Sec. 4005.013. COMPENSATION PLANS AND CONTRACTS. The exemption provided by Section 4005.001 applies to the sale or distribution of a security without any public solicitation or advertisement if the sale or distribution is made:
(1) by an issuer of the security or any participating subsidiary of the issuer; and
(2) under a bona fide thrift, savings, stock purchase, retirement, pension, profit-sharing, option, bonus, appreciation right, incentive, or similar written compensation plan or written compensation contract established by the issuer or the issuer's subsidiary for the benefit of:
(A) employees, directors, general partners, managers, or officers of the issuer or subsidiary;
(B) the issuer's or subsidiary's trustees, if the issuer or subsidiary is a business trust; or
(C) consultants or advisers who provide to the issuer or subsidiary bona fide services unrelated to the offer or sale of securities in a capital-raising transaction.
Added by Acts 2019, 86th Leg., R.S., Ch. 491 (H.B. 4171), Sec. 1.01, eff. January 1, 2022.
Structure Texas Statutes
Subchapter A. Exempt Transactions
Section 4005.001. Scope of Exemption
Section 4005.002. Court Supervised Sales
Section 4005.003. Pledged Securities
Section 4005.004. Isolated Transactions
Section 4005.005. Insurance Company Sales
Section 4005.006. Stock Dividends
Section 4005.007. Existing Security Holders
Section 4005.008. Financial Distress
Section 4005.009. Merger, Consolidation, and Asset Sales
Section 4005.010. Exchange of Shares
Section 4005.011. Institutional Investors
Section 4005.012. Private Limited Offerings
Section 4005.013. Compensation Plans and Contracts
Section 4005.014. Mortgages and Liens
Section 4005.016. Financial Institutions
Section 4005.017. Government Issuance or Guarantee
Section 4005.018. Cooperatives
Section 4005.019. Secondary Market Sales
Section 4005.020. Unsolicited Orders
Section 4005.021. Oil, Gas, or Mining Interests
Section 4005.022. Issuer Sales of Exempt Securities