Texas Business Organizations Code - Section 251.452. Use Of Name
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§ 251.452. USE OF NAME "COOPERATIVE". (a) Only a
cooperative association governed by this chapter, a group organized
on a cooperative basis under another law of this state, or a foreign
entity operating on a cooperative basis and authorized to do
business in this state may use the term "cooperative" or any
abbreviation or derivation of the term "cooperative" as part of its
business name or represent itself, in advertising or otherwise, as
conducting business on a cooperative basis.
(b) A person commits an offense if the person violates
Subsection (a). An offense under this subsection is a misdemeanor
punishable by:
(1) a fine of not less than $25 or more than $200 for
the first month in which the violation occurs;
(2) a fine of not more than $200 for each month during
which a violation occurs after the first month;
(3) confinement in the county jail for not less than 30
days or more than one year; or
(4) a combination of those punishments.
(c) The attorney general may sue to enjoin a violation of
this section.
(d) If a court renders a judgment that a person who used the
term "cooperative" before September 1, 1975, is not organized on a
cooperative basis but is authorized to continue to use the term, the
business shall place immediately after its name the words "does not
comply with the cooperative association law of Texas" in the same
kind of type and in letters not less than two-thirds the size of the
letters used in the word "cooperative."
(e) Notwithstanding this section, The University
Cooperative Society, a domestic nonprofit corporation related to
The University of Texas, may continue to use the word "cooperative"
in its name.
Acts 2003, 78th Leg., ch. 182, § 1, eff. Jan. 1, 2006.
Section: 251.353 251.354 251.401 251.402 251.403 251.404 251.451 251.452 252.001 252.002 252.003 252.004 252.005 252.006 252.007
Last modified: August 11, 2007
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