VALIDITY OF CONTRACTS
Applied in 1 court decision — leading case Prodigy Communications Corp. v. Agricultural Excess & Surplus Insurance Co. (2006)
Most recently applied in Prodigy Communications Corp. v. Agricultural Excess & Surplus Insurance Co. (May 2006)
Added by Acts 2001, 77th Leg., ch. 1419, Sec. 1, eff
(a) Unless a material and intentional violation of this chapter or Chapter 225 exists, an insurance contract obtained from an eligible surplus lines insurer is:
(1) valid and enforceable as to all parties; and
(2) recognized in the same manner as a comparable contract issued by an authorized insurer.
(b) A material and intentional violation of this chapter or Chapter 225 does not preclude the insured from enforcing the insured's rights under the contract.
Official source: Texas Constitution and Statutes. Reproduced from public-domain Texas statutes; confirm against the official source for the current text. Not legal advice.