Sec. 462.005. DESCRIPTION OF CONTROL. (a) For purposes of this chapter, control is the power to direct, or cause the direction of, the management and policies of a person, other than power that results from an official position with the person or a corporate office held by the person. The power may be possessed directly or indirectly by any means, including through the ownership of voting securities or by contract, other than a commercial contract for goods or nonmanagement services.
(b) A person is presumed to control another person if the person directly or indirectly owns, controls, holds with the power to vote, or holds proxies representing 10 percent or more of the voting securities of the other person. This presumption may be rebutted by a showing that the person does not in fact control the other person.
Added by Acts 2005, 79th Leg., Ch. 727 (H.B. 2017), Sec. 1, eff. April 1, 2007.
Structure Texas Statutes
Title 4 - Regulation of Solvency
Subtitle D - Guaranty Associations
Chapter 462 - Texas Property and Casualty Insurance Guaranty Association
Subchapter A. General Provisions
Section 462.004. General Definitions
Section 462.005. Description of Control
Section 462.006. Net Direct Written Premiums
Section 462.007. Applicability in General; Exceptions
Section 462.008. Applicability to Texas Mutual Insurance Company
Section 462.010. Conflict With Other Laws
Section 462.011. Immunity in General
Section 462.012. Immunity in Relation to Certain Reports and Recommendations
Section 462.013. Immunity in Relation to Certain Negotiations
Section 462.015. Information Provided by or to Commissioner
Section 462.016. Penalty for Failure to Pay Assessments or Comply With Plan of Operation