Section 84.309 - Debt Cancellation Agreements Requiring Insurance(a) Purpose and scope. This section applies to a debt cancellation agreement described by Texas Finance Code, Chapter 354, that includes insurance coverage as part of the retail buyer's responsibility to the holder. Debt cancellation agreements must be submitted to the OCCC for approval, as provided by Texas Finance Code, § RSA 354.005(a). The denial of a debt cancellation agreement may be appealed in a contested case, as provided by Texas Finance Code, § RSA 354.005(d). This section describes the requirements for submitting a debt cancellation agreement to the OCCC and the requirements for appealing the denial of a debt cancellation agreement.(b) Submission. A debt cancellation agreement must be submitted in accordance with the OCCC's instructions. A submission is not effective until the agreement is submitted in accordance with the OCCC's instructions, including the fee required under subsection (c).(c) Fee. The person submitting a debt cancellation agreement must pay a $250 nonrefundable fee to the OCCC for each submitted agreement.(d) OCCC's notice of approval or denial. No later than the 45th day after the OCCC receives a debt cancellation agreement submission, the OCCC will send a notice of approval or a notice of denial to the person who submitted the agreement, as provided by Texas Finance Code, § 354.005(b). On the written request of the person who submitted the agreement, the OCCC may agree in writing to extend the approval period for an additional 45 days. The date of approval or denial is the date on which the OCCC sends the notice of approval or denial. The OCCC may deny approval of a debt cancellation agreement if the agreement excludes language required by Texas Finance Code, § 354.003 and § 354.004, or if it contains any inconsistent or misleading provisions.(e) Appellant's notice of appeal. A person who submits a debt cancellation agreement and receives a notice of denial from the OCCC may appeal the denial by serving a notice of appeal on the OCCC. The appellant must serve the notice of appeal no later than the 30th calendar day after the date of denial. If a notice of appeal is not served in accordance with this subsection, then the denial becomes final and cannot be appealed.(f) Contested case. If a person appeals the denial of a debt cancellation agreement under subsection (e), then the appeal will be a contested case under the Administrative Procedure Act, Texas Government Code, Chapter 2001, and the rules of procedure applicable under § RSA 9.1(a) of this title (relating to Application, Construction, and Definitions). The burden of proof is on the appellant to show that the agreement should have been approved under Texas Finance Code, § 354.005.(g) Proposal for decision. In connection with a contested case under this section, the administrative law judge will issue a proposal for decision to the commissioner. The proposal for decision will include a recommendation regarding whether the OCCC's denial of the agreement should be affirmed or reversed. The proposal for decision may include a recommendation that costs be assigned to a party, to the extent authorized by law.(h) Final order. The commissioner will issue a final order after review of the administrative law judge's proposal for decision. The final order will include a statement of whether the OCCC's denial of the agreement is affirmed or reversed. The final order may include an assignment of costs to a party, to the extent authorized by law.(i) Judicial review of final order. A final order under subsection (h) of this section may be appealed to a Travis County district court, as provided by Texas Government Code, § RSA 2001.176.7 Tex. Admin. Code § 84.309
Adopted by Texas Register, Volume 41, Number 18, April 29, 2016, TexReg 3134, eff. 5/5/2016; Amended by Texas Register, Volume 42, Number 35, September 1, 2017, TexReg 4464, eff. 9/7/2017; Amended by Texas Register, Volume 44, Number 35, August 30, 2019, TexReg 4718, eff. 9/5/2019