# Tex. Business & Commerce Code § 7.203: LIABILITY FOR NONRECEIPT OR MISDESCRIPTION

> Texas · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.203

## Section

- **Citation:** Tex. Business & Commerce Code § 7.203
- **Heading:** LIABILITY FOR NONRECEIPT OR MISDESCRIPTION
- **Jurisdiction:** Texas
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** TX Code / Code bc / Chapter 7 / Section 7.203

## Text

A party to or purchaser for value in good faith of a document of title, other than a bill of lading, that relies upon the description of the goods in the document may recover from the issuer damages caused by the nonreceipt or misdescription of the goods, except to the extent that:

(1) the document conspicuously indicates that the issuer does not know whether all or part of the goods in fact were received or conform to the description, such as a case in which the description is in terms of marks or labels or kind, quantity, or condition, or the receipt or description is qualified by "contents, condition, and quality unknown," "said to contain," or words of similar import, if the indication is true; or

(2) the party or purchaser otherwise has notice of the nonreceipt or misdescription.

## Nearby sections

- [Tex. Business & Commerce Code § 7.101 § 7.101. SHORT TITLE.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.101.md)
- [Tex. Business & Commerce Code § 7.102 § 7.102. DEFINITIONS AND INDEX OF DEFINITIONS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.102.md)
- [Tex. Business & Commerce Code § 7.103 § 7.103. RELATION OF ARTICLE TO TREATY OR STATUTE.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.103.md)
- [Tex. Business & Commerce Code § 7.104 § 7.104. NEGOTIABLE AND NONNEGOTIABLE DOCUMENT OF TITLE.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.104.md)
- [Tex. Business & Commerce Code § 7.105 § 7.105. REISSUANCE IN ALTERNATIVE MEDIUM.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.105.md)
- [Tex. Business & Commerce Code § 7.106 § 7.106. CONTROL OF ELECTRONIC DOCUMENT OF TITLE.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.106.md)
- [Tex. Business & Commerce Code § 7.201 § 7.201. PERSON THAT MAY ISSUE A WAREHOUSE RECEIPT; STORAGE UNDER BOND.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.201.md)
- [Tex. Business & Commerce Code § 7.202 § 7.202. FORM OF WAREHOUSE RECEIPT.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.202.md)
- [Tex. Business & Commerce Code § 7.203 § 7.203. LIABILITY FOR NONRECEIPT OR MISDESCRIPTION.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.203.md)
- [Tex. Business & Commerce Code § 7.204 § 7.204. DUTY OF CARE; CONTRACTUAL LIMITATION OF WAREHOUSE'S LIABILITY.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.204.md)
- [Tex. Business & Commerce Code § 7.205 § 7.205. TITLE UNDER WAREHOUSE RECEIPT DEFEATED IN CERTAIN CASES.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.205.md)
- [Tex. Business & Commerce Code § 7.206 § 7.206. TERMINATION OF STORAGE AT WAREHOUSE'S OPTION.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.206.md)
- [Tex. Business & Commerce Code § 7.207 § 7.207. GOODS MUST BE KEPT SEPARATE; FUNGIBLE GOODS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.207.md)
- [Tex. Business & Commerce Code § 7.208 § 7.208. ALTERED WAREHOUSE RECEIPTS.](https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.208.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_TX_Cbc_C7_S7.203. Check the current official text before relying on it. Not legal advice.