H.B. No. 3016 amends Section 91.056 of the Business & Commerce Code to clarify the circumstances under which a rental company may void a damage waiver for a rental vehicle. The bill specifies that a rental company cannot void a damage waiver unless the damage is caused by an authorized driver’s intentional actions or willful misconduct, or if the damage occurs while the vehicle is being used in certain prohibited ways, such as by an unauthorized driver or while under the influence of intoxicants. Additionally, the bill introduces new conditions under which a damage waiver may be voided, including instances where the rental company was misled by fraudulent information from the renter or if the vehicle is stolen and the renter fails to return the ignition key, report the theft to law enforcement within 24 hours, or cooperate with the investigation.
The changes made by this Act will apply only to rental agreements entered into on or after its effective date of September 1, 2025, ensuring that agreements made prior to this date will be governed by the previous law. This legislative update aims to provide clearer guidelines for both rental companies and renters regarding the conditions that can lead to the voiding of damage waivers, thereby enhancing accountability and transparency in rental agreements.
Statutes affected: Introduced: Commerce Code 91.056 (Commerce Code 91)
House Committee Report: Commerce Code 91.056 (Commerce Code 91)
Engrossed: Commerce Code 91.056 (Commerce Code 91)
Senate Committee Report: Commerce Code 91.056 (Commerce Code 91)
Enrolled: Commerce Code 91.056 (Commerce Code 91)