89R18717 BCH-F
By: Lujan H.B. No. 1395
Substitute the following for H.B. No. 1395:
By: Button C.S.H.B. No. 1395
A BILL TO BE ENTITLED
AN ACT
relating to the regulation of private passenger vehicle rental
companies.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 91.001(6) and (7), Business & Commerce
Code, are amended to read as follows:
(6) "Rental agreement" means an agreement for 180 [30]
days or less that states the terms governing the use of a private
passenger vehicle rented by a rental company.
(7) "Rental company" means a person in the business of
renting private passenger vehicles to the public for 180 [30] days
or less. The term does not include a person who holds a license
under Chapter 2301, Occupations Code, and whose primary business
activity is not renting private passenger vehicles.
SECTION 2. Subchapter B, Chapter 91, Business & Commerce
Code, is amended by adding Section 91.057 to read as follows:
Sec. 91.057. REFUND OF DAMAGE WAIVER CHARGE. A rental
company shall issue to a renter a refund of any damage waiver
charges charged or collected for a period that exceeds the number of
calendar days a damage waiver is in effect if:
(1) the renter returns a rented motor vehicle before
the anticipated return date; or
(2) the damage waiver is not in effect for the entire
period of the rental agreement because the renter cancels the
damage waiver before the anticipated return date, and the rental
company confirms that the rented motor vehicle was not damaged
before the damage waiver's cancellation.
SECTION 3. The changes in law made by this Act apply only to
a rental agreement entered into on or after the effective date of
this Act. A rental agreement entered into before the effective date
of this Act is governed by the law in effect on the date the contract
was entered into, and the former law is continued in effect for that
purpose.
SECTION 4. This Act takes effect September 1, 2025.