{"data":{"id":"us-tx/tex.-business-organizations-code-22.055","jurisdiction":"us-tx","citation":"Tex. Business Organizations Code § 22.055","heading":"POWER TO ASSIST EMPLOYEE OR OFFICER.","body":"(a) A corporation may lend money to or otherwise assist an employee or officer of the corporation, but not a director, if the loan or assistance may reasonably be expected to directly or indirectly benefit the corporation.\n(b) A loan made to an officer must be:\n(1) made for the purpose of financing the officer's principal residence; or\n(2) set in an original principal amount that does not exceed:\n(A) 100 percent of the officer's annual salary, if the loan is made before the first anniversary of the officer's employment; or\n(B) 50 percent of the officer's annual salary, if the loan is made in any subsequent year.\nActs 2003, 78th Leg., ch. 182, Sec. 1, eff. Jan. 1, 2006.","path":["BUSINESS ORGANIZATIONS CODE","TITLE 2. CORPORATIONS","CHAPTER 22. NONPROFIT CORPORATIONS","SUBCHAPTER B. PURPOSES AND POWERS"],"source_url":"https://statutes.capitol.texas.gov/Docs/BO/htm/BO.22.htm#22.055","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:46:58Z","sha256":"c125c933757f30a0462476d9e11df8a1c3d5e0b36c5855480c3df36508be744b","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-business-organizations-code-22.054","next":"us-tx/tex.-business-organizations-code-22.056"},"notice":"GroundRules: Original legal text. Not legal advice."}