Occupations Code › Title 14 › Chapter 2301 › Subchapter J

Texas Occupations Code § 2301.471

Use of Financing Subsidiary

Sale or Lease of Motor Vehicles · Manufacturers, Distributors, and Representatives

(a) A manufacturer, distributor, or representative may not:

(1) compel a franchised dealer through a financing subsidiary of the manufacturer or distributor to agree to unreasonable operating requirements; or

(2) directly or indirectly terminate a franchise through the actions of a financing subsidiary of the manufacturer or distributor.

(b) This section does not limit the right of a financing entity to engage in business practices in accordance with the usage of trade in retail and wholesale motor vehicle financing.

Official text of the Texas Occupations Code as published by the Texas Legislative Council.

Official source
Legislative history

Added by Acts 2001, 77th Leg., ch. 1421, Sec. 5, eff. June 1, 2003.