Tex. Gov't Code § 4008.055 · Subchapter B. CIVIL LIABILITY FOR ISSUANCE, SALE, OR PURCHASE OF SECURITIES
CONTROLLING PERSON OR AIDER LIABILITY.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) Except as provided by Subsection (b), a person who directly or indirectly controls a seller, buyer, or issuer of a security is liable under Section 4008.051, 4008.052, 4008.053, or 4008.054 jointly and severally with the seller, buyer, or issuer and to the same extent as the seller, buyer, or issuer.
(b) The controlling person is not liable under Subsection (a) if the controlling person sustains the burden of proof that the controlling person did not know, and in the exercise of reasonable care could not have known, of the existence of the facts by reason of which the liability is alleged to exist.
(c) A person who directly or indirectly with intent to deceive or defraud or with reckless disregard for the truth or the law materially aids a seller, buyer, or issuer of a security is liable under Section 4008.051, 4008.052, 4008.053, or 4008.054 jointly and severally with the seller, buyer, or issuer and to the same extent as the seller, buyer, or issuer.
(d) There is contribution under this section as in cases of contract among the several persons who are liable.
Notes and commentary — not statutory text
History
Added by Acts 2019, 86th Leg., R.S., Ch. 491 (H.B. 4171), Sec. 1.01, eff. January 1, 2022.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/GV/htm/GV.4008.htm
- Text hash
- sha256 07e4dd6c8819204455495d94759870d67a7625031cae945f060011fb056ff1ac
- 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.
Government Code
- Tex. Gov't Code § 4008.051OFFEROR OR SELLER LIABILITY: REGISTRATION AND RELATED VIOLATIONS.Printed as Section 4008.051, 4008.052, 4008.053, or 4008.054
- Tex. Gov't Code § 4008.052OFFEROR OR SELLER LIABILITY: UNTRUTH OR OMISSION.Printed as Section 4008.051, 4008.052, 4008.053, or 4008.054
- Tex. Gov't Code § 4008.053BUYER LIABILITY.Printed as Section 4008.051, 4008.052, 4008.053, or 4008.054
- Tex. Gov't Code § 4008.054NONSELLING ISSUER LIABILITY.Printed as Section 4008.051, 4008.052, 4008.053, or 4008.054
Cited by 1 provision
Provisions in this library whose text cites Tex. Gov't Code § 4008.055. Each shows the citation as that text prints it.
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.