Tex. Ins. Code Section 443.005
Jurisdiction and Venue

(a)

Except as authorized by Section 203(e)(3), Pub. L. No. 111-203, a delinquency proceeding may not be commenced under this chapter by a person other than the commissioner, and a court does not have jurisdiction to entertain, hear, or determine any delinquency proceeding commenced by any other person.

(b)

A court of this state does not have jurisdiction, other than in accordance with this chapter, to entertain, hear, or determine any complaint praying for:

(1)

the liquidation, rehabilitation, seizure, sequestration, conservation, or receivership of any insurer; or

(2)

a stay, injunction, restraining order, or other relief preliminary, incidental, or relating to proceedings described by Subdivision (1).

(c)

The receivership court, as of the commencement of a delinquency proceeding under this chapter, has exclusive jurisdiction of all property of the insurer, wherever located, including property located outside the territorial limits of the state. The receivership court has original but not exclusive jurisdiction of all civil proceedings arising:

(1)

under this chapter; or

(2)

in or related to delinquency proceedings under this chapter.

(d)

In addition to other grounds for jurisdiction provided by the law of this state, a court having jurisdiction of the subject matter has jurisdiction over a person served pursuant to Rules 21 and 21a, Texas Rules of Civil Procedure, or other applicable provisions of law in an action brought by the receiver if the person served:

(1)

is or has been an agent, or other person who, at any time, has written policies of insurance for or has acted in any manner on behalf of an insurer against which a delinquency proceeding has been instituted, in any action resulting from or incident to such a relationship with the insurer;

(2)

is or has been an insurer or reinsurer who, at any time, has entered into a contract of reinsurance with an insurer against which a delinquency proceeding has been instituted, or who is an agent of or for the reinsurer, in any action on or incident to the reinsurance contract;

(3)

is or has been an officer, director, manager, trustee, organizer, promoter, or other person in a position of comparable authority or influence over an insurer against which a delinquency proceeding has been instituted, in any action resulting from or incident to such a relationship with the insurer;

(4)

at the time of the institution of the delinquency proceeding against the insurer, is or was holding assets in which the receiver claims an interest on behalf of the insurer in any action concerning the assets; or

(5)

is obligated to the insurer in any way, in any action on or incident to the obligation.

(e)

If, on motion of any party, the receivership court finds that any action, as a matter of substantial justice, should be tried in a forum outside this state, the receivership court may enter an appropriate order to stay further proceedings on the action in this state. Except as to claims against the estate, nothing in this chapter deprives a party of any contractual right to pursue arbitration. A party in arbitration may bring a claim or counterclaim against the estate, but the claim or counterclaim is subject to this chapter.

(f)

Service must be made upon the person named in the petition in accordance with Rules 21 and 21a, Texas Rules of Civil Procedure. In lieu of such service, upon application to the receivership court, service may be made in any manner the receivership court directs if it is satisfactorily shown by affidavit:

(1)

in the case of a corporation, that the officers of the corporation cannot be served because they have departed from the state or otherwise concealed themselves with intent to avoid service;

(2)

in the case of a Lloyd’s plan or reciprocal or interinsurance exchange, that the individual attorney in fact or the officers of the corporate attorney in fact cannot be served because of departure or concealment; or

(3)

in the case of an individual, that the person cannot be served because of the individual’s departure or concealment.

(g)

An action authorized by this section must be brought in a district court in Travis County.

(h)

At any time after an order is entered pursuant to Section 443.051, 443.101, or 443.151, the commissioner or receiver may transfer the case to the county of the principal office of the person proceeded against. In the event of transfer, the court in which the proceeding was commenced, upon application of the commissioner or receiver, shall direct its clerk to transmit the court’s file to the clerk of the court to which the case is to be transferred. The proceeding, after transfer, shall be conducted in the same manner as if it had been commenced in the court to which the matter is transferred.

(i)

A person may not intervene in any delinquency proceeding in this state for the purpose of seeking or obtaining payment of any judgment, lien, or other claim of any kind. The claims procedure set forth in this chapter constitutes the exclusive means for obtaining payment of claims from the receivership estate. This provision is not intended to affect the rights conferred on the guaranty associations by Section 443.008(l).

(j)

The foregoing provisions of this section notwithstanding, the provisions of this chapter do not confer jurisdiction on the receivership court to resolve coverage disputes between guaranty associations and those asserting claims against them resulting from the initiation of a delinquency proceeding under this chapter. The determination of any dispute with respect to the statutory coverage obligations of any guaranty association by a court or administrative agency or body with jurisdiction in the guaranty association’s state of domicile is binding and conclusive as to the parties in a delinquency proceeding initiated in the receivership court, including the policyholders of the insurer. With respect to a guaranty association’s obligations under a rehabilitation plan, the receivership court has jurisdiction only if the guaranty association expressly consents to the jurisdiction of the court.
Added by Acts 2005, 79th Leg., Ch. 995 (H.B. 2157), Sec. 1, eff. September 1, 2005.
Redesignated from Insurance Code - Not Codified, Art/Sec 21A.005 by Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.004(a)(1), eff. September 1, 2007.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 730 (H.B. 2636), Sec. 3B.004(c), eff. September 1, 2007.
Redesignated from Insurance Code - Not Codified, Art/Sec 21A.005 by Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.004(a)(1), eff. September 1, 2007.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 921 (H.B. 3167), Sec. 9.004(c), eff. September 1, 2007.
Acts 2011, 82nd Leg., R.S., Ch. 193 (S.B. 1433), Sec. 1, eff. September 1, 2011.

Source: Section 443.005 — Jurisdiction and Venue, https://statutes.­capitol.­texas.­gov/Docs/IN/htm/IN.­443.­htm#443.­005 (accessed May 4, 2024).

443.001
Construction and Purpose 443.002
Conflicts of Law 443.003
Covered Persons 443.004
Definitions 443.005
Jurisdiction and Venue 443.006
Exemption from Fees 443.007
Notice, Hearing, and Appeal on Matters Submitted by Receiver for Receivership Court Approval 443.008
Injunctions and Orders 443.009
Statutes of Limitations 443.010
Cooperation of Officers, Owners, and Employees 443.011
Actions by and Against Receiver 443.012
Unrecorded Obligations and Defenses of Affiliates 443.013
Executory Contracts and Unexpired Leases 443.014
Immunity and Indemnification of Receiver and Assistants 443.015
Approval and Payment of Expenses 443.016
Financial Reporting 443.017
Records 443.051
Receivership Court’s Seizure Order 443.052
Commencement of Formal Delinquency Proceeding 443.053
Return of Summons and Summary Hearing 443.054
Proceedings for Expedited Trial: Continuances, Discovery, Evidence 443.055
Decision and Appeals 443.056
Confidentiality 443.057
Grounds for Conservation, Rehabilitation, or Liquidation 443.058
Entry of Order 443.059
Effect of Petition or Order on Contract or Lease 443.101
Rehabilitation Orders 443.102
Powers and Duties of Rehabilitator 443.103
Rehabilitation Plans 443.104
Termination of Rehabilitation 443.105
Coordination with Guaranty Associations 443.0135
Contracts for Special Deputies 443.151
Liquidation Orders 443.152
Continuance of Coverage 443.153
Sale or Dissolution of Insurer’s Corporate Entity 443.154
Powers of Liquidator 443.155
Notice to Creditors and Others 443.156
Duties of Agents 443.201
Turnover of Assets 443.202
Recovery from Affiliates 443.203
Unauthorized Post-petition Transfers 443.204
Voidable Preferences and Liens 443.205
Fraudulent Transfers and Obligations 443.206
Receiver as Lien Creditor 443.207
Liability of Transferee 443.208
Claims of Holders of Void or Voidable Rights 443.209
Setoffs 443.210
Assessments 443.211
Reinsurer’s Liability 443.212
Recovery of Premiums Owed 443.213
Administration of Deductible Agreements and Policyholder Collateral 443.251
Filing of Claims 443.252
Proof of Claim 443.253
Allowance of Claims 443.254
Claims Under Occurrence Policies, Surety Bonds, and Surety Undertakings 443.255
Allowance of Contingent and Unliquidated Claims 443.256
Special Provisions for Third-party Claims 443.257
Disputed Claims 443.258
Liquidator’s Recommendations to Receivership Court 443.259
Claims of Codebtors 443.260
Secured Creditors’ Claims 443.261
Qualified Financial Contracts 443.301
Priority of Distribution 443.302
Partial and Final Distributions of Assets 443.303
Early Access Payments 443.304
Unclaimed and Withheld Funds 443.351
Condition on Release from Delinquency Proceedings 443.352
Termination of Liquidation Proceedings 443.353
Reopening Receivership 443.354
Disposition of Records During and After Termination of Receivership 443.355
External Audit of the Receiver’s Books 443.401
Ancillary Conservation of Foreign Insurers 443.402
Domiciliary Receivers Appointed in Other States
Green check means up to date. Up to date

Accessed:
May 4, 2024

§ 443.005’s source at texas​.gov