Terms Used In Texas Civil Practice and Remedies Code 38.006

  • Contract: A legal written agreement that becomes binding when signed.
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.

This chapter does not apply to a contract issued by an insurer that is subject to the provisions of:
(1) Title 11, Insurance Code;
(2) Chapter 541, Insurance Code;
(3) the Unfair Claim Settlement Practices Act (Subchapter A, Chapter 542, Insurance Code); or
(4) Subchapter B, Chapter 542, Insurance Code.