Sec. 394.056. BOND AS SECURITY. (a) A bond issued under this chapter or a coupon representing interest on the bond is, when delivered, a security as that term is defined under Chapter 8 of the Uniform Commercial Code (Chapter 8, Title 1, Business & Commerce Code) and is an exempt security under The Securities Act (Title 12, Government Code).
(b) A contract made under this chapter is not a security under The Securities Act.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 491 (H.B. 4171), Sec. 2.36, eff. January 1, 2022.
Structure Texas Statutes
Title 12 - Planning and Development
Subtitle C - Planning and Development Provisions Applying to More Than One Type of Local Government
Chapter 394 - Housing Finance Corporations in Municipalities and Counties
Subchapter E. Housing Finance Corporation Bonds
Section 394.051. Bonds; Investment
Section 394.052. Bond Covenants
Section 394.053. Validity of Bonds; Signatures
Section 394.054. Security for Bonds
Section 394.055. Liability for Bonds and Contracts; Debt Not Created
Section 394.056. Bond as Security
Section 394.057. Bond as Authorized Investment or as Security for Deposit