Section 35.26 - Reclassification, Assignment, and Termination(a) When a Class A or B license is reclassified as a Class C license, a fee in the amount of the difference in the cost of the licenses shall be paid. There shall be no refund when a Class C license is reclassified as a Class A or Class B license.(b) The department may approve the assignment of a company license to the spouse or heir(s) of a deceased owner provided: (1) A copy of the owner's death certificate is filed with the department; and(2) A copy of the Will, Order Admitting Will to Probate, Letters of Testament, Affidavit of Heirship with two affiants' signatures, or Order of Heirship is filed with the department(c) Other assignments will be permitted only under one of the conditions detailed in this subsection: (1) the ownership in the assignor and assignee will remain the same;(2) the owners holding at least 25% ownership in the original license, and collectively holding a majority ownership interest, consent to the assignment; or(3) if there is an insufficient number of owners holding at least 25% ownership in the original license to potentially hold a majority in ownership interest in the license, the license may be assigned by majority vote of the entity's board of directors or equivalent level decision making body of the licensee. The license holder must provide the department written documentation reflecting the vote and the intended date of assignment.(d) The assignor must provide the department written documentation establishing the intended date of assignment and notarized statements establishing the consent of a majority of the owners of the current license. The assignee must ensure any new owners are in compliance with the requirement of the Act. The assignee may not perform regulated services prior to the proposed date of assignment or the date of the department's approval of all required license applications or fingerprint submissions for new owners, whichever is later. The assignor must cease performance of all regulated services on the earlier of either the proposed date of assignment or the date of surrender or termination of any related owner licenses.(e) An additional assignment fee will be assessed as provided by this chapter upon assignment of a license under subsection (b) or (c) of this section.(f) A license may only be terminated by consent of the owners holding at least 25% in the licensed company and collectively holding a majority ownership interest, unless the ownership structure of the company has an insufficient number of such owners to potentially represent a majority, in which case the license may be terminated by majority vote of the entity's board of directors or equivalent level decision making body of the licensee. The license holder must provide the department written documentation reflecting the vote and the intended date of termination.37 Tex. Admin. Code § 35.26
The provisions of this §35.26 adopted to be effective May 6, 2014, 39 TexReg 3606; Amended by Texas Register, Volume 43, Number 10, March 9, 2018, TexReg 1445, eff. 3/15/2018; Amended by Texas Register, Volume 44, Number 51, December 20, 2019, TexReg 8028, eff. 12/29/2019