85R12203 GRM-D
By: Garcia S.B. No. 1579
A BILL TO BE ENTITLED
AN ACT
relating to authorizing the secretary of state to terminate the
existence of a domestic filing entity if a substantial owner or
governing person of the entity has been convicted of human
trafficking or compelling prostitution.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 11.251(b), Business Organizations Code,
is amended to read as follows:
(b) The secretary of state may terminate a filing entity's
existence if the secretary finds that:
(1) the entity has failed to, and, before the 91st day
after the date notice was mailed has not corrected the entity's
failure to:
(A) file a report within the period required by
law or pay a fee or penalty prescribed by law when due and payable;
or
(B) maintain a registered agent or registered
office in this state as required by law; [or]
(2) the entity has failed to, and, before the 16th day
after the date notice was mailed has not corrected the entity's
failure to, pay a fee required in connection with the filing of its
certificate of formation, or payment of the fee was dishonored when
presented by the state for payment; or
(3) a person who has an ownership interest of at least
51 percent in the entity or a governing person of the entity has
been convicted of an offense under Section 20A.02, 20A.03, or
43.05, Penal Code.
SECTION 2. Section 11.251(b), Business Organizations Code,
as amended by this Act, applies to a filing entity only if an
offense described by that section is committed on or after the
effective date of this Act. If the offense was committed before the
effective date of this Act, the filing entity is governed by the law
in effect on the date the offense was committed, and the former law
is continued in effect for that purpose. For purposes of this
section, an offense was committed before the effective date of this
Act if any element of the offense occurred before that date.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2017.