S.B. No. 1827
 
 
 
 
AN ACT
  relating to the constituting of certain sales of a used motor
  vehicle as a private disposition for purposes of Chapter 9,
  Business & Commerce Code.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter B, Chapter 503, Transportation Code,
  is amended by adding Section 503.040 to read as follows:
         Sec. 503.040.  SALES OF CERTAIN USED MOTOR VEHICLES
  CONSTITUTE PRIVATE DISPOSITION. (a)  This section applies only to
  the sale of a used motor vehicle that constitutes collateral by a
  secured party acting under Chapter 9, Business & Commerce Code, and
  occurs at an auction conducted by an independent motor vehicle
  dealer:
               (1)  at which neither the debtor nor the secured party
  is permitted to bid; and
               (2)  for which there has been no advertisement or
  public notice before the sale that specifically describes the
  collateral to be sold, other than the inclusion of the motor vehicle
  in a list of the vehicles to be offered at the auction made
  available to potential bidders at the auction.
         (b)  The sale of the used motor vehicle constitutes a private
  disposition for purposes of Chapter 9, Business & Commerce Code.
         SECTION 2.  The change in law made by Section 503.040,
  Transportation Code, as added by this Act, applies only to a sale of
  collateral consisting of a used motor vehicle that occurs on or
  after the effective date of this Act. A sale of such collateral
  that occurs before the effective date of this Act is governed by the
  law applicable to the sale immediately before the effective date of
  this Act, and that law is continued in effect for that purpose.
         SECTION 3.  This Act takes effect September 1, 2009.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1827 passed the Senate on
  April 9, 2009, by the following vote: Yeas 31, Nays 0; and that
  the Senate concurred in House amendment on May 29, 2009, by the
  following vote: Yeas 31, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1827 passed the House, with
  amendment, on May 15, 2009, by the following vote: Yeas 144,
  Nays 0, one present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor