S.B. No. 1982
 
 
 
 
AN ACT
  relating to the regulation of certain motor vehicle auctions.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 1802.002(a), Occupations Code, is
  amended to read as follows:
         (a)  This chapter does not apply to:
               (1)  a sale conducted by order of a United States court
  under Title 11, United States Code;
               (2)  a sale conducted by an employee of the United
  States, this state, or a political subdivision of this state in the
  course and scope of employment;
               (3)  a sale conducted by a charitable, religious, or
  civic organization, including an organization having a tax exempt
  status under Section 501(c), Internal Revenue Code of 1986, or
  organized as a nonprofit entity, if the person organizing,
  arranging, or conducting the auction receives no compensation;
               (4)  a sale conducted by any person of the person's
  property if the person is not engaged in the business of selling
  property at auction on a recurring basis;
               (5)  a foreclosure sale of real property personally
  conducted by a trustee under a deed of trust;
               (6)  a foreclosure sale of personal property personally
  conducted by:
                     (A)  a person who holds a security interest in the
  property, including a mortgage; or
                     (B)  an employee or agent of a person described by
  Paragraph (A) acting in the course and scope of employment, if:
                           (i)  the employee or agent is not otherwise
  engaged in the auction business; and
                           (ii)  all property for sale in the auction is
  subject to a security agreement;
               (7)  a sale conducted by sealed bid without the option
  of increasing or decreasing the amount of a bid;
               (8)  an auction conducted only for student training
  purposes as part of a course of study approved by the department;
               (9)  an auction conducted by a posted stockyard or
  market agency as defined by the federal Packers and Stockyards Act
  (7 U.S.C. Section 181 et seq.), as amended;
               (10)  an auction of livestock conducted by a nonprofit
  livestock trade association chartered in this state, if the auction
  involves only the sale of livestock owned by members of the trade
  association;
               (11)  an auction conducted by a charitable or nonprofit
  organization chartered in this state, if the auction:
                     (A)  is part of a fair that is organized under
  state, county, or municipal authority; and
                     (B)  involves only the sale of property owned by
  the organization's members; [or]
               (12)  a sale or auction conducted outside of this
  state;
               (13)  a sale of motor vehicles at auction by a person
  licensed under Chapter 2301 or 2302; or
               (14)  a sale of motor vehicles at auction by a person
  who holds a wholesale motor vehicle auction general distinguishing
  number or an independent motor vehicle general distinguishing
  number issued by the Texas Department of Motor Vehicles.
         SECTION 2.  Section 1802.051, Occupations Code, is amended
  by amending Subsection (c) and adding Subsection (d) to read as
  follows:
         (c)  Except as provided by Subsection (d), an [An] individual
  who is licensed under this chapter may not act as an auctioneer for
  an entity unless the entity:
               (1)  is an auction company owned or operated by an
  individual who is licensed under this chapter; or
               (2)  [holds a dealer general distinguishing number
  issued under Subchapter B, Chapter 503, Transportation Code, and
  the auction is for the purpose of auctioning vehicles as defined by
  Section 503.001, Transportation Code; or
               [(3)]  is a real estate brokerage firm that is operated
  by a broker licensed by the Texas Real Estate Commission.
         (d)  An individual who is licensed under this chapter may
  conduct an auction to sell motor vehicles, as defined by Section
  501.002 or 502.001, Transportation Code, if the individual conducts
  the auction for a person who holds a dealer general distinguishing
  number or wholesale motor vehicle auction general distinguishing
  number issued under Subchapter B, Chapter 503, Transportation Code,
  or a license issued under Subchapter C, Chapter 2302, of this code. 
         SECTION 3.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution. If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2015.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1982 passed the Senate on
  April 30, 2015, by the following vote:  Yeas 31, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1982 passed the House on
  May 27, 2015, by the following vote:  Yeas 144, Nays 0, two
  present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor