Court Opinions

State Laws

US Code

US Constitution

Texas Business Organizations Code - Section 9.156. Stay Of Judgment

Legal Research Home > Texas Lawyer > Business Organizations Code > Texas Business Organizations Code - Section 9.156. Stay Of Judgment

§ 9.156. STAY OF JUDGMENT.  (a) If, in an action brought 
under this subchapter, a foreign filing entity has proved by a 
preponderance of the evidence and obtained a finding that the 
problems for which the foreign filing entity has been found guilty 
were not wilful or the result of a failure to take reasonable 
precautions, the entity may make a sworn application to the court 
for a stay of entry of the judgment to allow the foreign filing 
entity a reasonable opportunity to cure the problems for which it 
has been found guilty.  An application made under this subsection 
must be made not later than the fifth day after the date the court 
makes its findings under Section 9.155.
	(b)  After a foreign filing entity has made an application 
under Subsection (a), a court shall stay the entry of the judgment 
if the court is reasonably satisfied after considering the 
application and evidence offered for or against the application 
that the foreign filing entity:
		(1)  is able and intends in good faith to cure the 
problems for which it has been found guilty;  and
		(2)  has not applied for the stay without just cause.                         
	(c)  A court shall stay an entry of judgment under Subsection 
(b) for the period the court determines is reasonably necessary to 
afford the foreign filing entity the opportunity to cure its 
problems if the entity acts with reasonable diligence.  The court 
may not stay the entry of the judgment for longer than 60 days after 
the date the court's findings are made.
	(d)  The court shall dismiss an action against a foreign 
filing entity that, during the period the action is stayed by the 
court under this section, cures the problems for which revocation 
is sought and pays all costs accrued in the action.
	(e)  If a court finds that a foreign filing entity has not 
cured the problems for which revocation is sought within the period 
prescribed by Subsection (c), the court shall enter final judgment 
requiring revocation of the foreign filing entity's registration.

Acts 2003, 78th Leg., ch. 182, § 1, eff. Jan. 1, 2006.                     

Last modified: August 11, 2007