Section 4001.058 - Fraud; Fraudulent Practice(a) "Fraud" and "fraudulent practice" include: (1) a misrepresentation of a relevant fact made in any manner;(2) a promise, representation, or predication as to the future not made honestly and in good faith;(3) an intentional failure to disclose a material fact;(4) a direct or indirect gain, through the sale of a security, of an underwriting or promotion fee or profit, or of a selling or managing commission or profit, that is so gross or exorbitant as to be unconscionable; and(5) a scheme, device, or other artifice to obtain a profit, fee, or commission described by Subdivision (4).(b) Nothing in this section limits the full meaning of "fraud," "fraudulent," or "fraudulent practice" as applied or accepted in courts. (V.A.C.S. Art. 581-4, Subsec. F.)Tex. Gov't. Code § 4001.058
Added by Acts 2019, Texas Acts of the 86th Leg.- Regular Session, ch. TBD,Sec. 1.01, eff. 1/1/2022.