Tex. Business Organizations Code § 4.007
This is the official text of Tex. Business Organizations Code § 4.007, part of Texas’s Business Organizations Code — governs the formation and operation of corporations, LLCs, and partnerships.
Not legal advice. This page reproduces the official text of a government statute for reference only. Laws change, and how a statute applies depends on your specific facts. For advice about your situation, consult a licensed attorney in your state.
§ 4.007. LIABILITY FOR FALSE FILING INSTRUMENTS.
Official statutory text
(a) A person may recover damages, court costs, and reasonable attorney's fees if the person incurs a loss and:
(1) the loss is caused by a:
(A) forged filing instrument; or
(B) filed filing instrument that constitutes an offense under Section 4.008; or
(2) the person reasonably relies on:
(A) a false statement of material fact in a filed filing instrument; or
(B) the omission in a filed filing instrument of a material fact required by this code to be included in the instrument.
(b) A person may recover under Subsection (a) from:
(1) each person who forged the forged filing instrument or signed the filing instrument and knew when the instrument was signed of the false statement or omission;
(2) any managerial official of the entity who directed the signing and filing of the filing instrument who knew or should have known when the instrument was signed or filed of the false statement or omission; or
(3) the entity that authorizes the filing of the filing instrument.
(1) the loss is caused by a:
(A) forged filing instrument; or
(B) filed filing instrument that constitutes an offense under Section 4.008; or
(2) the person reasonably relies on:
(A) a false statement of material fact in a filed filing instrument; or
(B) the omission in a filed filing instrument of a material fact required by this code to be included in the instrument.
(b) A person may recover under Subsection (a) from:
(1) each person who forged the forged filing instrument or signed the filing instrument and knew when the instrument was signed of the false statement or omission;
(2) any managerial official of the entity who directed the signing and filing of the filing instrument who knew or should have known when the instrument was signed or filed of the false statement or omission; or
(3) the entity that authorizes the filing of the filing instrument.
Status: in_force · Read it on the official government site
Dealing with a business matter in Texas?
See all Texas Business lawyers
About this page: Statute text is reproduced from official government publishers via the
Open US Law dataset
(Vaquill AI, snapshot v2026.08, CC BY 4.0). Primary legislative text like this is public domain under the government-edicts doctrine
(Georgia v. Public.Resource.Org, 2020). We link every section back to its official source so you can verify it independently.