Texas Business Organizations Code

§ 153.411 — PAYMENT OF EXPENSES

BO § 153.411Title 4. PARTNERSHIPS · Ch. 153. LIMITED PARTNERSHIPS · Art. I. DERIVATIVE ACTIONS

Statute text

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(a)In this section, "expenses" means reasonable expenses incurred by a party in a derivative proceeding, including:

(1)attorney's fees;

(2)costs in pursuing an investigation of the matter that was the subject of the derivative proceeding; or

(3)expenses for which the limited partnership may be required to indemnify another person.

(b)On termination of a derivative proceeding, the court may order:

(1)the limited partnership to pay expenses the plaintiff incurred in the proceeding if the court finds the proceeding has resulted in a substantial benefit to the limited partnership;

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Legislative history

Acts 2025, 89th Leg., R.S., Ch. 21 (S.B. 29), Sec. 24, eff. May 14, 2025.