Prepaid Tuition Contract

Sec. 54.755. PREPAID TUITION CONTRACT. (a) The board shall adopt a form for a prepaid tuition contract to be used by the board and purchasers. (b) A prepaid tuition contract must: (1) specify the terms under which the purchaser must pay any amounts owed under the contract; (2) specify the consequences of default; (3) specify the name and date of birth of the beneficiary under the contract and the terms under which another person may be substituted as the beneficiary; (4) specify the date the beneficiary is projected to graduate from high school; and (5) contain any other provisions the board considers necessary or appropriate. (c) A prepaid tuition contract may provide for the purchase of additional tuition units in subsequent years at the then-current price of the additional units. Added by Acts 2007, 80th Leg., R.S., Ch. 1281 (H.B. 3900), Sec. 1, eff. June 15, 2007.