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Graff Chevrolet Company, Inc. v. Texas Motor Vehicle Board

According to section 4.06(c) of the Motor Vehicle Code, the Texas Department of Transportation must make an ultimate finding of good cause before granting a license to an applicant for a new motor vehicle dealership if an existing dealer has protested the application.

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Appellee North Arlington Automotive, L.P., doing business as Performance Chevrolet (Performance), applied to the Motor Vehicle Board of the Texas Department of Transportation (the Board) to establish a new Chevrolet dealership in Arlington. Appellant Graff Chevrolet Company, Inc. (Graff), a Chevrolet dealer located in Grand Prairie, protested Performance’s application. After the protest hearing, the administrative law judge (ALJ) issued a proposal for decision recommending denial of Graff’s protest. The Board unanimously adopted the ALJ’s proposal for decision, findings of fact, and conclusions of law. The Board denied Graff’s motion for rehearing.

Graff sought judicial review of the Board’s denial of the protest before the district court, which affirmed the Board’s order.

Graff appeals to this Court, arguing that the lower court’s judgment affirming the Board’s order violated Graff’s right to due process, that the Board incorrectly examined the issue of “public interest” during the protest hearing, and that the lower court erred in denying Graff’s request for remand. Because we conclude that there is substantial evidence to support the Board’s decision, we will affirm the trial court’s judgment.

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