Tex. Business Organizations Code § 21.107
This is the official text of Tex. Business Organizations Code § 21.107, part of Texas’s Business Organizations Code — governs the formation and operation of corporations, LLCs, and partnerships.
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§ 21.107. LIABILITY OF SHAREHOLDER.
Official statutory text
The existence of or a performance under a shareholders' agreement authorized by this subchapter is not a ground for imposing personal liability on a shareholder for an act or obligation of the corporation by disregarding the separate existence of the corporation or otherwise, even if the agreement or a performance under the agreement:
(1) treats the corporation as if the corporation were a partnership or in a manner that otherwise is appropriate only among partners;
(2) results in the corporation being considered a partnership for purposes of taxation; or
(3) results in failure to observe the corporate formalities otherwise applicable to the matters governed by the agreement.
(1) treats the corporation as if the corporation were a partnership or in a manner that otherwise is appropriate only among partners;
(2) results in the corporation being considered a partnership for purposes of taxation; or
(3) results in failure to observe the corporate formalities otherwise applicable to the matters governed by the agreement.
Status: in_force · Read it on the official government site
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