Tex. Bus. & Com. Code § 51.101 · Subchapter C. BOND, TRUST ACCOUNT, OR LETTER OF CREDIT
BOND, TRUST ACCOUNT, OR LETTER OF CREDIT REQUIRED.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) Before a seller makes a representation described by Section 51.003(a)(1) or otherwise represents that the purchaser is assured of making a profit from a business opportunity, the principal seller must:
(1) obtain a surety bond from a surety company authorized to transact business in this state;
(2) establish a trust account; or
(3) obtain an irrevocable letter of credit.
(b) The bond, trust account, or irrevocable letter of credit must be:
(1) in an amount of $25,000 or more; and
(2) in favor of this state.
Notes and commentary — not statutory text
History
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 2.01, eff. April 1, 2009.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/BC/htm/BC.51.htm
- Text hash
- sha256 751888a7c0731f22c32aa678381b5adaef7b7f4e92aafe557e32129b56ab575a
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
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