88R7634 BEE-F     By: Lujan H.B. No. 1933       A BILL TO BE ENTITLED   AN ACT   relating to the process for rescinding or canceling a dealer's sale   of a used motor vehicle.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subchapter C, Chapter 501, Transportation Code,   is amended by adding Section 501.054 to read as follows:          Sec. 501.054.  RESCISSION OR CANCELLATION OF USED MOTOR   VEHICLE SALE. (a)  The retail sale of a used motor vehicle by a   dealer may be rescinded or canceled if the rescission or   cancellation of the sale is acknowledged in a written rescission or   cancellation agreement signed by the dealer and the buyer not later   than the 30th day after the date of the sale.          (b)  A dealer shall retain a rescission or cancellation   agreement described by Subsection (a) with the sale records for the   vehicle.          (c)  If the sale of a used motor vehicle is rescinded or   canceled under Subsection (a) before the dealer has submitted an   application under Section 501.0234 or remitted any money to a   county or the state in connection with the sale, the dealer:                (1)  is not required to send any application or money to   a county or the state in connection with the sale; and                (2)  shall return any money that was paid to the dealer   in connection with the sale to the person who paid the money to the   dealer.          (d)  If the sale of a used motor vehicle is rescinded or   canceled under Subsection (a) after the dealer has submitted an   application under Section 501.0234 or remitted money to a county or   the state in connection with the sale, the dealer:                (1)  shall refund any money that was paid to the dealer   in connection with the sale to the person who paid the money to the   dealer; and                (2)  may request a refund under Subsection (f).          (e)  If the sale of a used motor vehicle is rescinded or   canceled under Subsection (a), the dealer may request a title for   resale purposes under Subsection (f).          (f)  Not later than the 15th day after the date the   rescission or cancellation agreement described by Subsection (a) is   signed by all required parties, the dealer may submit to the county   assessor-collector to whom the application was submitted or money   was remitted:                (1)  a form prescribed by the department certifying   that the dealer has refunded any money required under Subsection   (d);                (2)  a copy of the rescission or cancellation   agreement;                (3)  any certificate of title that was issued in   connection with the sale before the sale was rescinded or canceled   or a form prescribed by the department certifying that the title was   lost or destroyed; and                (4)  a fee in the amount required under Section   501.138(a), regardless of whether the fee was paid for the   rescinded or canceled sale.          (g)  Not later than the seventh day after the date the county   assessor-collector receives all the items described by Subsection   (f), the county assessor-collector shall, as applicable:                (1)  refund to the dealer all money remitted by the   dealer to the county assessor-collector in connection with the   rescinded or canceled sale, except:                      (A)  any application fee paid under Section   501.138(a); and                      (B)  any registration processing and handling fee   paid under Section 502.1911; and                (2)  issue a title to the dealer as described by Section   501.021 with:                      (A)  the dealer as the owner; and                      (B)  the odometer reading as recorded at the time   of the rescinded or canceled sale.          (h)  A dealer may not offer for sale a vehicle that has been   subject to rescission or cancellation under this section and for   which a title was issued in connection with the rescinded or   canceled sale unless the dealer has received a title to the vehicle   under Subsection (g).          (i)  The rescission or cancellation of the sale of a used   motor vehicle under this section does not affect the status of the   vehicle as having been subject to a previous retail sale.          SECTION 2.  This Act takes effect September 1, 2023.