Tex. Bus. Orgs. Code § 21.254 · Subchapter F. REDUCTIONS IN STATED CAPITAL; CANCELLATION OF TREASURY SHARES
RESTRICTION ON REDUCTION OF STATED CAPITAL.
Text — Current through the 89th 2nd Called Legislative Session, 2025
The stated capital of a corporation may not be reduced under this subchapter if the amount of the aggregate stated capital of the corporation would be reduced to an amount equal to or less than the sum of the:
(1) aggregate preferential amounts payable on all issued shares with a preferential right to the assets of the corporation in the event of voluntary winding up and termination; and
(2) aggregate par value of all issued shares with par value but no preferential right to the assets of the corporation in the event of voluntary winding up and termination.
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 5c529e697ff6fa7b7604584aae28cceaae24ae3d91556626df1418892f71a175
- 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
Cited by 1 provision
Provisions in this library whose text cites Tex. Bus. Orgs. Code § 21.254. Each shows the citation as that text prints it.
Business Organizations Code
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