In this chapter:

1. (1) "Authorized driver" means:

   1. (A) the renter;
   2. (B) a person whom the rental company expressly designates on the rental agreement as an authorized driver;

   3. (C) the renter's spouse if the spouse:

      1. (i) holds a driver's license; and
      2. (ii) satisfies any minimum age requirement established by the rental company;

   4. (D) an employer, employee, or coworker of the renter if the person:

      1. (i) holds a driver's license;
      2. (ii) satisfies any minimum age requirement established by the rental company; and
      3. (iii) is engaged in a business activity with the renter at the time of the rental; or

   5. (E) a person who:

      1. (i) holds a driver's license; and
      2. (ii) is driving directly to a medical or police facility under circumstances reasonably believed to constitute an emergency.

2. (2) "Damage" means damage to or loss of a rented vehicle, regardless of fault involved in the damage or loss. The term includes:

   1. (A) theft and loss of use; and
   2. (B) any cost incident to the damage or loss, including storage, impound, towing, and administrative charges.
3. (3) "Damage waiver" means a rental company's agreement not to hold an authorized driver liable for all or part of any damage to a rented vehicle.

4. (4) "Mandatory charge" means a charge for an item or service provided in connection with a rental transaction, other than a charge imposed by law:

   1. (A) that is in addition to the base rental rate; and
   2. (B) that the renter may not avoid or decline.
5. (5) "Private passenger vehicle" means a motor vehicle of the private passenger type, including a passenger van, primarily intended for private use.
6. (6) "Rental agreement" means an agreement for 180 days or less that states the terms governing the use of a private passenger vehicle rented by a rental company.
7. (7) "Rental company" means a person in the business of renting private passenger vehicles to the public for 180 days or less. The term does not include a person who holds a license under Chapter 2301, Occupations Code, and whose primary business activity is not renting private passenger vehicles.
8. (8) "Renter" means a person who obtains use of a private passenger vehicle from a rental company under a rental agreement.

Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 2.01, eff. April 1, 2009.

Acts 2025, 89th Leg., R.S., Ch. 176 (S.B. 72), Sec. 1, eff. September 1, 2025.