1. (a) The commission, after hearing, will issue an order either approving the application, approving the application for the partial exercise of the privilege sought, or denying the application. An application shall be denied if the commission finds that the applicant is not a fit and proper person to receive the license or that the motor carriers for whom the applicant proposes to sell transportation have not complied, are not complying, or do not propose to comply with state or federal laws, or all regulations of the commission applicable to the operations of the motor carrier.

2. (b) It may be deemed that the applicant is not a fit or proper person to receive the license if he has:

   1. (1) been convicted of a felony or a misdemeanor involving moral turpitude;
   2. (2) suffered a money judgment to be entered against him upon which execution has been returned unsatisfied;
   3. (3) failed to account to or make settlement with any motor carrier properly and promptly;
   4. (4) made any false or misleading statements or engaged in any false advertising as to services rendered by himself or by any motor carrier which he represents;
   5. (5) made a willful misstatement of a material fact in an application for or testimony or an exhibit pertaining to the issuance of a license;
   6. (6) acted as a motor transportation broker under a license without having in force the insurance required by Texas Civil Statutes, Article 911f, and these regulations;
   7. (7) arranged for transportation of property by a motor carrier which did not possess, or reasonably appear to possess, the required certificate or permit authorizing said transportation;
   8. (8) failed, while acting as a motor transportation broker under a license, to maintain any or all of the records required by §5.311 of this title (relating to Records);
   9. (9) ever had a license revoked; or
   10. (10) become, in the opinion of the commission based on any other good and sufficient cause, a person who is not fit, willing, or able properly to perform the services of a motor transportation broker.

Source Note:The provisions of this §5.307 adopted to be effective July 18, 1995, 20 TexReg 4922.