Section 21.166 - Preformation Subscription(a) The corporation may determine the payment terms of a preformation subscription unless the payment terms are specified by the subscription. The payment terms may authorize payment in full on acceptance or by installments.(b) Unless the subscription provides otherwise, a corporation shall make calls placed to all subscribers of similar interests for payment on preformation subscriptions uniform as far as practicable.(c) After the corporation is formed, if a subscriber fails to pay any installment or call when due, a corporation may:(1) collect in the same manner as any other debt the amount due on any unpaid preformation subscription; or(2) forfeit the subscription if the installment or call remains unpaid for 20 days after written notice to the subscriber.(d) Although the forfeiture of a subscription terminates all the rights and obligations of the subscriber, the corporation may retain any amount previously paid on the subscription.Tex. Bus. Org. Code § 21.166
Acts 2003, 78th Leg., ch. 182, Sec. 1, eff. 1/1/2006.