By: Uresti S.B. No. 587
(In the Senate - Filed February 10, 2011; February 17, 2011,
read first time and referred to Committee on Jurisprudence;
March 23, 2011, reported favorably by the following vote: Yeas 6,
Nays 0; March 23, 2011, sent to printer.)
A BILL TO BE ENTITLED
AN ACT
relating to jurisdiction in certain proceedings brought by the
attorney general with respect to charitable trusts.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 123.005, Property Code, is amended to
read as follows:
Sec. 123.005. BREACH OF FIDUCIARY DUTY: VENUE;
JURISDICTION. (a) Venue in a proceeding brought by the attorney
general alleging breach of a fiduciary duty by a charitable entity
or a fiduciary or managerial agent of a charitable trust shall be a
court of competent jurisdiction in Travis County or in the county
where the defendant resides or has its principal office. To the
extent of a conflict between this subsection and any provision of
the Texas Probate Code providing for venue of a proceeding brought
with respect to a charitable trust created by a will that has been
admitted to probate, this subsection controls.
(b) A statutory probate court of Travis County has
concurrent jurisdiction with any other court on which jurisdiction
is conferred by Section 4A, Texas Probate Code, in a proceeding
brought by the attorney general alleging breach of a fiduciary duty
with respect to a charitable trust created by a will that has been
admitted to probate.
SECTION 2. The change in law made by this Act applies only
to a proceeding commenced on or after the effective date of this
Act. A proceeding commenced before the effective date of this Act
is governed by the law in effect immediately before the effective
date of this Act, and that law is continued in effect for that
purpose.
SECTION 3. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2011.
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