Tex. Transp. Code Section 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 (Applicability of Law to Commercial Transactions), 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 (Applicability of Law to Commercial Transactions), Business & Commerce Code.
Added by Acts 2009, 81st Leg., R.S., Ch. 836 (S.B. 1827), Sec. 1, eff. September 1, 2009.

Source: Section 503.040 — Sales of Certain Used Motor Vehicles Constitute Private Disposition, https://statutes.­capitol.­texas.­gov/Docs/TN/htm/TN.­503.­htm#503.­040 (accessed Jun. 5, 2024).

503.001
Definitions 503.002
Rules 503.003
Display or Sale of Nonmotorized Vehicle or Trailer 503.004
Buying, Selling, Exchanging, or Manufacturing Vehicles 503.005
Notice of Sale or Transfer 503.006
Notice of Change of Address 503.007
Fees for General Distinguishing Number 503.008
Fees for License Plates 503.009
Procedure for Certain Contested Cases 503.010
Term of General Distinguishing Number, License, or License Plate 503.011
Prorating Fees 503.012
Collected Money 503.013
Dealer Transfer of Certain Assembled Vehicles Prohibited 503.021
Dealer General Distinguishing Number 503.022
Wholesale Motor Vehicle Auction General Distinguishing Number 503.023
Drive-a-way Operator License 503.024
Exclusions for Dealer 503.025
Wholesale Motor Vehicle Auction Exception 503.026
Requirement for Each Type of Dealer Vehicle 503.027
Requirements Relating to Dealer Location 503.028
Requirements Relating to Wholesale Motor Vehicle Auction Location 503.029
Application for Dealer General Distinguishing Number 503.030
Application for Wholesale Motor Vehicle Auction General Distinguishing Number 503.031
Application for Drive-a-way In-transit License 503.032
Established and Permanent Place of Business 503.033
Security Requirement 503.034
Issuance and Renewal or Denial of Dealer or Wholesale Motor Vehicle Auction General Distinguishing Number 503.035
Issuance and Renewal of Drive-a-way In-transit License 503.036
Reassignment of Evidence of Ownership 503.037
Rights of Wholesale Motor Vehicle Auction 503.038
Cancellation of General Distinguishing Number 503.039
Public Motor Vehicle Auctions 503.040
Sales of Certain Used Motor Vehicles Constitute Private Disposition 503.061
Dealer’s License Plates 503.062
Dealer’s Temporary Tags 503.063
Buyer’s Temporary Tags 503.064
Manufacturer’s License Plates 503.065
Buyer’s Out-of-state License Plates 503.066
Application for Dealer’s or Manufacturer’s License Plates 503.067
Unauthorized Reproduction, Purchase, Use, or Sale of Temporary Tags 503.068
Limitation on Use of Dealer’s License Plates and Tags 503.069
Display of License Plates and Tags 503.070
Removal of Out-of-state License Plates 503.071
Notice of Driving or Towing from out of State 503.091
Enforcement Agreement 503.092
Action to Enforce Chapter 503.093
Action to Enforce Subchapter 503.094
Criminal Penalty 503.095
Civil Penalty 503.096
Towing of Vehicles 503.0295
Independent Mobility Motor Vehicle Dealers 503.0296
Independent Motor Vehicle Dealer Education and Training Requirement 503.0615
Personalized Prestige Dealer’s License Plates 503.0618
Converter’s License Plates 503.0625
Converter’s Temporary Tags 503.0626
Dealer’s and Converter’s Temporary Tag Database 503.0631
Buyer’s Temporary Tag Database 503.0632
Department Regulation of Temporary Tags and Access to Temporary Tag Databases 503.0633
Department Regulation of Dealer-issued License Plates and Access to Database of Dealer-issued License Plates 503.0671
Unauthorized Use or Distribution of Dealer-issued License Plate
Green check means up to date. Up to date

Accessed:
Jun. 5, 2024

§ 503.040’s source at texas​.gov