Texas § 21.107 LIABILITY OF SHAREHOLDER.

Texas Statutes

§ 21.107 — LIABILITY OF SHAREHOLDER.

Texas § 21.107

Code BOBusiness Organizations Code

This text of Texas § 21.107 (LIABILITY OF SHAREHOLDER.) is published on Counsel Stack Legal Research, covering Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Tex. Business Organizations Code Code Ann. § 21.107 (2026).

Text

Sec. 21.107. LIABILITY OF SHAREHOLDER. The existence of or a performance under a shareholders' agreement authorized by this subchapter is not a ground for imposing personal liability on a shareholder for an act or obligation of the corporation by disregarding the separate existence of the corporation or otherwise, even if the agreement or a performance under the agreement:

(1)treats the corporation as if the corporation were a partnership or in a manner that otherwise is appropriate only among partners;

(2)results in the corporation being considered a partnership for purposes of taxation; or

(3)results in failure to observe the corporate formalities otherwise applicable to the matters governed by the agreement.

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Sec. 21.107. LIABILITY OF SHAREHOLDER. The existence of or a performance under a shareholders' agreement authorized by this subchapter is not a ground for imposing personal liability on a shareholder for an act or obligation of the corporation by disregarding the separate existence of the corporation or otherwise, even if the agreement or a performance under the agreement:
(1) treats the corporation as if the corporation were a partnership or in a manner that otherwise is appropriate only among partners;
(2) results in the corporation being considered a partnership for purposes of taxation; or
(3) results in failure to observe the corporate formalities otherwise applicable to the matters governed by the agreement.