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Texas Utilities Code - Section 162.126. Encumbrance, Lease, And Disposition Of Property With Members' Authorization

Legal Research Home > Texas Laws > Utilities Code > Texas Utilities Code - Section 162.126. Encumbrance, Lease, And Disposition Of Property With Members' Authorization

§ 162.126. ENCUMBRANCE, LEASE, AND DISPOSITION OF 
PROPERTY WITH MEMBERS' AUTHORIZATION.  (a) Except as provided by 
Section 162.125, a telephone cooperative may not dispose of, lease, 
or encumber all or a major portion of its property unless the 
disposition, lease, or encumbrance is authorized by the affirmative 
vote of at least two-thirds of all the members of the cooperative.
	(b)  The board may, on the authorization of two-thirds of all 
the members of the cooperative at a members' meeting, dispose of or 
lease all or a major portion of its property to:
		(1)  another telephone cooperative;                                           
		(2)  a foreign corporation doing business in this state 
under this chapter;  or
		(3)  the holder of a note, bond, or other evidence of 
indebtedness issued to the United States or to a lending 
institution licensed by the United States or a state.
	(c)  The notice of a meeting at which a disposition or lease 
under Subsection (b) is to be considered must state the proposed 
action.

Acts 1997, 75th Leg., ch. 166, § 1, eff. Sept. 1, 1997.                    

Last modified: August 11, 2007