Tex. Gov't Code Section 4008.051
Offeror or Seller Liability: Registration and Related Violations

(a)

A person who offers or sells a security in violation of the following is liable to a person who buys the security from the offeror or seller:

(1)

Section 4003.001 (Permit Required; Exceptions)(a), 4004.051 (Registration of Dealers Required), 4004.052 (Registration of Investment Advisers Required), 4004.101 (Registration of Agents)(a), 4004.102 (Registration of Investment Adviser Representatives)(a), or 4007.103 (Cease Publication Order);

(2)

Subchapter G (Deposit in Trust Account), Chapter 4003 (Securities), other than Section 4003.304 (Investor Education), or a requirement of the commissioner under Subchapter G (Deposit in Trust Account), Chapter 4003 (Securities), other than Section 4003.304 (Investor Education); or

(3)

an order under Section 4007.101 (Cease and Desist Order: Offer or Sale of Securities) or 4007.104 (Emergency Cease and Desist Order).

(b)

The buyer of the security may sue for:

(1)

rescission; or

(2)

damages if the buyer no longer owns the security.
Added by Acts 2019, 86th Leg., R.S., Ch. 491 (H.B. 4171), Sec. 1.01, eff. January 1, 2022.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 41 (S.B. 1280), Sec. 1, eff. January 1, 2022.

Source: Section 4008.051 — Offeror or Seller Liability: Registration and Related Violations, https://statutes.­capitol.­texas.­gov/Docs/GV/htm/GV.­4008.­htm#4008.­051 (accessed Jun. 5, 2024).

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Accessed:
Jun. 5, 2024

§ 4008.051’s source at texas​.gov