Tex. Local Government Code § 502.051
This is the official text of Tex. Local Government Code § 502.051, part of Texas’s Local Government Code — governs the powers and operations of Texas cities and counties.
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§ 502.051. WRITTEN CONTRACT REQUIRED FOR BUSINESS RECRUITMENT OR DEVELOPMENT.
Official statutory text
(a) Except under a written contract approved by the corporation's board of directors, a corporation may not pay compensation, including a commission or fee, or another thing of value to a broker, agent, or other third party who:
(1) is involved in business recruitment or development; and
(2) is not an employee of the corporation.
(b) A corporation that violates Subsection (a) is liable to this state for a civil penalty in an amount not to exceed $10,000.
(c) The attorney general may bring an action to recover the civil penalty in a district court in Travis County or the county in which the violation occurred.
(1) is involved in business recruitment or development; and
(2) is not an employee of the corporation.
(b) A corporation that violates Subsection (a) is liable to this state for a civil penalty in an amount not to exceed $10,000.
(c) The attorney general may bring an action to recover the civil penalty in a district court in Travis County or the county in which the violation occurred.
Status: in_force · Read it on the official government site
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