Texas Civil Practice and Remedies Code

§ 17.001 — SUIT ON CONTRACT WITH SEVERAL OBLIGORS OR PARTIES CONDITIONALLY LIABLE

CP § 17.001Title 2. TRIAL, JUDGMENT, AND APPEAL · Part B. TRIAL MATTERS · Ch. 17. PARTIES; CITATION; LONG-ARM JURISDICTION · Art. A. PARTIES TO SUIT

Statute text

View on source

(a)Except as provided by this section, the acceptor of a bill of exchange or a principal obligor on a contract may be sued alone or jointly with another liable party, but a judgment may not be rendered against a party not primarily liable unless judgment is also rendered against the principal obligor.

(b)The assignor, endorser, guarantor, or surety on a contract or the drawer of an accepted bill may be sued without suing the maker, acceptor, or other principal obligor, or a suit against the principal obligor may be discontinued, if the principal obligor:

(1)is a nonresident or resides in a place where he cannot be reached by the ordinary process of law;

(2)resides in a place that is unknown and cannot be ascertained by the use of reasonable diligence;

(3)is dead; or

(4)is actually or notoriously insolvent.

Legislative history

Acts 1985, 69th Leg., ch. 959, Sec. 1, eff. Sept. 1, 1985.