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TITLE 43TRANSPORTATION
PART 10TEXAS DEPARTMENT OF MOTOR VEHICLES
CHAPTER 215MOTOR VEHICLE DISTRIBUTION
SUBCHAPTER DGENERAL DISTINGUISHING NUMBERS AND IN-TRANSIT LICENSES
RULE §215.140Established and Permanent Place of Business Premises Requirements

  (3) a wholesale motor vehicle auction GDN holder must display a business sign that meets the following requirements:

    (A) The sign must be a conspicuous, permanent sign with letters at least six inches in height showing the business name or assumed name substantially similar to the name reflected on the GDN under which the GDN holder conducts business. A business sign is considered conspicuous if it is easily visible to the public within 100 feet of the main entrance of the business office. A business sign is considered permanent only if it is made of durable, weather-resistant material.

    (B) The sign must be permanently mounted at the physical address listed on the application for the wholesale motor vehicle auction GDN. A business sign is considered permanently mounted if bolted to an exterior building wall or bolted or welded to a dedicated sign pole or sign support permanently installed in the ground.

    (C) An applicant may use a temporary sign or banner if the applicant can show proof that a sign that meets the requirements of this paragraph has been ordered and provides a written statement that the sign will be promptly and permanently mounted upon delivery.

    (D) An applicant or holder is responsible for ensuring that the business sign complies with municipal ordinances, and that any lease signage requirements are consistent with the signage requirements in this paragraph.

  (4) The business office of a wholesale motor vehicle auction GDN applicant and holder must meet the following requirements:

    (A) The office must be located in a building with a permanent roof and connecting exterior walls on all sides.

    (B) The office must comply with all applicable municipal ordinances, including municipal zoning ordinances. The wholesale motor vehicle auction is responsible for obtaining a certificate of occupancy, certificate of compliance, or other required document issued by a municipal government to show compliance, including a new certificate or document when the building is altered or remodeled, or when the building use changes.

    (C) The office may not be located in a residence, apartment, hotel, motel, rooming house, or any room or building not open to the public.

    (D) The office may not be located in a restaurant, gas station, or convenience store, unless the office has a separate entrance door that does not require a customer to pass through the other business.

    (E) The office may not be virtual or provided by a subscription for office space or office services. Access to office space or office services is not considered an established and permanent location.

    (F) The physical address of the office must be in Texas and recognized by the U.S. Postal Service, capable of receiving U.S. mail, and have an assigned emergency services property address.

    (G) A portable-type office building may qualify as an office only if the building meets the requirements of this section and is not a readily moveable trailer or other vehicle.

  (5) A wholesale motor vehicle auction GDN applicant and holder must have the following office equipment:

    (A) a desk;

    (B) a chair;

    (C) internet access; and

    (D) a working telephone number listed in the business name or assumed name under which business is conducted.

  (6) A wholesale motor vehicle auction must meet the following display area and storage lot requirements:

    (A) The area designated as display space for inventory must be located at the physical business address or contiguous to the physical address. The display area may not be in a storage lot.

    (B) The display area must be of sufficient size to display at least five vehicles. Those spaces must be reserved exclusively for inventory and may not be used for customer parking, employee parking, general storage, or shared or intermingled with another business or a public parking area, or a driveway to the office.

    (C) The display area may not be on a public easement, right-of-way, or driveway unless the governing body having jurisdiction of the easement, right-of-way, or driveway expressly consents in writing to use as a display area. If the easement, right-of-way, or driveway is a part of the state highway system, use as a display area may only be authorized by a lease agreement.

    (D) If the business location includes gasoline pumps or a charging station or includes another business that sells gasoline or has a charging station, the display area may not be part of the parking area for fuel or charging station customers and may not interfere with access to or from the gasoline pumps, fuel tanks, charging station, or fire prevention equipment.

    (E) The display area must be adequately illuminated if open at night so that a vehicle for sale can be properly inspected by a potential buyer.

    (F) The display area may be located inside a building.

    (G) A wholesale motor vehicle auction may maintain a storage lot only if the storage lot is not accessible to the public and no sales activity occurs at the storage lot. A sign stating the business name, contact information, and the fact the property is a storage lot is permissible. A storage lot must be fenced or in an access-controlled location to be considered not accessible to the public. A GDN holder or applicant must disclose the address of a storage lot or the location of a vehicle in inventory upon request by the department.

  (7) A wholesale motor vehicle auction must meet the following lease requirements if the business premises, including any display area, is not owned by the wholesale motor vehicle auction:

    (A) the applicant or holder must maintain a lease that is continuous during the period of time for which the GDN will be issued;

    (B) The lease agreement must be on a properly executed form containing at a minimum:

      (i) the name of the property owner as the lessor of the premises and the name of the GDN applicant or holder as the tenant or lessee of the premises;

      (ii) the period of time for which the lease is valid;

      (iii) the street address or legal description of the property, provided that if only a legal description of the property is included, a wholesale motor vehicle auction must attach a statement verifying that the property description in the lease agreement is the physical street address identified on the application as the physical address for the established and permanent place of business;

      (iv) the signature of the property owner as the lessor and the signature of the applicant or holder as the tenant or lessee; and

    (C) if the lease agreement is a sublease in which the property owner is not the lessor, the wholesale motor vehicle auction must also obtain a signed and notarized statement from the property owner including the following information:

      (i) property owner's full name, email address, mailing address, and phone number; and

      (ii) property owner's statement confirming that the wholesale motor vehicle auction is authorized to sublease the location and may operate a wholesale motor vehicle auction business from the location.


Source Note: The provisions of this §215.140 adopted to be effective February 11, 2010, 35 TexReg 883; amended to be effective August 2, 2012, 37 TexReg 5637; amended to be effective February 13, 2017, 42 TexReg 571; amended to be effective June 28, 2017, 42 TexReg 3273; amended to be effective January 1, 2023, 47 TexReg 8745; amended to be effective June 1, 2024, 49 TexReg 2704

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