{"data":{"id":"us-tx/tex.-business-organizations-code-21.309","jurisdiction":"us-tx","citation":"Tex. Business Organizations Code § 21.309","heading":"RESERVES, DESIGNATIONS, AND ALLOCATIONS FROM SURPLUS.","body":"(a) A corporation, by resolution of the board of directors of the corporation, may:\n(1) create a reserve out of the surplus of the corporation; or\n(2) designate or allocate in any manner a part or all of the corporation's surplus for a proper purpose.\n(b) A corporation may increase, decrease, or abolish a reserve, designation, or allocation in the manner provided by Subsection (a).\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#21.309","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:46:58Z","sha256":"c534dbb45214eb560014efe28317b4f1211249303c2741b2dc21299a77ca65d6","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-business-organizations-code-21.308","next":"us-tx/tex.-business-organizations-code-21.310"},"notice":"GroundRules: Original legal text. Not legal advice."}