Texas Statutes
Subchapter D. Practice by Legal Service Contract Companies
Section 953.159. Canceling a Legal Service Contract

Sec. 953.159. CANCELING A LEGAL SERVICE CONTRACT. (a) A company may cancel a legal service contract by mailing a written notice of cancellation to the legal service contract holder at the legal service contract holder's last known address according to the records of the company. The company must mail the notice before the fifth day preceding the effective date of the cancellation. The notice must state the effective date of the cancellation and the reason for the cancellation.
(b) The company is not required to provide prior notice of cancellation if the legal service contract is canceled because of:
(1) nonpayment of the consideration for the contract;
(2) a material misrepresentation by the legal service contract holder to the company;
(3) a substantial breach of a duty by the legal service contract holder; or
(4) cancellation of the contract by the legal service contract holder.
Added by Acts 2003, 78th Leg., ch. 1181, Sec. 1, eff. Sept. 1, 2003.

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