Sec. 501.053. CORPORATION NONPROFIT; NET EARNINGS. (a) A corporation is nonprofit, and the corporation's net earnings remaining after payment of its expenses may not benefit an individual, firm, or corporation, except as provided by Subsection (b).
(b) If the board of directors determines that sufficient provision has been made for the full payment of the corporation's expenses, bonds, and other obligations, any net earnings of the corporation subsequently accruing shall be paid to the corporation's authorizing unit.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
Structure Texas Statutes
Title 12 - Planning and Development
Chapter 501 - Provisions Governing Development Corporations
Subchapter B. Creation and Operation of Corporation
Section 501.051. Authority to Create
Section 501.052. Nonmember, Nonstock Form of Corporation
Section 501.053. Corporation Nonprofit; Net Earnings
Section 501.054. General Powers, Privileges, and Functions
Section 501.056. Contents of Certificate of Formation
Section 501.057. Filing of Certificate of Formation and Delivery of Certificate Evidencing Filing
Section 501.058. Effect of Issuance of Certificate Evidencing Filing
Section 501.059. Corporate Seal
Section 501.060. May Sue and Be Sued
Section 501.061. Corporation's Organization Not Restricted
Section 501.062. Board of Directors
Section 501.063. Organizational Meeting
Section 501.066. Indemnification
Section 501.067. Insurance and Benefits
Section 501.068. Board Meetings; Notice of Meeting
Section 501.069. Waiver of Notice
Section 501.070. Action of Board; Quorum
Section 501.071. Action Without Meeting
Section 501.072. Open Meetings and Public Information