| 3 | 2 | | |
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| 4 | 3 | | |
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| 5 | 4 | | A BILL TO BE ENTITLED |
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| 6 | 5 | | AN ACT |
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| 7 | 6 | | relating to certain contracts for the transfer of a pet. |
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| 8 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 9 | 8 | | SECTION 1. Title 99, Business & Commerce Code, is amended by |
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| 10 | 9 | | adding Chapter 2005 to read as follows: |
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| 11 | 10 | | CHAPTER 2005. CERTAIN CONTRACTS FOR TRANSFER OF PETS PROHIBITED |
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| 12 | 11 | | Sec. 2005.001. DEFINITIONS. In this chapter: |
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| 13 | 12 | | (1) "Livestock" has the meaning assigned by Section |
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| 14 | 13 | | 1.003, Agriculture Code. |
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| 15 | 14 | | (2) "Pet" means a domesticated animal, including a cat |
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| 16 | 15 | | or dog, that is owned by an individual and kept in or near the |
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| 17 | 16 | | household of the individual for the primary purpose of |
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| 18 | 17 | | companionship. The term does not include livestock. |
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| 19 | 18 | | Sec. 2005.002. CERTAIN CONTRACTS FOR TRANSFER OF PET |
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| 20 | 19 | | PROHIBITED. (a) A contract for the transfer of a pet or financing |
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| 21 | 20 | | for the transfer of a pet may not: |
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| 22 | 21 | | (1) make ownership of the pet contingent upon the |
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| 23 | 22 | | buyer making payments after the transfer of possession of the pet to |
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| 24 | 23 | | the buyer; |
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| 25 | 24 | | (2) provide for the lease of a pet with the option to |
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| 26 | 25 | | purchase the pet at the end of the lease term; or |
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| 27 | 26 | | (3) authorize the use of the pet as collateral that may |
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| 28 | 27 | | be repossessed by the seller. |
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| 29 | 28 | | (b) This section does not prohibit the purchase of a pet |
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| 30 | 29 | | using an unsecured personal loan. |
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| 31 | 30 | | Sec. 2005.003. CERTAIN CONTRACTS VOID. A contract entered |
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| 32 | 31 | | into in violation of this chapter is void. |
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| 33 | 32 | | SECTION 2. Chapter 2005, Business & Commerce Code, as added |
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| 34 | 33 | | by this Act, applies only to a contract for the transfer of a pet |
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| 35 | 34 | | entered into on or after the effective date of this Act. A contract |
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| 36 | 35 | | for the transfer of a pet entered into before the effective date of |
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| 37 | 36 | | this Act is governed by the law in effect on the date the contract is |
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| 38 | 37 | | entered into, and the former law is continued in effect for that |
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| 39 | 38 | | purpose. |
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| 40 | 39 | | SECTION 3. This Act takes effect September 1, 2019. |
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