Senate Bill 1181, 87th Legislature, allows a self-storage facility to forego its lien on a vehicle, trailer, boat, or boat motor and transfer the property to a licensed vehicle storage facility (VSF), if there is a provision authorizing the transfer contained in the rental agreement between the lessor and the tenant. Licensed VSFs may, but are not required to, agree in writing to accept the transfer.
If the VSF agrees to accept a transfer, it can then exercise its existing statutory authority to sell the property after providing notice to the property owner as prescribed under current law. S.B. 1181 preserves all existing notice requirements to the property owner. Before taking possession of the vehicle, a VSF may wish to request a copy of the rental agreement and verify that it authorizes the transfer.
S.B. 1181 is effective September 1, 2021. Read the bill at Texas Legislature Online.