{"data":{"id":"us-tx/tex.-business-organizations-code-21.560","jurisdiction":"us-tx","citation":"Tex. Business Organizations Code § 21.560","heading":"DISCONTINUANCE OR SETTLEMENT.","body":"(a) A derivative proceeding may not be discontinued or settled without court approval.\n(b) The court shall direct that notice be given to the affected shareholders if the court determines that a proposed discontinuance or settlement may substantially affect the interests of other shareholders.\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 L. DERIVATIVE PROCEEDINGS"],"source_url":"https://statutes.capitol.texas.gov/Docs/BO/htm/BO.21.htm#21.560","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:46:58Z","sha256":"6a1060ffdf5c35c9dbabaed96d406731b952121f760dea765649d1cb386735d4","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-business-organizations-code-21.559","next":"us-tx/tex.-business-organizations-code-21.561"},"notice":"GroundRules: Original legal text. Not legal advice."}