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.
Added by Acts 2009, 81st Leg., R.S., Ch. 836 (S.B. 1827), Sec. 1, eff. September 1, 2009.
Structure Texas Statutes
Title 7 - Vehicles and Traffic
Subtitle A - Certificates of Title and Registration of Vehicles
Chapter 503 - Dealer's and Manufacturer's Vehicle License Plates
Subchapter B. General Distinguishing Number
Section 503.021. Dealer General Distinguishing Number
Section 503.022. Wholesale Motor Vehicle Auction General Distinguishing Number
Section 503.023. Drive-a-Way Operator License
Section 503.024. Exclusions for Dealer
Section 503.025. Wholesale Motor Vehicle Auction Exception
Section 503.026. Requirement for Each Type of Dealer Vehicle
Section 503.027. Requirements Relating to Dealer Location
Section 503.028. Requirements Relating to Wholesale Motor Vehicle Auction Location
Section 503.029. Application for Dealer General Distinguishing Number
Section 503.0295. Independent Mobility Motor Vehicle Dealers
Section 503.0296. Independent Motor Vehicle Dealer Education and Training Requirement
Section 503.030. Application for Wholesale Motor Vehicle Auction General Distinguishing Number
Section 503.031. Application for Drive-a-Way In-Transit License
Section 503.032. Established and Permanent Place of Business
Section 503.033. Security Requirement
Section 503.035. Issuance and Renewal of Drive-a-Way In-Transit License
Section 503.036. Reassignment of Evidence of Ownership; Dealer Categories
Section 503.037. Rights of Wholesale Motor Vehicle Auction
Section 503.038. Cancellation of General Distinguishing Number
Section 503.039. Public Motor Vehicle Auctions
Section 503.040. Sales of Certain Used Motor Vehicles Constitute Private Disposition