- Get Involved
BLUE SKY LAW
BLUE SKY LAW. The Blue Sky Law, enacted by the Thirty-eighth Legislature as House Bill 177 on May 15, 1923, was designed to stop the flow of worthless stock certificates into Texas and was directed largely at oil companies. The statute required concerns offering stock for sale in Texas to file applications with the secretary of state for permits to sell the securities. Each application was to give the previous business of the officers of the company and to have attached a financial statement of the company's resources. The law remained in force until it was superseded by the Securities Act passed by the Forty-fourth Legislature in 1935.
BIBLIOGRAPHY: General Laws of the State of Texas Passed by the Thirty-eighth Legislature at Its First, Second and Third Sessions, 1923 (Austin: Secretary of State, 1923).
Image Use Disclaimer
All copyrighted materials included within the Handbook of Texas Online are in accordance with Title 17 U.S.C. Section 107 related to Copyright and “Fair Use” for Non-Profit educational institutions, which permits the Texas State Historical Association (TSHA), to utilize copyrighted materials to further scholarship, education, and inform the public. The TSHA makes every effort to conform to the principles of fair use and to comply with copyright law.
For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml
If you wish to use copyrighted material from this site for purposes of your own that go beyond fair use, you must obtain permission from the copyright owner.
The following, adapted from the Chicago Manual of Style, 15th edition, is the preferred citation for this article.Handbook of Texas Online, Elmer W. Flaccus, "BLUE SKY LAW," accessed February 23, 2019, http://www.tshaonline.org/handbook/online/articles/mlb01.
Uploaded on June 12, 2010. Published by the Texas State Historical Association.