Texas law states that a shareholder has the right to examine corporate books and records. The Texas Business Organizations Code defines the terms under which shareholders are entitled to examine and copy the corporation’s books and records. The Business Organizations Code also includes a statutory right of examination for corporate directors. Texas law states that…
DetailsAn advantage of having a professional registered agent in Texas is that any service of process will be on the registered agent, who should ensure that the appropriate party is notified. This helps business entities avoid having default judgments taken against them. If a judgment is taken, it is important for business entities to know…
DetailsDuring times of solvency, directors and officers owe a fiduciary duty to an entity and its owners. Additionally, during times of solvency, a creditor’s relationship with an entity is a contractual relationship, and a fiduciary relationship does not exist between the officers/directors and the creditors of an entity. In Texas, an entity becomes insolvent when…
DetailsEvery corporation, limited liability company, limited partnership, general partnership, professional corporation and professional association must have a registered agent and registered office in the state of Texas. This is true even when the corporation, company or partnership is a foreign entity. The registered agent allows the entity to be contacted, and receive: – Lawsuits, citations,…
DetailsA “C” Corporation is the default choice for business corporations. Publicly traded corporations are “C” Corporations. Corporations provide shareholders protection from being held personally liable for a corporation’s debts in many situations. If the corporation is sued or files for bankruptcy, the shareholders are not held personally liable for the debts of the corporation (unless…
Details