1. (a) The substitution takes effect on the effective date stated in the substitution agreement unless, not later than the 16th day before the effective date:

   1. (1) each party entitled to receive notice of the substitution under Sections 274.103(a) and (c) provides the affiliated bank with a written objection to the substitution; or
   2. (2) a party entitled to receive notice of the substitution under Section 274.103 files a written petition in a court seeking to have the substitution denied under Section 274.107 and provides the affiliated bank with a copy of the petition.

2. (b) A substitution that is objected to under Subsection (a)(1) takes effect when:

   1. (1) one of the parties objecting to the substitution removes the party's objection in writing; or
   2. (2) the bank obtains a final court order approving the substitution.

3. (c) A substitution that is objected to under Subsection (a)(2) takes effect when:

   1. (1) the petition is withdrawn or dismissed; or
   2. (2) the court enters a final order denying the relief sought.

Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997.