Tennessee § 56-3-408 - Prohibited actions and transactions.
Full text of Tennessee Tennessee Code Annotated § 56-3-408 — Prohibited actions and transactions., with citation guidance and answers to common questions.
§ 56-3-408. Prohibited actions and transactions.
No domestic insurance company, whether incorporated by special act or under a general law of this state, shall underwrite or participate in the underwriting of an offering of securities or property by any other person; nor shall the company enter into any agreement to withhold from sale any of its property, but the disposition of its property shall be at all times within the control of its board of directors. No investment or loan, except premium finance loans, shall be made by any such insurance company, unless the investment or loan has first been authorized by the board of directors or by a committee appointed by the board and charged with the duty of supervising the investment or loan. Membership on the board of directors shall not be a requirement for eligibility to membership on the committee. Acts 1979, ch. 305, § 8; T.C.A., § 56-368. Cross-References. Insurance companies, prohibited actions and transactions, § 56-3-301 .
Source: official Tennessee text · Last verified 2026-08-27
Frequently Asked Questions About Tennessee § 56-3-408
What does Tennessee Code Annotated § 56-3-408 cover?
Section 56-3-408 ("Prohibited actions and transactions.") is part of the Tennessee Code Annotated, the codified statutory law of Tennessee. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Tennessee § 56-3-408?
A common citation format is "Tennessee Code Annotated § 56-3-408" (Tennessee). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Tennessee law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Tennessee official source linked on this page or consult a licensed Tennessee attorney.
How does Tennessee § 56-3-408 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Tennessee can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Tennessee.