Except as provided by Section 21.756, in a case in which a shareholder is entitled to wind up and terminate a close corporation under a shareholders' agreement, a court may not order liquidation, involuntary termination, or receivership under that section unless the court determines that any other remedy in law or equity, including appointment of a provisional director, custodian, or other type of receiver, is inadequate.
Tex. Bus. Orgs. Code § 21.757
LIQUIDATION; INVOLUNTARY WINDING UP AND TERMINATION; RECEIVERSHIP
Applied in 1 court decision — leading case Estate of Price (2017)
Most recently applied in Estate of Price (February 2017)
Acts 2003, 78th Leg., ch. 182, Sec. 1, eff
Official source: Texas Constitution and Statutes. Reproduced from public-domain Texas statutes; confirm against the official source for the current text. Not legal advice.