Texas 2019 - 86th Regular

Texas Senate Bill SB1415 Compare Versions

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1-S.B. No. 1415
1+By: Hancock S.B. No. 1415
2+ (Geren)
23
34
5+ A BILL TO BE ENTITLED
46 AN ACT
57 relating to the ownership, control, or operation of a franchised or
68 nonfranchised dealer or dealership by certain motor vehicle
79 manufacturers and distributors.
810 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
911 SECTION 1. Sections 2301.476(a), (b), and (c), Occupations
1012 Code, are amended to read as follows:
1113 (a) In this section:
1214 (1) "Manufacturer"[, "manufacturer"] includes:
1315 (A) [(1)] a representative; or
1416 (B) [(2)] a person who:
1517 (i) [(A)] is affiliated with a manufacturer
1618 or representative; or
1719 (ii) [(B)] directly or indirectly through
1820 an intermediary, is controlled by, or is under common control with,
1921 a manufacturer.
2022 (2) "Type of motor vehicle" means the classification
2123 of a motor vehicle as one of the following:
2224 (A) a passenger car or a truck, including a
2325 pickup truck, van, panel delivery truck, or a carryall truck, with a
2426 gross vehicle weight rating of 14,000 pounds or less that is used
2527 primarily to transport persons or property;
2628 (B) a motorcycle or motor-driven cycle, which
2729 includes:
2830 (i) an all-terrain vehicle, as defined by
2931 Section 502.001, Transportation Code;
3032 (ii) a recreational off-highway vehicle, as
3133 defined by Section 502.001, Transportation Code;
3234 (iii) an autocycle, as defined by Section
3335 501.008, Transportation Code;
3436 (iv) a moped, as defined by Section
3537 541.201, Transportation Code;
3638 (v) a motorcycle, as defined by Section
3739 541.201, Transportation Code; or
3840 (vi) a motor-driven cycle, as defined by
3941 Section 541.201, Transportation Code;
4042 (C) an engine, transmission, or rear axle, as
4143 described by Section 2301.002(23)(C);
4244 (D) a medium-duty or heavy-duty truck with a
4345 gross vehicle weight rating of more than 14,000 pounds;
4446 (E) a bus, as defined by Section 541.201,
4547 Transportation Code;
4648 (F) a road tractor or truck tractor, as defined
4749 by Section 541.201, Transportation Code;
4850 (G) a firefighting vehicle; or
4951 (H) a recreational vehicle, which includes:
5052 (i) a motor home;
5153 (ii) a towable recreational vehicle;
5254 (iii) a travel trailer, as defined by
5355 Section 501.002, Transportation Code; or
5456 (iv) a house trailer, as defined by Section
5557 501.002, Transportation Code.
5658 (b) For purposes of Subsection (a)(1)(B)(ii) [(a)(2)(B)], a
5759 person is controlled by a manufacturer if the manufacturer is
5860 directly or indirectly authorized, by law or by agreement of the
5961 parties, to direct or influence the person's management and
6062 policies.
6163 (c) Except as provided by this section, a manufacturer or
6264 distributor may not directly or indirectly:
6365 (1) own an interest in:
6466 (A) a franchised dealer or dealership, as defined
6567 by Sections 2301.002(16) and (8), respectively, for the same type
6668 of motor vehicle that:
6769 (i) the manufacturer manufactures or
6870 distributes; or
6971 (ii) the distributor distributes; or
7072 (B) a nonfranchised dealer or dealership;
7173 (2) operate or control:
7274 (A) a franchised dealer or dealership, as defined
7375 by Sections 2301.002(16) and (8), respectively, for the same type
7476 of motor vehicle that:
7577 (i) the manufacturer manufactures or
7678 distributes; or
7779 (ii) the distributor distributes; or
7880 (B) a nonfranchised dealer or dealership; or
7981 (3) act in the capacity of:
8082 (A) a franchised dealer or dealership, as defined
8183 by Sections 2301.002(16) and (8), respectively, for the same type
8284 of motor vehicle that:
8385 (i) the manufacturer manufactures or
8486 distributes; or
8587 (ii) the distributor distributes; or
8688 (B) a nonfranchised dealer.
8789 SECTION 2. This Act takes effect September 1, 2019.
88- ______________________________ ______________________________
89- President of the Senate Speaker of the House
90- I hereby certify that S.B. No. 1415 passed the Senate on
91- April 23, 2019, by the following vote: Yeas 30, Nays 1.
92- ______________________________
93- Secretary of the Senate
94- I hereby certify that S.B. No. 1415 passed the House on May
95- 17, 2019, by the following vote: Yeas 142, Nays 0, two present not
96- voting.
97- ______________________________
98- Chief Clerk of the House
99- Approved:
100- ______________________________
101- Date
102- ______________________________
103- Governor