81R25610 PMO-D
By: Geren H.B. No. 3635
A BILL TO BE ENTITLED
AN ACT
relating to administration of a trust with cotrustees.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 113.085, Property Code, is amended by
amending Subsections (c) and (d) and adding Subsection (d-1) to
read as follows:
(c) A cotrustee shall participate in the performance of a
trustee's function unless the cotrustee:
(1) is unavailable to perform the function because of
absence, illness, suspension under this code, disqualification
under other law, or other temporary incapacity; or
(2) has delegated the performance of the function to
another trustee in accordance with the terms of the trust or
applicable law, has communicated the delegation to all other
cotrustees, and has filed the delegation in the records of the
trust.
(d) If a cotrustee is unavailable to participate in the
performance of a trustee's function for a reason described by
Subsection (c)(1) and prompt action is necessary to achieve the
efficient administration or purposes of the trust or to avoid
injury to the trust property or a beneficiary, the remaining
cotrustee or a majority of the remaining cotrustees may act for the
trust.
(d-1) If a cotrustee is unavailable to participate in the
performance of the cotrustee's function because the cotrustee has
been suspended under this code, the remaining cotrustee or
cotrustees may act for the trust as provided by the order of the
court that suspended the cotrustee or another order of that court.
SECTION 2. Section 113.085, Property Code, as amended by
this Act, applies only to a trust existing on or after September 1,
2009, regardless of the date the trust was created.
SECTION 3. This Act takes effect September 1, 2009.