bill changing how storage auctions are advertised

The text as introduced · 531 words

89R802 SHH-F

By: Parker
S.B. No. 2437

A BILL TO BE ENTITLED

AN ACT

relating to requirements for notice advertising the sale of

property to enforce a self-service storage facility lien.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Sections 59.042(b) and (c), Property Code, are

amended to read as follows:

(b) If the tenant fails to satisfy the claim on or before the

14th day after the date the notice is delivered, the lessor must

publish or post notices advertising the sale or otherwise give

notice advertising the sale in a commercially reasonable manner as

provided by this subchapter.

(c) The [ If notice is by publication, the ] lessor may not

sell the property until :

(1) the 15th day after the date the notice advertising

the sale is first published , if the notice is by publication;

(2) [ . If notice is by posting, the lessor may sell

the property after ] the 10th day after the date the notices

advertising the sale are posted , if the notice is by posting; or

(3) the 10th day after the date the notice is given, if

the notice is given in a commercially reasonable manner .

SECTION 2. The heading to Section 59.044, Property Code, is

amended to read as follows:

Sec. 59.044. METHOD AND CONTENT OF NOTICE ADVERTISING [ OF ]

SALE.

SECTION 3. Section 59.044, Property Code, is amended by

amending Subsection (b) and adding Subsections (c) and (d) to read

as follows:

(b) The lessor must either:

(1) publish the notice advertising the sale:

(A) subject to Subsection (c), [ once in each of

two consecutive weeks ] in a newspaper of general circulation in the

county in which the self-service storage facility is located ; or

(B) on a publicly accessible Internet website

that regularly advertises or conducts auctions of personal

property; or

(2) give notice advertising the sale in a commercially

reasonable manner .

(c) If there is not a newspaper of general circulation in

the county in which to publish notice advertising the sale under

Subsection (b)(1) , the lessor may [ instead ] post a copy of the

notice at the self-service storage facility and at least five other

conspicuous locations near the facility.

(d) For purposes of this section, notice advertising a sale

is considered to be given in a commercially reasonable manner if at

least three independent bidders register for, view, or attend the

sale, regardless of whether the sale is conducted at the

self-service storage facility or a reasonably near public place or

through an Internet website accessible to the public.

SECTION 4. The changes in law made by this Act to Chapter

59, Property Code, apply only to a self-service storage facility

rental agreement entered into, extended, or renewed on or after the

effective date of this Act. A self-service storage facility rental

agreement entered into, extended, or renewed before the effective

date of this Act is governed by the law as it existed immediately

before the effective date of this Act, and the former law is

continued in effect for that purpose.

SECTION 5. This Act takes effect September 1, 2025.