Texas Insurance Code 424.101 – Definitions
Terms Used In Texas Insurance Code 424.101
- 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.
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Federal Reserve System: The central bank of the United States. The Fed, as it is commonly called, regulates the U.S. monetary and financial system. The Federal Reserve System is composed of a central governmental agency in Washington, D.C. (the Board of Governors) and twelve regional Federal Reserve Banks in major cities throughout the United States. Source: OCC
- National Bank: A bank that is subject to the supervision of the Comptroller of the Currency. The Office of the Comptroller of the Currency is a bureau of the U.S. Treasury Department. A national bank can be recognized because it must have "national" or "national association" in its name. Source: OCC
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- United States: includes a department, bureau, or other agency of the United States of America. See Texas Government Code 311.005
In this subchapter:
(1) “Business entity” means an association, corporation, joint stock company, joint venture, limited liability company, mutual fund trust, partnership, or other similar form of business organization, regardless of whether organized for profit.
(2) “Obligation” means:
(A) a bond, note, debenture, trust certificate, including an equipment certificate, or production payment;
(B) a negotiable bank certificate of deposit, bankers’ acceptance, credit tenant loan, or other loan secured by financing net leases; or
(C) any other evidence of indebtedness for the payment of money or participation certificates or other evidences of an interest in an obligation otherwise described by this subdivision, whether constituting a general obligation of the issuer or payable only out of certain revenues or certain funds pledged or otherwise dedicated for payment.
(3) “Qualified bank” means a national bank, state bank, or trust company that:
(A) is at all times adequately capitalized as determined by the standards adopted by the United States banking regulators; and
(B) is either a member of the Federal Reserve System or regulated by state banking laws.
(4) “Repurchase transaction,” “reverse repurchase transaction,” and “securities lending transaction” have the meanings assigned by Section 424.151.