Texas Business & Commerce Code

§ 57.052 — CHANGE IN OWNERSHIP OR FINANCIAL STRUCTURE

BC § 57.052Title 4. BUSINESS OPPORTUNITIES AND AGREEMENTS · Ch. 57. AGRICULTURAL, CONSTRUCTION, INDUSTRIAL, MINING, FORESTRY, LANDSCAPING, AND OUTDOOR POWER EQUIPMENT DEALER AGREEMENTS · Art. B. PROVISIONS REGARDING DEALER AGREEMENT OR DEALERSHIP

Statute text

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A supplier may not prevent, by contract or otherwise, a dealer from changing its capital structure or the means by or through which the dealer finances its operations, if:

(1)the dealer gives prior notice of the change to the supplier; and

(2)the dealer at all times meets any reasonable capital standards required by the supplier pursuant to a right granted in the dealer agreement and imposed on similarly situated dealers.

Legislative history

Added by Acts 2011, 82nd Leg., R.S., Ch. 1039 (H.B. 3079), Sec. 2, eff. September 1, 2011.