Tex. Occ. Code § 2301.482 · Subchapter J. MANUFACTURERS, DISTRIBUTORS, AND REPRESENTATIVES
CERTAIN PROPERTY USE AGREEMENTS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) Notwithstanding Section 2301.481(b)(1), and subject to this section, a dealer may enter into a property use agreement for cash consideration that grants the manufacturer or distributor the exclusive rights to direct the use of the dealership.
(b) In the event the dealer breaches the terms of the property use agreement described by Subsection (a) by altering the use of the property during the term of the agreement in violation of the agreement, the property use agreement is terminated and the dealer must reimburse the manufacturer or distributor in an amount determined by dividing the amount of the manufacturer's or distributor's cash consideration provided under Subsection (a) by the market value of the property identified in the original property use agreement at the time any necessary real estate has been purchased and any necessary construction has been completed, and multiplying the resulting quotient by the market value of the property at the time of the breach.
(c) For purposes of this section, the market value of property is to be determined by three appraisers chosen as follows:
(1) one selected by the affected manufacturer or distributor;
(2) one selected by the affected dealer; and
(3) one selected by mutual agreement of the manufacturer or distributor and the dealer.
Notes and commentary — not statutory text
History
Added by Acts 2011, 82nd Leg., R.S., Ch. 137 (S.B. 529), Sec. 11, eff. September 1, 2011.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/OC/htm/OC.2301.htm
- Text hash
- sha256 a3caaf9bbc69398225687846996e7a079ef55a6353377a20e971842c0f203670
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
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