Tex. Fin. Code § 183.204 · Subchapter C. LIMITED TRUST ASSOCIATION
MANAGEMENT OF LIMITED TRUST ASSOCIATION.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) Management of a limited trust association is vested in the participants in proportion to each participant's contribution to capital, as adjusted periodically to properly reflect any additional contribution. The certificate of formation may provide that management of a limited trust association is vested in a board of managers to be elected annually by the participants as prescribed by the bylaws or the participation agreement.
(b) Participants of a limited trust association may not retain management and must elect a board of managers if:
(1) any participant is disqualified from serving as a managing participant under Section 183.103;
(2) the limited trust association has fewer than five or more than 25 participants; or
(3) any participant has been removed by the banking commissioner under Subchapter A, Chapter 185.
(c) The certificate of formation, bylaws, and participation agreement of a limited trust association may use the term "director" instead of "manager" and the term "board" instead of "board of managers."
Notes and commentary — not statutory text
History
Added by Acts 1999, 76th Leg., ch. 62, Sec. 7.16(a), eff. Sept. 1, 1999.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 575 (S.B. 804), Sec. 28, eff. June 14, 2013.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/FI/htm/FI.183.htm
- Text hash
- sha256 d1a7face8de1923dd6fe5c8c38aa4c3b466e266f7d2b3673ab8572a423353cce
- 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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