Texas § HS.246.092 - APPLICATION FOR COURT ORDER FOR REHABILITATION OR LIQUIDATION

Full text of Texas The Texas Constitution § HS.246.092 — APPLICATION FOR COURT ORDER FOR REHABILITATION OR LIQUIDATION, with citation guidance and answers to common questions.

§ HS.246.092. APPLICATION FOR COURT ORDER FOR REHABILITATION OR LIQUIDATION

APPLICATION FOR COURT ORDER FOR REHABILITATION OR LIQUIDATION. (a) The commissioner shall request the attorney general to apply to a district court of this state, or to the federal bankruptcy court that has exercised jurisdiction over a provider or facility, for an order directing the appointment of a trustee to rehabilitate or liquidate the facility if the commissioner elects not to place the facility under supervision and: (1) the provider draws from the provider's loan reserve fund escrow an amount greater than permitted by Section 246.078 ; (2) the provider does not repay the loan reserve fund escrow as required by Section 246.078 ; (3) the board determines, after a complaint and investigation, that the provider is financially unsound or is unable to meet the income or available cash projections previously filed by the provider and that the ability of the provider to fully perform its obligations under continuing care contracts is endangered; or (4) the provider is bankrupt, insolvent, or has filed for protection from creditors under a federal or state reorganization, bankruptcy, or insolvency law. (b) In connection with an application for an order to rehabilitate or liquidate a facility, the court shall consider the manner in which the welfare of persons who have previously contracted with the provider for continuing care at the facility may be best served, and may order that the proceeds of a lien imposed under Section 246.111 may be used in full or partial payment of entrance fees to other facilities on behalf of the residents of the facility being liquidated. Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989. Amended by Acts 1991, 72nd Leg., ch. 14, Sec. 112, eff. Sept. 1, 1991.

Source: official Texas text · Last verified 2026-08-27

Frequently Asked Questions About Texas § HS.246.092

What does The Texas Constitution § HS.246.092 cover?

Section HS.246.092 ("APPLICATION FOR COURT ORDER FOR REHABILITATION OR LIQUIDATION") is part of the The Texas Constitution, the codified statutory law of Texas. 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 Texas § HS.246.092?

A common citation format is "The Texas Constitution § HS.246.092" (Texas). 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 Texas law?

No. This page is for research and education and may not include the most recent amendments. For official current law, check the Texas official source linked on this page or consult a licensed Texas attorney.

How does Texas § HS.246.092 apply to my situation?

Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Texas 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 Texas.