Tex. Occ. Code Section 2301.604
Replacement of or Refund for Vehicle


(a)

A manufacturer, converter, or distributor that is unable to conform a motor vehicle to an applicable express warranty by repairing or correcting a defect or condition that creates a serious safety hazard or substantially impairs the use or market value of the motor vehicle after a reasonable number of attempts shall reimburse the owner for reasonable incidental costs resulting from loss of use of the motor vehicle because of the nonconformity or defect and:

(1)

replace the motor vehicle with a comparable motor vehicle; or

(2)

accept return of the vehicle from the owner and refund to the owner the full purchase price, less a reasonable allowance for the owner’s use of the vehicle, and any other allowances or refunds payable to the owner.

(b)

A refund made for a vehicle for which there is a lienholder shall be made to the owner and lienholder in proportion to each person’s interest in the vehicle.

(c)

As necessary to promote the public interest, the board by rule:

(1)

shall define the incidental costs that are eligible for reimbursement;

(2)

shall specify other requirements necessary to determine an eligible cost; and

(3)

may set a maximum amount that is eligible for reimbursement, either by type of eligible cost or by a total for all costs.
Added by Acts 2001, 77th Leg., ch. 1421, Sec. 5, eff. June 1, 2003.

Source: Section 2301.604 — Replacement of or Refund for Vehicle, https://statutes.­capitol.­texas.­gov/Docs/OC/htm/OC.­2301.­htm#2301.­604 (accessed Jun. 5, 2024).

2301.001
Construction
2301.002
Definitions
2301.003
Effect on Agreements
2301.004
Chapter Exclusive
2301.005
Title Changes
2301.006
Brokers Prohibited
2301.007
Towing Vehicle by License Holder
2301.0045
Nonapplicability of Chapter to Assembled Vehicles and Hobbyist
2301.103
Personnel
2301.104
Hearings Examiners
2301.151
General Jurisdiction of Board
2301.152
General Duties of Board
2301.153
General Powers of Board
2301.154
Delegation of Powers
2301.155
Rules
2301.156
Deposit of Revenue
2301.160
Tolling of Time Limit During Mediation
2301.201
Public Interest Information
2301.202
Complaints
2301.203
Complaint Investigation and Disposition
2301.204
Complaint Concerning Vehicle Defect
2301.205
Notice of Complaint Procedure
2301.251
License Required: Generally
2301.252
License Required: Sale of New Motor Vehicles
2301.253
License Required: Vehicle Lease Facilitators
2301.254
License Not Required for Certain Vehicle Lessors or Vehicle Lease Facilitators
2301.255
Nonfranchised Dealers
2301.256
Review of New Applications
2301.257
Application for Dealer’s License
2301.258
General Requirements for Application for Manufacturer’s, Distributor’s, or Converter’s License
2301.259
Application for Manufacturer’s License
2301.260
Application for Distributor’s License
2301.261
Application for Vehicle Lessor’s License
2301.262
Application for Vehicle Lease Facilitator License
2301.263
License Issued Subject to New Law and Rules
2301.264
License Fees
2301.265
Service of Process on License Holder
2301.266
Duplicate License
2301.301
License Term and Renewal
2301.302
Notice of License Expiration
2301.303
Renewal of Dealer’s License
2301.304
Procedure for Renewal of Certain Licenses
2301.351
General Prohibition
2301.352
Prohibition: Requiring Additional Equipment After Retail Sale
2301.353
Prohibition: Performance of Obligation Under Agreement with Manufacturer
2301.354
Use of Signs
2301.355
Use of Multiple Locations
2301.356
Notice of Certain Proposed Changes
2301.357
Prohibited Fee
2301.358
Vehicle Show or Exhibition
2301.359
Transfer of Ownership by Dealer
2301.360
Review by Board Following Denial of Transfer
2301.361
Independent Mobility Motor Vehicle Dealer
2301.362
Offsite Sales
2301.363
Required Notice
2301.401
Warranty, Preparation, and Delivery Requirements
2301.402
Rate of Compensation
2301.403
Adjustment of Warranty Labor Rate
2301.404
Time for Payment
2301.405
Charge Back to Dealer
2301.406
Prohibited Requirements for Payment
2301.451
Prohibition: Items Not Ordered
2301.452
Delivery of Motor Vehicle or Part
2301.453
Termination or Discontinuance of Franchise
2301.454
Modification or Replacement of Franchise
2301.455
Determination of Good Cause for Termination, Discontinuance, Modification, or Replacement
2301.456
Use of Advertising
2301.457
Prohibition: Change of Franchised Dealer’s Capital Structure
2301.458
Prohibition: Change in Dealer Ownership
2301.459
Prohibition: Use of Promissory Note, Security Agreement, or Insurance Policy
2301.460
Warranty, Preparation, or Delivery Agreement Obligations
2301.461
Liability of Franchised Dealer
2301.462
Succession Following Death of Franchised Dealer
2301.463
Prohibition: Payment of Rebate by Franchised Dealer
2301.464
Relocation of Franchise
2301.465
Payment to Franchised Dealer Following Termination of Franchise
2301.466
Arbitration
2301.467
Prohibitions: Sales Standards, Relocations, Facility Changes, Purchase of Equipment
2301.468
Inequitable Treatment of Dealers or Franchisees
2301.469
Costs of Product Recall
2301.470
Prohibition: Conditions for Financing Motor Vehicle
2301.471
Use of Financing Subsidiary
2301.472
Addition of Line-make
2301.473
Models Within Line-make
2301.474
Payment of Costs for Administrative or Civil Proceeding
2301.475
Manufacturer or Distributor Incentive Programs: Audit or Chargeback
2301.476
Manufacturer or Distributor Ownership, Operation, or Control of Dealership
2301.477
Manufacturer Doing Business in This State
2301.478
Action on Franchise
2301.479
Adverse Action in Connection with Export of Vehicle
2301.480
Disclosure of Certain Information
2301.481
Property Use Agreement
2301.482
Certain Property Use Agreements
2301.483
Specific Use Agreements
2301.521
Definition
2301.522
Mediation Applicable
2301.523
Mediator
2301.524
Location and Schedule of Mediation
2301.525
Law Applicable
2301.526
Costs of Mediation
2301.527
Jurisdiction of Board
2301.528
Effect of Mediation on Chapter
2301.529
Outcome of Mediation
2301.551
Acceptance and Payment of Fees by Vehicle Lessor
2301.552
Appointment of Vehicle Lease Facilitator
2301.553
Disclosure of Fee Required
2301.554
Terms of Lease: Foreign Countries
2301.555
Limitations on Vehicle Lease Facilitator
2301.556
Use of Certain Terms
2301.601
Definitions
2301.602
Duty of Board
2301.603
Conformance with Warranty Required
2301.604
Replacement of or Refund for Vehicle
2301.605
Rebuttable Presumption--reasonable Number of Attempts
2301.606
Conduct of Proceedings
2301.607
Exhaustion of Administrative Remedies
2301.608
Assessment of Costs for Replacement or Refund
2301.609
Judicial Review
2301.610
Disclosure Statement
2301.611
Annual Report on Repurchased or Replaced Vehicles
2301.612
Open Records Exception
2301.613
Notice to Buyer
2301.651
Denial, Revocation, or Suspension Generally
2301.652
Denial of License Application: Dealership
2301.653
Revocation or Suspension of Manufacturer’s or Distributor’s License
2301.654
Probation
2301.701
Definition
2301.702
Conflict with Other Law
2301.703
Hearing Required in Contested Case
2301.704
Hearings Examiner
2301.705
Notice of Contested Case Hearing
2301.706
Notice of Rulemaking Hearing
2301.707
Contents of Hearing Notice
2301.708
Conduct of Hearing
2301.709
Review by Board
2301.710
Dismissal of Complaint
2301.711
Orders and Decisions
2301.712
Filing Fee
2301.713
Rehearing
2301.751
Judicial Review Generally
2301.752
Time for Filing
2301.753
Additional Evidence
2301.754
Dismissal for Failure to Prosecute
2301.755
Effect of Appeal on Order
2301.756
Review of Interlocutory Order
2301.801
Civil Penalty
2301.802
Cease and Desist Order
2301.803
Statutory Stay
2301.804
Suit for Injunctive Relief or Civil Penalty
2301.805
Relief Under Other Law
2301.806
Board Exempt from Filing Fee
2301.807
Refund
2301.851
Certain Charges Included in Customer Agreement
2301.852
Use or Retention of Salvage Motor Vehicle
2301.853
Criminal Penalty
2301.2575
Request for Dealer’s License Application Confidential
2301.4651
Additional Payment to Franchised Dealer in Certain Situations
2301.4671
Franchise Provision Establishing Restriction on Dealer’s Use of Dealership Property
2301.4749
Manufacturer or Distributor Incentive Programs: Payment to Dealer
2301.5555
Authority to Sign Vehicle Lease as Lessor
2301.6521
Right to Protest: Certain Relocations
2301.6522
Right to Protest: Economically Impaired Dealer
2301.7025
Limitations Period for Certain Causes of Action by License Holders

Accessed:
Jun. 5, 2024

§ 2301.604’s source at texas​.gov