S.B. No. 543
AN ACT
relating to certain possessory liens; providing a criminal penalty.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subsection (c), Section 70.003, Property Code,
is amended to read as follows:
(c) A garageman with whom a motor vehicle, motorboat,
vessel, or outboard motor is left for care has a lien on the motor
vehicle, motorboat, vessel, or outboard motor for the amount of the
charges for the care, including reasonable charges for towing the
motor vehicle, motorboat, vessel, or outboard motor to the
garageman's place of business and excluding charges for repairs.
SECTION 2. Section 70.006, Property Code, is amended by
amending Subsection (a) and adding Subsections (b-1), (b-2), (b-3),
(g), and (h) to read as follows:
(a) A holder of a lien under this subchapter or Chapter 59 on
a motor vehicle subject to Chapter 501, Transportation Code, or on a
motorboat, vessel, or outboard motor for which a certificate of
title is required under Subchapter B, Chapter 31, Parks and
Wildlife Code, as amended, who retains possession of the motor
vehicle, motorboat, vessel, or outboard motor [for 30 days after
the day that the charges accrue] shall, not later than the 30th day
after the date on which the charges accrue, give written notice to
the owner and each holder of a lien recorded on the certificate of
title. A holder of a possessory lien on a motor vehicle under
Section 70.001, other than a person licensed as a franchised dealer
under Chapter 2301, Occupations Code, shall file a copy of the
notice and all information required by this section with the county
tax assessor-collector's office in the county in which the repairs
were made with an administrative fee of $25 payable to the county
tax assessor-collector. If the motor vehicle, motorboat, vessel,
or outboard motor is registered outside this state, the holder of a
lien under this subchapter who retains possession during that
period shall give notice to the last known registered owner and each
lienholder of record.
(b-1) A holder of a possessory lien on a motor vehicle under
Section 70.001, other than a person licensed as a franchised dealer
under Chapter 2301, Occupations Code, who is required to give
notice to a lienholder of record under this section must include in
the notice:
(1) the physical address of the real property at which
the repairs to the motor vehicle were made;
(2) the legal name of the person that holds the
possessory lien for which the notice is required;
(3) the taxpayer identification number or employer
identification number, as applicable, of the person that holds the
possessory lien for which the notice is required; and
(4) a signed copy of the work order authorizing the
repairs on the motor vehicle.
(b-2) If the holder of a possessory lien required to give
notice in accordance with Subsection (b-1) does not comply with
that subsection, a lien recorded on the certificate of title of the
motor vehicle is superior to the possessory lienholder's lien.
(b-3) A person commits an offense if the person knowingly
provides false or misleading information in a notice required by
this section. An offense under this subsection is a Class B
misdemeanor.
(g) After providing notice in accordance with this section,
a holder of a possessory lien on a motor vehicle under Section
70.001, other than a person licensed as a franchised dealer under
Chapter 2301, Occupations Code, shall, on request, not later than
the 30th day after the date on which the charges accrue, make
commercially reasonable efforts to allow an owner and each
lienholder of record to inspect or arrange an inspection of the
motor vehicle by a qualified professional to verify that the
repairs were made.
(h) Not later than the 10th day after the date the county tax
assessor-collector receives notice under this section, the county
tax assessor-collector shall provide a copy of the notice to the
owner of the motor vehicle and each holder of a lien recorded on the
certificate of title of the motor vehicle. Except as provided by
this subsection, the county tax assessor-collector shall provide
the notice required by this section in the same manner as a holder
of a lien is required to provide a notice under this section.
SECTION 3. The Texas Transportation Commission shall adopt
rules necessary to carry out the Texas Department of
Transportation's duties under Sections 70.003 and 70.006, Property
Code, as amended by this Act.
SECTION 4. The changes in law made by this Act apply only to
a possessory lien on a motor vehicle, motorboat, vessel, or
outboard motor the possession of which is obtained on or after the
effective date of this Act. A possessory lien on a motor vehicle,
motorboat, vessel, or outboard motor the possession of which was
obtained before that date is governed by the law in effect at the
time possession was obtained, and the former law is continued in
effect for that purpose.
SECTION 5. This Act takes effect September 1, 2009.
______________________________ ______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 543 passed the Senate on
April 2, 2009, by the following vote: Yeas 31, Nays 0; and that
the Senate concurred in House amendment on May 11, 2009, by the
following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
I hereby certify that S.B. No. 543 passed the House, with
amendment, on May 6, 2009, by the following vote: Yeas 142,
Nays 0, two present not voting.
______________________________
Chief Clerk of the House
Approved:
______________________________
Date
______________________________
Governor