Texas § 21.551 DEFINITIONS.

Texas Statutes

§ 21.551 — DEFINITIONS.

Texas § 21.551

Code BOBusiness Organizations Code

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Bluebook

Tex. Business Organizations Code Code Ann. § 21.551 (2026).

Text

Sec. 21.551. DEFINITIONS. In this subchapter:

(1)"Derivative proceeding" means a civil suit in the right of a domestic corporation or, to the extent provided by Section 21.562 , in the right of a foreign corporation.

(2)"Shareholder" includes:

(A)a shareholder as defined by Section 1.002 ;

(B)a beneficial owner whose shares are held in a voting trust or by a nominee on the beneficial owner's behalf; or

(C)two or more shareholders acting in concert under an informal or formal agreement or understanding with respect to a derivative proceeding.

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Sec. 21.551. DEFINITIONS. In this subchapter:
(1) "Derivative proceeding" means a civil suit in the right of a domestic corporation or, to the extent provided by Section 21.562 , in the right of a foreign corporation.
(2) "Shareholder" includes:
(A) a shareholder as defined by Section 1.002 ;
(B) a beneficial owner whose shares are held in a voting trust or by a nominee on the beneficial owner's behalf; or
(C) two or more shareholders acting in concert under an informal or formal agreement or understanding with respect to a derivative proceeding.

Legislative History

Acts 2003, 78th Leg., ch. 182, Sec. 1, eff. Jan. 1, 2006. Amended by: Acts 2019, 86th Leg., R.S., Ch. 899 (H.B. 3603 ), Sec. 1, eff. September 1, 2019. Acts 2021, 87th Leg., R.S., Ch. 39 (S.B. 1203 ), Sec. 23, eff. September 1, 2021. Acts 2025, 89th Leg., R.S., Ch. 21 (S.B. 29 ), Sec. 12, eff. May 14, 2025.