(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.
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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 |