Texas Business Organizations Code 252.007 – Capacity to Assert and Defend; Standing
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(a) A nonprofit association, in its name, may institute, defend, intervene, or participate in a judicial, administrative, or other governmental proceeding or in an arbitration, mediation, or any other form of alternative dispute resolution.
(b) A nonprofit association may assert a claim in its name on behalf of members of the nonprofit association if:
(1) one or more of the nonprofit association’s members have standing to assert a claim in their own right;
(2) the interests the nonprofit association seeks to protect are germane to its purposes; and
(3) neither the claim asserted nor the relief requested requires the participation of a member.
Terms Used In Texas Business Organizations Code 252.007
- Association: means an entity governed as an association under Title 6 or 7. See Texas Business Organizations Code 1.002
- Germane: On the subject of the pending bill or other business; a strict standard of relevance.
- Member: means :
(A) in the case of a limited liability company, a person who has become, and has not ceased to be, a member in the limited liability company as provided by its governing documents or this code;
(B) in the case of a nonprofit corporation, a person who has membership rights in the nonprofit corporation under its governing documents;
(C) in the case of a cooperative association, a member of a nonshare or share association;
(D) in the case of a nonprofit association, a person who has membership rights in the nonprofit association under its governing documents; or
(E) in the case of a professional association, a person who has membership rights in the professional association under its governing documents. See Texas Business Organizations Code 1.002 - Nonprofit association: means an association governed as a nonprofit association under Chapter 252. See Texas Business Organizations Code 1.002