Texas Finance Code 273.203 – Powers of Corporation
Terms Used In Texas Finance Code 273.203
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Property: means real and personal property. See Texas Government Code 311.005
The corporation may, consistent with the purposes of this chapter, exercise the powers of a nonprofit corporation created under the laws of this state, including the power to:
(1) enter into a contract;
(2) sue and be sued;
(3) purchase, hold, lease, receive, use, encumber, transfer, lend, advance, or otherwise dispose of money or other property of any kind, or of any interest in money or other property;
(4) take the capital stock and assets of a borrowing member association as collateral securing any loan it makes to that association;
(5) hold or dispose of in any manner any collateral described by Subdivision (4) acquired as a result of default in the payment of a loan;
(6) declare and pay a dividend or interest on a security issued under this chapter;
(7) borrow money; and
(8) perform any other necessary act to enable the corporation to effectively promote and carry out its purposes.