Texas Administrative Code › Title 43 - TRANSPORTATION › Part 10 - TEXAS DEPARTMENT OF MOTOR VEHICLES › Chapter 215 - MOTOR VEHICLE DISTRIBUTION › Subchapter C - FRANCHISED DEALERS, MANUFACTURERS, DISTRIBUTORS, AND CONVERTERS › Section 215.102 - Application Requirements

Current through Reg. 49, No. 28; July 12, 2024
(a) No person may
				  engage in business, serve in the capacity of, or act as a manufacturer,
				  distributor, converter, or franchised dealer in Texas unless that person holds
				  a license.
(b) A license
				  application must be on a form prescribed by the department and properly
				  completed by the applicant. A license application must include all required
				  information, supporting documents, and fees and must be submitted to the
				  department electronically in the licensing system designated by the
				  department.
(c) A license holder
				  renewing or amending its license must verify current license information,
				  provide related information and documents for any new license requirements or
				  changes to the license, and pay required fees including any outstanding civil
				  penalties owed the department under a final order.
(d) An applicant for a new license must
				  register for an account in the department-designated licensing system by
				  selecting the licensing system icon on the dealer page of the department
				  website. An applicant must designate the account administrator and provide the
				  name and email address for that person, and provide the business telephone
				  number, name, business type, and social security number or employer
				  identification number, as applicable. The applicant's licensing account
				  administrator must be an owner, officer, manager, or bona fide
				  employee.
(e) Once registered, an
				  applicant may apply for a new license and must provide the following:
(1) Required information:
(A) type of license requested;
(B) business information, including the name,
				  physical and mailing addresses, telephone number, Secretary of State file
				  number (as applicable), and website address as applicable;
(C) contact name, email address, and
				  telephone number of the person submitting the application;
(D) contact name, email address, and
				  telephone number of a person who can provide information about business
				  operations and the motor vehicle products or services offered;
(E) the name, social security number, date of
				  birth, identity document information, and ownership percentage for each owner,
				  partner, member, beneficiary, or principal if the applicant is not a publicly
				  traded company;
(F) the name,
				  social security number, date of birth, and identity document information for
				  each officer, director, manager, trustee, or other representative authorized to
				  act on behalf of the applicant if the applicant is owned in full or in part by
				  a legal entity;
(G) the name,
				  employer identification number, ownership percentage, and non-profit or
				  publicly traded status for each legal entity that owns the applicant in full or
				  in part;
(H) criminal history
				  record information under the laws of Texas, another state in the United States,
				  the United States, and any foreign jurisdiction for each person listed in the
				  application, including offense description, date, and location;
(I) military service status;
(J) licensing history required to evaluate
				  fitness for licensure under §
												215.89 of this title (relating to
				  Fitness);
(K) if applying for a
				  manufacturer's, distributor's, or converter's license:
(i) financial resources, business integrity
				  and experience, facilities and personnel for serving franchised
				  dealers;
(ii) a description of the
				  business model or business process and product and services used or offered
				  sufficient to allow the department to determine if the license type applied for
				  is appropriate under Texas law; and
(iii) number of standard license plates
				  requested.
(L) if
				  applying for a manufacturer's or distributor's license:
(i) if the applicant or any entity controlled
				  by the applicant owns an interest in a Texas motor vehicle dealer or
				  dealership, controls a Texas dealer or dealership, or acts in the capacity of a
				  Texas dealer;
(ii) a statement
				  regarding the manufacturer's compliance with Occupations Code Chapter 2301,
				  Subchapter I and §§2301.451-2301.476; and
(iii) if a franchise agreement for each
				  line-make being applied for exists which states the obligations of a Texas
				  franchised dealer to the applicant and the obligations of the applicant to the
				  Texas franchised dealer.
(M) if applying for a manufacturer's license,
				  the line-make information including the world manufacturer identifier assigned
				  by the National Highway Traffic Safety Administration, line-make name, and
				  vehicle type;
(N) if applying for a
				  distributor's license:
(i) the manufacturer
				  for whom the distributor will act;
(ii) whether the manufacturer is licensed in
				  Texas;
(iii) the person in this
				  state who is responsible for compliance with the warranty covering the motor
				  vehicles to be sold; and
(iv) the
				  terms of the contract under which the distributor will act for the
				  manufacturer.
(O) if
				  applying for a converter's license:
(i) a name
				  and description for each conversion package; and
(ii) the manufacturer or distributor and
				  line-make of the underlying new motor vehicle chassis to be
				  converted.
(P) if
				  applying for a franchised dealer's license:
(i) reason for the new application;
(ii) dealership location on a
				  system-generated map;
(iii) whether
				  the dealership is under construction and expected completion date;
(iv) information about the performance of
				  sales or warranty services at the location; and
(v) information necessary to obtain a
				  franchised dealer GDN under §
													215.133 of this title (relating to
				  GDN Application Requirements for a Dealer or a Wholesale Motor Vehicle
				  Auction).
(Q) signed
				  Certificate of Responsibility, which is a form provided by the department;
				  and
(R) any other information
				  required by the department to evaluate the application under current law and
				  board rules.