Tex. Bus. & Com. Code Section 271.007
Law Governing Validity or Enforceability of Term of Agreement Relating to Qualified Transaction

(a)

Except as provided by Section 271.008 (Applicability to Certain Real Property Transactions; Exceptions)(b), 271.009 (Exception: Marriage or Adoption), 271.010 (Exception: Decedent’s Estate), or 271.011 (Exception: Other Statute Specifying Governing Law) or by Chapter 272 (Law Applicable to Certain Construction Contracts), this section applies if:

(1)

the parties to a qualified transaction agree in writing that the law of a particular jurisdiction governs the validity or enforceability of an agreement relating to the transaction or a provision of the agreement;

(2)

the transaction bears a reasonable relation to that jurisdiction; and

(3)

a term of the agreement or of that provision is invalid or unenforceable under the law of that jurisdiction but is valid or enforceable under the law of the jurisdiction that has the most significant relation to the transaction, the subject matter of the transaction, and the parties.

(b)

If this section applies:

(1)

the law of the jurisdiction that has the most significant relation to the transaction, the subject matter of the transaction, and the parties governs the validity or enforceability of a term described by Subsection (a)(3); and

(2)

the law of the jurisdiction that the parties agree would govern the validity or enforceability of the agreement or provision governs the validity or enforceability of the other terms of the agreement or provision.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 2.01, eff. April 1, 2009.

Source: Section 271.007 — Law Governing Validity or Enforceability of Term of Agreement Relating to Qualified Transaction, https://statutes.­capitol.­texas.­gov/Docs/BC/htm/BC.­271.­htm#271.­007 (accessed Jun. 5, 2024).

Green check means up to date. Up to date

Accessed:
Jun. 5, 2024

§ 271.007’s source at texas​.gov