| 1 | 1 | | By: Uresti S.B. No. 587 |
|---|
| 2 | 2 | | (Darby) |
|---|
| 3 | 3 | | |
|---|
| 4 | 4 | | |
|---|
| 5 | 5 | | A BILL TO BE ENTITLED |
|---|
| 6 | 6 | | AN ACT |
|---|
| 7 | 7 | | relating to jurisdiction in certain proceedings brought by the |
|---|
| 8 | 8 | | attorney general with respect to charitable trusts. |
|---|
| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|---|
| 10 | 10 | | SECTION 1. Section 123.005, Property Code, is amended to |
|---|
| 11 | 11 | | read as follows: |
|---|
| 12 | 12 | | Sec. 123.005. BREACH OF FIDUCIARY DUTY: VENUE; |
|---|
| 13 | 13 | | JURISDICTION. (a) Venue in a proceeding brought by the attorney |
|---|
| 14 | 14 | | general alleging breach of a fiduciary duty by a charitable entity |
|---|
| 15 | 15 | | or a fiduciary or managerial agent of a charitable trust shall be a |
|---|
| 16 | 16 | | court of competent jurisdiction in Travis County or in the county |
|---|
| 17 | 17 | | where the defendant resides or has its principal office. To the |
|---|
| 18 | 18 | | extent of a conflict between this subsection and any provision of |
|---|
| 19 | 19 | | the Texas Probate Code providing for venue of a proceeding brought |
|---|
| 20 | 20 | | with respect to a charitable trust created by a will that has been |
|---|
| 21 | 21 | | admitted to probate, this subsection controls. |
|---|
| 22 | 22 | | (b) A statutory probate court of Travis County has |
|---|
| 23 | 23 | | concurrent jurisdiction with any other court on which jurisdiction |
|---|
| 24 | 24 | | is conferred by Section 4A, Texas Probate Code, in a proceeding |
|---|
| 25 | 25 | | brought by the attorney general alleging breach of a fiduciary duty |
|---|
| 26 | 26 | | with respect to a charitable trust created by a will that has been |
|---|
| 27 | 27 | | admitted to probate. |
|---|
| 28 | 28 | | SECTION 2. The change in law made by this Act applies only |
|---|
| 29 | 29 | | to a proceeding commenced on or after the effective date of this |
|---|
| 30 | 30 | | Act. A proceeding commenced before the effective date of this Act |
|---|
| 31 | 31 | | is governed by the law in effect immediately before the effective |
|---|
| 32 | 32 | | date of this Act, and that law is continued in effect for that |
|---|
| 33 | 33 | | purpose. |
|---|
| 34 | 34 | | SECTION 3. This Act takes effect immediately if it receives |
|---|
| 35 | 35 | | a vote of two-thirds of all the members elected to each house, as |
|---|
| 36 | 36 | | provided by Section 39, Article III, Texas Constitution. If this |
|---|
| 37 | 37 | | Act does not receive the vote necessary for immediate effect, this |
|---|
| 38 | 38 | | Act takes effect September 1, 2011. |
|---|