Texas § LG.505.354 - TERMINATION OF EXISTENCE OF CORPORATION
Full text of Texas The Texas Constitution § LG.505.354 — TERMINATION OF EXISTENCE OF CORPORATION, with citation guidance and answers to common questions.
§ LG.505.354. TERMINATION OF EXISTENCE OF CORPORATION
TERMINATION OF EXISTENCE OF CORPORATION. (a) If a majority of the votes cast at an election held under Section 505.352 approve the termination, the Type B corporation shall: (1) continue operations only as necessary to meet the obligations the corporation incurred before the date of the election, including paying the principal of and interest on the corporation's bonds; and (2) liquidate the corporation's assets and apply the proceeds to satisfy the corporation's obligations, to the extent practicable. (b) After the Type B corporation has satisfied all of the corporation's obligations, any remaining assets of the corporation shall be transferred to the authorizing municipality, and the existence of the corporation is terminated. (c) The authorizing municipality shall promptly notify the comptroller and the secretary of state of the date the existence of a Type B corporation is terminated under this subchapter. (d) A tax imposed under this chapter may not be collected after the last day of the first calendar quarter that begins after the authorizing municipality provides notice under Subsection (c). Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278 ), Sec. 3.01, eff. April 1, 2009.
Source: official Texas text · Last verified 2026-08-27
Frequently Asked Questions About Texas § LG.505.354
What does The Texas Constitution § LG.505.354 cover?
Section LG.505.354 ("TERMINATION OF EXISTENCE OF CORPORATION") 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 § LG.505.354?
A common citation format is "The Texas Constitution § LG.505.354" (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 § LG.505.354 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.