Ten governance functions and ten statutory hooks, surface to foundation. The stack is the cleanest one-screen summary of how the TBOC architecture now operates as a unit.
Figure 3 · Texas governance stack
Texas governance stack: ten layers, ten statutory hooks. Surface (institutional forum) to foundation (TBOC code architecture).
01
Institutional forum
Tex. Gov't Code ch. 25A
Texas Business Court + Fifteenth Court of Appeals
02
Pre- and post-demand procedure
TBOC §§ 21.4161, 21.554
Pre-transaction independence; petition-triggered 45-day hearing / 75-day order
03
Shareholder proposals
TBOC § 21.373
Opt-in: $1M or 3% / 6 months / 67% solicitation
04
Derivative standing
TBOC § 21.552(a)(3)
Elected threshold capped at 3% (dual-axis)
05
BJR codification
TBOC § 21.419
Business-judgment presumption for listed / opt-in
06
Jury waiver
TBOC § 2.116
Internal-entity jury-waiver authority
07
Forum selection
TBOC § 2.115
Governing-document forum authority for internal entity claims
08
Fiduciary-duty baseline
Texas common law + TBOC architecture
Duties remain principally common-law (Ritchie, Estate of Poe)
09
Texas-first source rule
TBOC § 1.057
Texas law and Texas cases first; no DE-conformance obligation
10
Code architecture
TBOC (H.B. 1156, 78th Leg.)
Unified entity code; effective 2006, mandatory 2010
Sources. Tex. Bus. Orgs. Code Ann. (West 2025); Tex. Gov't Code Ann. ch. 25A (West 2025); H.B. 1156, 78th Leg., R.S. (Tex. 2003) .