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Texas Statutes (Last Updated: January 4, 2014) |
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INSURANCE CODE |
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Title 12. OTHER COVERAGE |
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Chapter 3503. SURETY BONDS AND RELATED INSTRUMENTS |
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Subchapter A. CERTAIN REQUIRED OR PERMITTED OBLIGATIONS |
Sec. 3503.002. EXECUTION OF OBLIGATION BY SURETY COMPANY
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(a) A surety company authorized to engage in business in this state may execute an obligation.
(b) Except as provided by Section 3503.004 or 3503.005, the execution of an obligation by a surety company under Subsection (a) is in full compliance with each law, charter, ordinance, or rule that requires:
(1) the obligation to be executed by one or more sureties; or
(2) the executing sureties to possess any qualification, including the requirement that a surety be a resident, householder, or freeholder.
(c) Each municipality, board, body, organization, court, public officer, and head of department shall accept and treat an obligation executed by a surety company under Subsection (a) as fully complying with each law, charter, ordinance, or rule described by Subsection (b).