Sec. 2602.307. SETTLEMENT BY ASSOCIATION BINDING; PRIORITY OF CLAIM AND EXPENSES. (a) The settlement of a covered claim by the association binds the receiver or statutory successor of an impaired title insurance company.
(b) The court shall give the covered claim the same priority against assets of the impaired title insurance company that the claim would have had in the absence of this chapter.
(c) The association's expenses in handling claims have the same priority as the receiver's expenses.
Added by Acts 2003, 78th Leg., ch. 1274, Sec. 6, eff. April 1, 2005.
Structure Texas Statutes
Subtitle C - Financial Solvency
Chapter 2602 - Texas Title Insurance Guaranty Association
Subchapter G. Association Powers and Duties Relating to Covered Claims
Section 2602.302. Payment of Covered Claims
Section 2602.303. Servicing Facility
Section 2602.304. Advance as Loan
Section 2602.305. Association in Place of Impaired Title Insurance Company or Agent
Section 2602.306. Assignment of Claimant's Rights
Section 2602.307. Settlement by Association Binding; Priority of Claim and Expenses