The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise.

1. (1) Casual sale--The sale by a salvage vehicle dealer, insurance company, or salvage pool operator of not more than five non-repairable or salvage motor vehicles to the same person during a calendar year. The term does not include a sale to a salvage vehicle dealer or the sale of an export-only motor vehicle to a person who is not a resident of the United States.
2. (2) Component part--A major component part defined by paragraph (5) of this section or a minor component part defined by paragraph (7) of this section.
3. (3) Department--The Texas Department of Motor Vehicles.
4. (4) Director--The director of the department's Vehicle Titles and Registration Division.

5. (5) Major component part--A motor vehicle part that means one of the following parts of a motor vehicle:

   1. (A) the engine;
   2. (B) the transmission;
   3. (C) the frame;
   4. (D) a fender;
   5. (E) the hood;
   6. (F) a door allowing entrance to or egress from the passenger compartment of the motor vehicle;
   7. (G) a bumper;
   8. (H) a quarter panel;
   9. (I) a deck lid, tailgate, or hatchback;
   10. (J) the cargo box of a one-ton or smaller truck, including a pickup truck;
   11. (K) the cab of a truck;
   12. (L) the body of a passenger motor vehicle;
   13. (M) the roof or floor pan of a passenger motor vehicle, if separate from the body of the motor vehicle.

6. (6) Metal recycler--A person who:

   1. (A) is predominately engaged in the business of obtaining ferrous or nonferrous metal that has served its original economic purpose to convert the metal, or sell the metal for conversion, into raw material products consisting of prepared grades and having an existing or potential economic value;
   2. (B) has a facility to convert ferrous or nonferrous metal into raw material products consisting of prepared grades and having an existing or potential economic value, by method other than the exclusive use of hand tools, including the processing, sorting, cutting, classifying, cleaning, baling, wrapping, shredding, shearing, or changing the physical form or chemical content of the metal; and
   3. (C) sells or purchases the ferrous or nonferrous metal solely for use as raw material in the production of new products.

7. (7) Minor component part--A motor vehicle part that includes:

   1. (A) an interior component part that includes a seat or radio of a motor vehicle;
   2. (B) a special accessory part that includes a tire, wheel, tailgate, or removable glass top of a motor vehicle; or

   3. (C) a motor vehicle part that displays or should display one or more of the following:

      1. (i) a federal safety certificate, as described by Occupations Code, §2302.001(4);
      2. (ii) a motor number;
      3. (iii) a serial number or a derivative; or
      4. (iv) a manufacturer's permanent vehicle identification number or a derivative.
8. (8) Motor vehicle--A vehicle described by Transportation Code, §501.002(14).
9. (9) Non-repairable motor vehicle--A motor vehicle, regardless of the year model, that is wrecked, damaged, or burned to the extent that the only residual value of the motor vehicle is as a source of parts or scrap metal, or that comes into this state under a title or other ownership document that indicates that the motor vehicle is non-repairable, junked, or for parts or dismantling only.
10. (10) Non-repairable vehicle title--A document that evidences ownership of a non-repairable motor vehicle.
11. (11) Out-of-state buyer--A person who is licensed by another state or jurisdiction in an automotive business if the department has listed the holders of that license as permitted purchasers of salvage motor vehicles or non-repairable motor vehicles based on substantially similar licensing requirements and on whether salvage vehicle dealers licensed in Texas are permitted to purchase salvage motor vehicles or non-repairable motor vehicles in the other state or jurisdiction.

12. (12) Out-of-state ownership document--A negotiable document issued by another jurisdiction that the department considers sufficient to prove ownership of a non-repairable or salvage motor vehicle and to support issuance of a comparable Texas certificate of title for the motor vehicle. The term does not include a title issued by the department, including:

    1. (A) a regular certificate of title;
    2. (B) a non-repairable vehicle title;
    3. (C) a salvage vehicle title;
    4. (D) a Texas salvage certificate;
    5. (E) a Certificate of Authority to Demolish a Motor Vehicle; or
    6. (F) any other ownership document issued by the department.
13. (13) Person--An individual, partnership, corporation, trust, association, or other private legal entity.
14. (14) Rebuilder--A person who acquires and repairs, rebuilds, or reconstructs for operation on a public highway three or more salvage motor vehicles in a calendar year.

15. (15) Salvage motor vehicle--A motor vehicle, regardless of the year model:

    1. (A) that is:

       1. (i) damaged to the extent that the cost of repairs exceeds the actual cash value of the motor vehicle immediately before the damage; or
       2. (ii) damaged and comes into this state under an out-of-state ownership document that states on its face "accident damage," "flood damage," "inoperable," "rebuildable," "salvageable," or similar notation, and is not an out-of-state ownership document with a "rebuilt," "prior salvage," or similar notation, or a non-repairable motor vehicle; and

    2. (B) does not include a motor vehicle for which an insurance company has paid a claim for:

       1. (i) repairing hail damage; or
       2. (ii) theft, unless the motor vehicle was damaged during the theft and before recovery to the extent that the cost of repair exceeds the actual cash value of the motor vehicle immediately before the damage.

16. (16) Salvage vehicle agent--A person who acquires, sells, or otherwise deals in non-repairable or salvage motor vehicles or used parts in this state as directed by the salvage vehicle dealer under whose license the person operates, but does not include:

    1. (A) a licensed salvage vehicle dealer;
    2. (B) a partner, owner, or officer of a business entity that holds a salvage vehicle dealer license;
    3. (C) an employee of a licensed salvage vehicle dealer; or
    4. (D) a person that only transports salvage motor vehicles for a licensed salvage vehicle dealer.
17. (17) Salvage vehicle dealer--A person engaged in this state in the business of acquiring, selling, dismantling, repairing, rebuilding, reconstructing, or otherwise dealing in non-repairable motor vehicles or salvage motor vehicles or used parts, and includes a person who is in the business of a salvage vehicle dealer, regardless of whether the person holds a license issued by the department to engage in the business. The term does not include a person who casually repairs, rebuilds, or reconstructs fewer than three salvage motor vehicles in the same calendar year.
18. (18) Salvage vehicle title--A document issued by the department that evidences ownership of a salvage motor vehicle.
19. (19) Used part--A part that is salvaged, dismantled, or removed from a motor vehicle for resale as is or as repaired. The term includes a major component part, but does not include a rebuildable or rebuilt core, including an engine, block, crankshaft, transmission, or other core part that is acquired, possessed, or transferred in the ordinary course of business.

Source Note:The provisions of this §217.182 adopted to be effective March 12, 2015, 40 TexReg 1096.