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Terms Used In Texas Local Government Code 505.004

  • 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.
  • Municipality: means a general-law municipality, home-rule municipality, or special-law municipality. See Texas Local Government Code 1.005

The certificate of formation of a Type B corporation:
(1) must state that the corporation is governed by this chapter; and
(2) may include in the corporation’s name any word or phrase the authorizing municipality specifies.