The Texas Legislature, during its 87th Regular Session, passed several bills with direct implications for Texas partnerships, corporations, and limited liability companies. Below are some of the key changes for Texas entities, including amendments made to the Texas Business Organization Code (TBOC), passed in the 87th Regular Session.

S.B. 1203/H.B. 3364 – Business

Long-awaited relief has arrived for many struggling small businesses in the form of the Consolidated Appropriations Act of 2021 (the “Appropriations Act”), signed into law by President Donald Trump on December 27, 2020. Under the Appropriations Act, a summary of which can be found here, the Small Business Administration (“SBA”) was authorized to reopen

In Ashland LLC v. Samuel J. Heyman 1981 Continuing Trust for Lazarus S. Heyman (Del. Super. Ct. Nov. 10, 2020), the Complex Commercial Litigation Division of the Delaware Superior Court held that parties to a contract are required to cover their own legal fees absent clear and unequivocal fee shifting language, even where one party

In June 2019, David Dunwoody (“Dunwoody”) left his position as President of EnVen Energy Corporation (“EnVen”) amidst a scandal centering around his alleged involvement in a kickback scheme.  Dunwoody sued EnVen, the oil exploration company that he co-founded in 2014, in Texas state court to demand that EnVen honor the benefits package that Dunwoody was

On October 22, 2019, The We Company (“WeWork”), SoftBank Group Corp. (“SBG”), SoftBank Vision Fund (AIV M1) L.P. (“Vision Fund”, and together with SBG, “SoftBank”) and certain other parties entered into a Master Transaction Agreement (the “MTA”), as amended on December 27, 2019. The MTA included a series of transactions, including a tender offer, pursuant

A Houston area movie theater owner, Omar Khan (“Khan”), founder of the Star Cinema Grill (the “Business”), filed suit in the Southern District of Texas against Mexican company Cinemex and its U.S. subsidiary (“Cinemex”) claiming that Cinemex is attempting to use the Coronavirus pandemic as an excuse to renege on a deal to acquire the

In Shabbouei v. Potdevin, the Delaware Court of Chancery granted a motion to dismiss a stockholder derivative complaint alleging that the board of directors of lululemon athletica inc. breached its fiduciary duties and committed corporate waste by paying $5 million in severance to its CEO who was engaged in pervasive misconduct, rather than terminating