Dallas Partner Kevin Twining, Co-Chair of Locke Lord’s Public Finance Practice Group, was quoted again by The Bond Buyer on Texas Senate Bill 19, new legislation that requires companies receiving state contracts to verify that they do not discriminate against a company based on its status as a firearm or ammunition entity. Commenting on the legislation’s potential impacts on the municipal bond industry, Twining indicated the new law generates an opportunity for bond offerings to fail if the Attorney General determines that a party involved fails to meet these criteria.
“Our concern — issuers, bond counsel or others — is that a counterparty can make that representation, but the AG may not agree with such representation,” Twining said. “They can say: ‘We’re not going to approve.’ Then you’ve got a failed bond issue and you have to break a lot of contracts.”
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