{"data":{"id":"us-tx/tex.-business-organizations-code-21.303","jurisdiction":"us-tx","citation":"Tex. Business Organizations Code § 21.303","heading":"LIMITATIONS ON DISTRIBUTIONS.","body":"(a) A corporation may not make a distribution that violates the corporation's certificate of formation.\n(b) Unless the distribution is made in compliance with Chapter 11, a corporation may not make a distribution:\n(1) if the corporation would be insolvent after the distribution; or\n(2) that exceeds the distribution limit.\nActs 2003, 78th Leg., ch. 182, Sec. 1, eff. Jan. 1, 2006.","path":["BUSINESS ORGANIZATIONS CODE","TITLE 2. CORPORATIONS","CHAPTER 21. FOR-PROFIT CORPORATIONS","SUBCHAPTER G. DISTRIBUTIONS AND SHARE DIVIDENDS"],"source_url":"https://statutes.capitol.texas.gov/Docs/BO/htm/BO.21.htm#21.303","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:46:58Z","sha256":"cf73425e729bf2989962669e827ea609167c21f1fe10cf9d0091861479db73c4","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-business-organizations-code-21.302","next":"us-tx/tex.-business-organizations-code-21.304"},"notice":"GroundRules: Original legal text. Not legal advice."}