(a) A contract is governed by the law of this state unless each party to the contract who is located in this state:
(1) is given notice that the law of the state in which another party to the contract is located applies to the contract; and
(2) agrees to the application of that state’s law.
(b) A person asserting that the law of another state governs a contract has the burden of proving that notice was given and agreement was obtained as specified by Subsection (a).

Terms Used In Texas Business and Commerce Code 274.003

  • Contract: A legal written agreement that becomes binding when signed.
  • Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005