This chapter does not apply to a provider or broker that is:

1. (1) a bank, out-of-state bank, bank holding company, credit union, federal credit union, out-of-state credit union, or any subsidiary or affiliate of those financial institutions;
2. (2) a person acting in the capacity of a technology services provider to an entity exempt under this section as part of the exempt entity's commercial sales-based financing program if the person has no interest, arrangement, or agreement to purchase any interest in the commercial sales-based financing extended in connection with the program;
3. (3) a lender regulated under the Farm Credit Act of 1971 (12 U.S.C. Section 2001 et seq.); or

4. (4) a person who extends or brokers:

   1. (A) a commercial sales-based financing transaction secured by real property;
   2. (B) a lease, as defined by Section 2A.103, Business & Commerce Code;

   3. (C) a commercial sales-based financing transaction entered into under a commercial sales-based financing agreement or commercial open-end credit plan of $50,000 or more in which the recipient is:

      1. (i) a dealer, as defined by Section 503.001, Transportation Code; or
      2. (ii) a motor vehicle rental company or an affiliate of a motor vehicle rental company; or

   4. (D) a commercial sales-based financing transaction in connection with the sale of products or services that:

      1. (i) the person manufactures, licenses, or distributes; or
      2. (ii) a parent company, subsidiary, or affiliate of the person described by Subparagraph (i) manufactures, licenses, or distributes.

Added by Acts 2025, 89th Leg., R.S., Ch. 723 (H.B. 700), Sec. 1, eff. September 1, 2025.