Texas Business & Commerce Code

§ 27.01 — FRAUD IN REAL ESTATE AND STOCK TRANSACTIONS

BC § 27.01Title 3. INSOLVENCY, FRAUDULENT TRANSFERS, AND FRAUD · Ch. 27. FRAUD

(a)Fraud in a transaction involving real estate or stock in a corporation or joint stock company consists of a

(1)false representation of a past or existing material fact, when the false representation is

(A)made to a person for the purpose of inducing that person to enter into a contract; and

(B)relied on by that person in entering into that contract; or

(2)false promise to do an act, when the false promise is

(A)material;

…

Legislative history

Acts 1967, 60th Leg., vol. 2, p. 2343, ch. 785, Sec. 1. Amended by Acts 1983, 68th Leg., p. 5208, ch. 949, Sec. 1, 2, eff. Sept. 1, 1983.