Tex. Transp. Code § 722.005 · Chapter 722. AUTOMOBILE CLUB SERVICES
SECURITY REQUIREMENTS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) An applicant for an automobile club certificate of authority may provide the security required for that certificate by depositing with the state or pledging in the form prescribed by the secretary of state:
(1) $25,000 in securities approved by the secretary;
(2) $25,000 in cash; or
(3) a $25,000 bond in the form prescribed by the secretary that is:
(A) payable to the state;
(B) executed by a corporate surety licensed to do business in this state; and
(C) conditioned on the faithful performance of the automobile club in selling or providing club services and the payment of any fines or penalties levied against the club for failure to comply with this chapter.
(b) The aggregate liability of the surety for all breaches of the bond conditions and for payment of all fines and penalties may not exceed the amount of the bond.
(c) The required security shall be maintained as long as the automobile club has any liability or obligation in this state. On showing to the satisfaction of the secretary of state that the club has ceased to do business and that all liabilities and obligations of the club have been satisfied, the secretary may return the security to the club or deliver the security in accordance with a court order.
Notes and commentary — not statutory text
History
Acts 1995, 74th Leg., ch. 165, Sec. 1, eff. Sept. 1, 1995.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/TN/htm/TN.722.htm
- Text hash
- sha256 9ae897d4b719b63362a411c876eb29b248670bdb573471d4d345f76e66c40dff
- 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
Cited by 1 provision
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Transportation Code
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