Texas Business and Commerce Code 15.16 – Declaratory Judgment Action
(a) A person (other than a foreign corporation not having a permit or certificate of authority to do business in this state) uncertain of whether or not his or her action or proposed action violates or will violate the prohibitions contained in Section 15.05 of this Act may file suit against the state for declaratory judgment, citing this section as authority, in one of the Travis County district courts.
(b) Citation and all process in the suit shall be served on the attorney general, who shall represent the state. The petition shall describe in detail the person’s action or proposed action and all other relevant facts, and the court in its declaratory judgment shall fully recite the action or proposed action and other facts considered.
Terms Used In Texas Business and Commerce Code 15.16
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005
(c) A declaratory judgment granted under this section which rules that action or proposed action does not violate the prohibitions contained in Section 15.05 of this Act:
(1) shall be strictly construed and may not be extended by implication to an action or fact not recited in the judgment;
(2) does not bind the state with reference to a person not a party to the suit in which the judgment was granted; and
(3) does not estop the state from subsequently establishing a violation of the prohibitions contained in Section 15.05 of this Act based on an action or fact not recited in the declaratory judgment, which action or fact, when combined with an action or fact recited in the judgment, constitutes a violation of the prohibitions contained in Section 15.05 of this Act.
(d) A person filing suit under this section shall pay all costs of the suit.