. 22.10. DECEPTIVE TRADE PRACTICE. A violation of this |
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174 | 174 | | chapter is a false, misleading, or deceptive act or practice as |
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175 | 175 | | defined by Section 17.46(b), and a remedy under Subchapter E, |
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176 | 176 | | Chapter 17, is available for a violation of this chapter. |
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177 | 177 | | Sec. 22.11. INJUNCTION. The attorney general may bring an |
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178 | 178 | | action to enjoin a violation of this chapter. |
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179 | 179 | | Sec. 22.12. CIVIL PENALTY. (a) A motor vehicle repair |
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180 | 180 | | dealer is liable to the state for a civil penalty not to exceed $500 |
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181 | 181 | | for each violation. |
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182 | 182 | | (b) The attorney general may sue to collect the penalty. |
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183 | 183 | | SECTION 2. This Act takes effect September 1, 2009. |
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