Tex. Gov't Code § 1371.059 · Subchapter B. ISSUANCE AND APPROVAL OF OBLIGATION
VALIDITY AND INCONTESTABILITY.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) If proceedings to authorize an obligation or credit agreement are approved by the attorney general and registered by the comptroller, each obligation or credit agreement, as applicable, or a contract providing revenue or security included in or executed and delivered according to the authorizing proceedings is incontestable in a court or other forum and is valid, binding, and enforceable according to its terms.
(b) Notwithstanding Subsection (a) and Section 1371.003, and except as provided by this subsection, an obligation authorized by this chapter is not valid, binding, or enforceable unless the obligation is approved by the attorney general and registered by the comptroller in accordance with Chapter 1202. The attorney general's approval and registration by the comptroller is not required for an obligation:
(1) to which Chapter 1202 does not apply or that is exempt from approval and registration as provided by Section 1202.007(a)(1), (2), (3), (4), (6), or (7); or
(2) that matures within one year after the issuer receives payment for the obligation, regardless of whether the obligation is evidenced by an instrument with a nominal term of longer than one year.
(c) An issuer in the proceedings to authorize obligations or a credit agreement, or in a credit agreement, may agree to waive sovereign immunity from suit or liability for the purpose of adjudicating a claim to enforce the credit agreement or obligation or for damages for breach of the credit agreement or obligation. This subsection does not apply to an issuer that is:
(1) a state agency, including a state institution of higher education; or
(2) a county with a population of 1.5 million or more.
Notes and commentary — not statutory text
History
Added by Acts 1999, 76th Leg., ch. 227, Sec. 1, eff. Sept. 1, 1999. Redesignated from Government Code Sec. 1371.057(c) and amended by Acts 1999, 76th Leg., ch. 1064, Sec. 19, eff. Sept. 1, 1999.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1310 (S.B. 968), Sec. 6, eff. June 15, 2007.
Acts 2011, 82nd Leg., R.S., Ch. 1163 (H.B. 2702), Sec. 24, eff. September 1, 2011.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/GV/htm/GV.1371.htm
- Text hash
- sha256 99bbeacf5099d74a49d05118fa3c2093d3aa80c8159c1c5d97f0db7b53ec1f79
- 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
This section cites
Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.
Cited by 5 provisions
Provisions in this library whose text cites Tex. Gov't Code § 1371.059. Each shows the citation as that text prints it.
Education Code
Government Code
- Tex. Gov't Code § 2256.011AUTHORIZED INVESTMENTS: REPURCHASE AGREEMENTS.Printed as Section 1371.059(c)
- Tex. Gov't Code § 2256.015AUTHORIZED INVESTMENTS: GUARANTEED INVESTMENT CONTRACTS.Printed as Section 1371.059(c)
- Tex. Gov't Code § 2256.0206AUTHORIZED INVESTMENTS: HEDGING TRANSACTIONS.Printed as Section 1371.059(c)
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