Tex. Bus. & Com. Code Section 302.153
Disclosure of Certain Sales Information


(a)

A registration statement must be accompanied by:

(1)

a description of the items the seller is offering for sale;

(2)

a copy of all sales information and literature, including scripts, outlines, instructions, and information regarding the conduct of telephone solicitations, sample introductions, sample closings, product information, and contest or premium-award information, that the seller provides to salespersons or about which the seller informs salespersons;

(3)

a copy of all written material the seller sends to any purchaser; and

(4)

as applicable, the information and documents specified by Subsections (b) through (h).

(b)

If the seller represents or implies, or directs a salesperson to represent or imply, to a purchaser that the purchaser will receive a specific item, including a certificate that the purchaser must redeem to obtain the item described in the certificate, or one or more items from among designated items, regardless of whether the items are designated as gifts, premiums, bonuses, or prizes or otherwise, the registration statement must be accompanied by:

(1)

a list of the items described;

(2)

the value of each item and the basis for the valuation;

(3)

the price the seller paid for each item to the seller’s supplier and the name, address, and telephone number of each item’s supplier;

(4)

all rules and terms a purchaser must meet to receive the item; and

(5)

if the purchaser will not receive all of the items described by the seller:

(A)

the manner in which the seller decides which item a particular purchaser is to receive;

(B)

for each item, the odds of a single purchaser receiving the item; and

(C)

the name and address of each purchaser who has received, during the preceding 12 months, the item with the greatest value and the item with the lowest odds of being received.

(c)

If the seller is offering an item that the seller does not manufacture or supply, the registration statement must be accompanied by:

(1)

the name, address, and telephone number of each of the seller’s suppliers;

(2)

a description of each item provided by each supplier named in Subdivision (1); and

(3)

as applicable, the information and documents specified by Subsections (d) through (g).

(d)

If the seller is offering an item that the seller does not manufacture or supply and the possession of the item is to be retained by the seller or will not be transferred to the purchaser until the purchaser has paid in full, the registration statement must be accompanied by:

(1)

the address of each location where the item will be kept;

(2)

if the item is not kept on premises owned by the seller or at an address registered under Section 302.151 (Disclosure of Certain Names, Addresses, Telephone Numbers, and Organizational Information)(8) or (9), the name of the owner of the business at which the item will be kept; and

(3)

a copy of any contract or other document that evidences the seller’s right to store the item at the address designated under Subdivision (2).

(e)

If the seller is offering an item that the seller does not manufacture or supply and the seller is not selling the item from the seller’s own inventory but purchases the item to fill an order previously taken from a purchaser, the registration statement must be accompanied by a copy of each contract or other document that evidences the seller’s ability to call on suppliers to fill the seller’s orders.

(f)

If the seller is offering an item that the seller does not manufacture or supply and the seller represents to purchasers that the seller has insurance or a surety bond relating to a purchaser’s purchase of an item, the registration statement must be accompanied by a copy of each insurance policy or bond.

(g)

If the seller is offering an item that the seller does not manufacture or supply and the seller makes a representation regarding the post-purchase earning or profit potential of an item, the registration statement must be accompanied by:

(1)

data to substantiate the claims made; and

(2)

if the representation relates to previous sales made by the seller or a related entity, substantiating data based on the experiences of at least 50 percent of purchasers of that particular type of item from the seller or related entity during the preceding six months, including:

(A)

the period the seller or related entity has been selling the particular type of item being offered;

(B)

the number of purchasers of the item known to the seller or related entity to have made at least the same earnings or profit as those represented; and

(C)

the percentage that the number disclosed under Paragraph (B) represents of the total number of purchasers from the seller or related entity of the particular type of item offered.

(h)

If the seller is offering to sell an interest in an oil, gas, or mineral field, well, or exploration site, the registration statement must be accompanied by:

(1)

any ownership interest of the seller in each field, well, or site being offered for sale;

(2)

the total number of interests to be sold in each field, well, or site being offered for sale; and

(3)

if, in selling an interest in any particular field, well, or site, reference is made to an investigation of the field, well, or site by the seller or anyone else:

(A)

the name, business address, telephone number, and professional credentials of the person who conducted the investigation; and

(B)

a copy of the report and other documents relating to the investigation prepared by the person who conducted the investigation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 2.01, eff. April 1, 2009.

Source: Section 302.153 — Disclosure of Certain Sales Information, https://statutes.­capitol.­texas.­gov/Docs/BC/htm/BC.­302.­htm#302.­153 (accessed Jun. 5, 2024).

302.001
Definitions
302.002
Making Telephone Solicitation
302.003
Liberal Construction and Application
302.004
Attempted Waiver Void
302.051
Burden of Proof
302.052
Exemptions Apply Only to Sellers
302.053
Exemption: Persons Regulated by Other Law
302.054
Exemption: Persons Selling Media Subscriptions, Certain Merchandise, or Items from Certain Catalogs
302.055
Exemption: Educational and Nonprofit Organizations
302.056
Exemption: Certain Commercial Sales
302.057
Exemption: Person Soliciting Food Sales
302.058
Exemption: Solicitation of Former or Current Customers
302.059
Exemption: Persons Who Make Certain Sales Presentations or Make Sales at Established Retail Locations
302.060
Exemption: Certain Persons Providing Telephone Solicitation Services Predominantly for Exempt Persons
302.061
Exemption: Persons Conducting Certain Isolated Telephone Solicitations
302.101
Registration Certificate Required
302.102
Filing of Registration Statement
302.103
Issuance of Registration Certificate
302.104
Effective Date of Registration Statement
302.105
Addenda Requirements
302.106
Filing Fee
302.107
Security Requirements
302.108
Appointment of Secretary of State as Agent for Service
302.151
Disclosure of Certain Names, Addresses, Telephone Numbers, and Organizational Information
302.152
Disclosure of Certain Convictions, Pleas, Judgments, Orders, Bankruptcies, and Reorganizations
302.153
Disclosure of Certain Sales Information
302.201
Information Required to Be Posted or Available at Seller’s Business Location
302.202
Disclosures Required Before Purchase
302.203
Reference to Compliance with Statute Prohibited
302.251
Violation of Certain Provisions
302.252
Acting as Salesperson for Unregistered Seller
302.253
Request for Credit Card Account Number or Checking Account Number After Offer of Free Item
302.301
Injunction
302.302
Civil Penalties
302.303
Deceptive Trade Practices
302.304
Action to Recover Against Security

Accessed:
Jun. 5, 2024

§ 302.153’s source at texas​.gov