Tex. Bus. Orgs. Code § 21.252 · Subchapter F. REDUCTIONS IN STATED CAPITAL; CANCELLATION OF TREASURY SHARES
CANCELLATION OF TREASURY SHARES.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) A corporation, by resolution of the board of directors of the corporation, may cancel all or part of the corporation's treasury shares at any time.
(b) Upon the cancellation of treasury shares, the stated capital of the corporation shall be reduced by that part of the stated capital that was, at the time of the cancellation, represented by the canceled shares, and the canceled shares shall be restored to the status of authorized but unissued shares.
(c) This section does not prohibit a cancellation of shares or a reduction of stated capital in any other manner permitted by law.
Notes and commentary — not statutory text
History
Acts 2003, 78th Leg., ch. 182, Sec. 1, eff. Jan. 1, 2006.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/BO/htm/BO.21.htm
- Text hash
- sha256 1cab4d0732c185e18bdb7ce0f84b22b4b743b95a20ab16a48153eb701bdcbe5c
- 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
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.