Texas 2019 - 86th Regular

Texas House Bill HB2782 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	H.B. No. 2782
	1	+	By: Wray (Senate Sponsor - Rodríguez) H.B. No. 2782
	2	+	(In the Senate - Received from the House May 13, 2019;
	3	+	May 13, 2019, read first time and referred to Committee on State
	4	+	Affairs; May 19, 2019, reported adversely, with favorable
	5	+	Committee Substitute by the following vote: Yeas 9, Nays 0;
	6	+	May 19, 2019, sent to printer.)
	7	+	Click here to see the committee vote
	8	+	COMMITTEE SUBSTITUTE FOR H.B. No. 2782 By: Zaffirini
2	9
3	10
	11	+	A BILL TO BE ENTITLED
4	12		AN ACT
5	13		relating to decedents' estates, transfer on death deeds, and
6	14		matters involving probate courts.
7		-	BE IT ENACTED BY THE LEGISLATURE OF T
8		-	HE STATE OF TEXAS:
	15	+	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	16		SECTION 1. Section 31.001, Estates Code, is amended to read
10	17		as follows:
11	18		Sec. 31.001. SCOPE OF "PROBATE PROCEEDING" FOR PURPOSES OF
12	19		CODE. The term "probate proceeding," as used in this code,
13	20		includes:
14	21		(1) the probate of a will, with or without
15	22		administration of the estate;
16	23		(2) the issuance of letters testamentary and of
17	24		administration;
18	25		(3) an heirship determination or small estate
19	26		affidavit, community property administration, and homestead and
20	27		family allowances;
21	28		(4) an application, petition, motion, or action
22	29		regarding the probate of a will or an estate administration,
23	30		including a claim for money owed by the decedent;
24	31		(5) a claim arising from an estate administration and
25	32		any action brought on the claim;
26	33		(6) the settling of a personal representative's
27	34		account of an estate and any other matter related to the settlement,
28	35		partition, or distribution of an estate; [and]
29	36		(7) a will construction suit; and
30	37		(8) a will modification or reformation proceeding
31	38		under Subchapter J, Chapter 255.
32	39		SECTION 2. Chapter 111, Estates Code, is amended by adding
33	40		Subchapter C to read as follows:
34	41		SUBCHAPTER C. PROVISION OF CERTAIN INFORMATION ON DEATH
35	42		Sec. 111.101. DEFINITIONS. In this subchapter:
36	43		(1) "Contracting third party" has the meaning assigned
37	44		by Section 111.051.
38	45		(2) "Deceased party" means a deceased:
39	46		(A) party to a multiple-party account governed by
40	47		Chapter 113;
41	48		(B) owner of property subject to a possible
42	49		nontestamentary transfer as described by Section 111.051(1); or
43	50		(C) insured under an insurance contract.
44	51		Sec. 111.102. PROVISION OF INFORMATION TO PERSONAL
45	52		REPRESENTATIVE OF DECEASED PARTY. To the extent not prohibited by
46	53		federal or other state law, a contracting third party shall, on
47	54		request, provide to the personal representative of a deceased
48	55		party's estate all information the contracting third party would
49	56		have provided to the deceased party as of the date of the deceased
50	57		party's death, if the deceased party had requested the information,
51	58		without regard to whether the deceased party's estate has an
52	59		interest in the multiple-party account, the property subject to a
53	60		possible nontestamentary transfer, or the insurance contract.
54	61		SECTION 3. Section 113.252(c), Estates Code, is amended to
55	62		read as follows:
56	63		(c) Any proceeding by the personal representative of a
57	64		deceased party to assert liability under Subsection (b):
58	65		(1) may be commenced only if the personal
59	66		representative receives a written demand by a surviving spouse, a
60	67		creditor, or a person acting on behalf of a minor child of the
61	68		deceased party; and
62	69		(2) must be commenced on or before the second
63	70		anniversary of the death of the deceased party.
64	71		SECTION 4. Section 114.102, Estates Code, is amended to
65	72		read as follows:
66	73		Sec. 114.102. EFFECT OF SUBSEQUENT CONVEYANCE ON TRANSFER
67	74		ON DEATH DEED. An otherwise valid transfer on death deed is void as
68	75		to a subsequent grantee of an [any] interest in real property that
69	76		is conveyed by the transferor during the transferor's lifetime
70	77		after the transfer on death deed is executed and recorded if:
71	78		(1) a valid instrument conveying the interest or a
72	79		memorandum sufficient to give notice of the conveyance of the
73	80		interest is recorded in the deed records in the county clerk's
74	81		office of the same county in which the transfer on death deed is
75	82		recorded; and
76	83		(2) the recording of the instrument or memorandum
77	84		occurs before the transferor's death.
78	85		SECTION 5. Section 201.003(c), Estates Code, is amended to
79	86		read as follows:
80	87		(c) If the deceased spouse is survived by a child or other
81	88		descendant who is not also a child or other descendant of the
82	89		surviving spouse, the deceased spouse's undivided one-half
83	90		interest in the community estate [one-half of the community estate
84	91		is retained by the surviving spouse and the other one-half] passes
85	92		to the deceased spouse's children or other descendants. The
86	93		descendants inherit only the portion of that estate to which they
87	94		would be entitled under Section 201.101. In every case, the
88	95		community estate passes charged with the debts against the
89	96		community estate.
90	97		SECTION 6. Section 202.151, Estates Code, is amended by
91	98		amending Subsection (b) and adding Subsection (c) to read as
92	99		follows:
93	100		(b) Except as provided by Subsection (c), [Testimony] in a
94	101		proceeding to declare heirship, testimony regarding a decedent's
95	102		heirs and family history must be taken from two disinterested and
96	103		credible witnesses in open court, by deposition in accordance with
97	104		Section 51.203, or in accordance with the Texas Rules of Civil
98	105		Procedure.
99	106		(c) If it is shown to the court's satisfaction in a
100	107		proceeding to declare heirship that, after a diligent search was
101	108		made, only one disinterested and credible witness can be found who
102	109		can make the required proof in the proceeding, the testimony of that
103	110		witness must be taken in open court, by deposition in accordance
104	111		with Section 51.203, or in accordance with the Texas Rules of Civil
105	112		Procedure.
106	113		SECTION 7. The heading to Chapter 254, Estates Code, is
107	114		amended to read as follows:
108	115		CHAPTER 254. [VALIDITY OF] CERTAIN PROVISIONS IN, AND CONTRACTS
109	116		RELATING TO, WILLS
110	117		SECTION 8. Chapter 254, Estates Code, is amended by adding
111	118		Section 254.006 to read as follows:
112	119		Sec. 254.006. DESIGNATION OF ADMINISTRATOR. (a) A
113	120		testator may grant in a will to an executor named in the will or to
114	121		another person identified by name, office, or function the
115	122		authority to designate one or more persons to serve as
116	123		administrator of the testator's estate.
117	124		(b) To be effective, a designation of an administrator of a
118	125		testator's estate as authorized by a will under Subsection (a) must
119	126		be in writing and acknowledged before an officer authorized to take
120	127		acknowledgments and administer oaths.
121	128		(c) Unless the will provides otherwise, a person designated
122	129		to serve as administrator of a testator's estate as provided by
123	130		Subsection (a) may serve only if:
124	131		(1) each executor named in the testator's will:
125	132		(A) is deceased;
126	133		(B) is disqualified to serve as executor; or
127	134		(C) indicates by affidavit filed with the county
128	135		clerk of the county in which the application for letters
129	136		testamentary is filed or, if an application has not been filed, a
130	137		county described by Section 33.001(a)(1) or (2) the executor's
131	138		inability or unwillingness to serve as executor;
132	139		(2) the designation is effective as provided by
133	140		Subsection (b); and
134	141		(3) the person is not disqualified from serving under
135	142		Section 304.003.
136	143		(d) Unless the will or designation provides otherwise, a
137	144		person designated as administrator of a testator's estate as
138	145		provided by this section has the same rights, powers, and duties as
139	146		an executor named in the will, including the right to serve as an
140	147		independent administrator with the power to sell property without
141	148		the need for consent of the distributees under Section 401.002 or
142	149		401.006.
143	150		SECTION 9. Section 255.152, Estates Code, is amended by
144	151		adding Subsection (d) to read as follows:
145	152		(d) Unless the will provides otherwise, Subsections (a),
146	153		(b), and (c) do not apply to a devise to a charitable trust, as
147	154		defined by Section 123.001, Property Code.
148	155		SECTION 10. Subchapter J, Chapter 255, Estates Code, is
149	156		amended by adding Section 255.456 to read as follows:
150	157		Sec. 255.456. JURISDICTION AND TRANSFER OF PROCEEDING. (a)
151	158		To the extent that this section conflicts with other provisions of
152	159		this title, this section prevails.
153	160		(b) In a county in which there is no statutory probate court
154	161		or county court at law exercising original probate jurisdiction, if
155	162		a personal representative petitions the county court to modify or
156	163		reform the terms of a will, the judge of the county court may, on the
157	164		judge's own motion, or shall, on the motion of any party to the
158	165		proceeding, according to the motion:
159	166		(1) request the assignment of a statutory probate
160	167		court judge to hear the proceeding, as provided by Section 25.0022,
161	168		Government Code; or
162	169		(2) transfer the proceeding to the district court,
163	170		which may then hear the proceeding as if originally filed in the
164	171		district court.
165	172		(c) A district court to which a proceeding is transferred
166	173		under Subsection (b) has the jurisdiction and authority granted to
167	174		a statutory probate court by Subtitle A.
168	175		(d) If a party to a modification or reformation proceeding
169	176		files a motion for the assignment of a statutory probate court judge
170	177		to hear the proceeding before the judge of the county court
171	178		transfers the proceeding to a district court under this section,
172	179		the county judge shall grant the motion for the assignment of a
173	180		statutory probate court judge and may not transfer the proceeding
174	181		to the district court unless the party withdraws the motion.
175	182		(e) A statutory probate court judge assigned to a proceeding
176	183		under this section has the jurisdiction and authority granted to a
177	184		statutory probate court by Subtitle A.
178	185		(f) In a county in which there is no statutory probate
179	186		court, but in which there is a county court at law exercising
180	187		original probate jurisdiction, if a personal representative
181	188		petitions the county court to modify or reform the terms of a will,
182	189		the judge of the county court may, on the judge's own motion, or
183	190		shall, on the motion of any party to the proceeding, transfer the
184	191		proceeding to the county court at law, which may then hear the
185	192		proceeding as if originally filed in the county court at law.
186	193		(g) The county court shall continue to exercise
187	194		jurisdiction over the management of the estate, other than the
188	195		modification or reformation proceeding, until final disposition of
189	196		the modification or reformation proceeding is made in accordance
190	197		with this subchapter.
191	198		(h) On resolution of the modification or reformation
192	199		proceeding, the statutory probate court judge assigned to hear the
193	200		proceeding or the district court or county court at law to which the
194	201		proceeding is transferred under this section shall return the
195	202		matter to the county court for further proceedings not inconsistent
196	203		with the orders of the statutory probate court, district court, or
197	204		county court at law, as applicable.
198	205		(i) The clerk of a district court to which a modification or
199	206		reformation proceeding is transferred under this section may
200	207		perform in relation to the proceeding any function a county clerk
201	208		may perform with respect to that type of matter.
202	209		SECTION 11. Section 256.051(a), Estates Code, is amended to
203	210		read as follows:
204	211		(a) An executor named in a will, an administrator designated
205	212		as authorized under Section 254.006, an independent administrator
206	213		designated by all of the distributees of the decedent under Section
207	214		401.002(b), or an interested person may file an application with
208	215		the court for an order admitting a will to probate, whether the will
209	216		is:
210	217		(1) [written or unwritten;
211	218		[(2)] in the applicant's possession or not;
212	219		(2) [(3)] lost;
213	220		(3) [(4)] destroyed; or
214	221		(4) [(5)] outside of this state.
215	222		SECTION 12. Section 256.052(a), Estates Code, is amended to
216	223		read as follows:
217	224		(a) An application for the probate of a will must state and
218	225		aver the following to the extent each is known to the applicant or
219	226		can, with reasonable diligence, be ascertained by the applicant:
220	227		(1) each applicant's name and domicile;
221	228		(1-a) the last three numbers of each applicant's
222	229		driver's license number and social security number, if the
223	230		applicant has been issued one [applicable];
224	231		(2) the testator's name, domicile, and, if known, age,
225	232		on the date of the testator's death;
226	233		(2-a) the last three numbers of the testator's
227	234		driver's license number and social security number;
228	235		(3) the fact, date, and place of the testator's death;
229	236		(4) facts showing that the court with which the
230	237		application is filed has venue;
231	238		(5) that the testator owned property, including a
232	239		statement generally describing the property and the property's
233	240		probable value;
234	241		(6) the date of the will;
235	242		(7) the name, state of residence, and physical address
236	243		where service can be had of the executor named in the will or other
237	244		person to whom the applicant desires that letters be issued;
238	245		(8) the name of each subscribing witness to the will,
239	246		if any;
240	247		(9) whether one or more children born to or adopted by
241	248		the testator after the testator executed the will survived the
242	249		testator and, if so, the name of each of those children;
243	250		(10) whether a marriage of the testator was ever
244	251		dissolved after the will was made and, if so, when and from whom;
245	252		(11) whether the state, a governmental agency of the
246	253		state, or a charitable organization is named in the will as a
247	254		devisee; and
248	255		(12) that the executor named in the will, the
249	256		applicant, or another person to whom the applicant desires that
250	257		letters be issued is not disqualified by law from accepting the
251	258		letters.
252	259		SECTION 13. Section 256.053(b), Estates Code, is amended to
253	260		read as follows:
254	261		(b) A will filed under Subsection (a) must remain in the
255	262		custody of the county clerk unless removed from the clerk's
256	263		custody:
257	264		(1) by a court order under Section 256.202; or
258	265		(2) by a court order issued under Subchapter C,
259	266		Chapter 33, in which case the clerk shall deliver the will directly
260	267		to the clerk of the court to which the probate proceeding is
261	268		transferred.
262	269		SECTION 14. Section 256.202, Estates Code, is amended to
263	270		read as follows:
264	271		Sec. 256.202. CUSTODY OF PROBATED WILL. An original will
265	272		and the probate of the will shall be deposited in the office of the
266	273		county clerk of the county in which the will was probated. The will
267	274		and probate of the will shall remain in that office except during a
268	275		time the will and the probate of the will are removed for inspection
269	276		to another place on an order of the court where the will was
270	277		probated. If that court orders the original will to be removed to
271	278		another place for inspection:
272	279		(1) the person removing the will shall give a receipt
273	280		for the will; [and]
274	281		(2) the court clerk shall make and retain a copy of the
275	282		will; and
276	283		(3) the will shall be delivered back to the office of
277	284		the county clerk of the county in which the will was probated after
278	285		the inspection is completed.
279	286		SECTION 15. Section 257.051(a), Estates Code, is amended to
280	287		read as follows:
281	288		(a) An application for the probate of a will as a muniment of
282	289		title must state and aver the following to the extent each is known
283	290		to the applicant or can, with reasonable diligence, be ascertained
284	291		by the applicant:
285	292		(1) each applicant's name and domicile;
286	293		(1-a) the last three numbers of each applicant's
287	294		driver's license number and social security number, if the
288	295		applicant has been issued one [applicable];
289	296		(2) the testator's name, domicile, and, if known, age,
290	297		on the date of the testator's death;
291	298		(2-a) the last three numbers of the testator's
292	299		driver's license number and social security number;
293	300		(3) the fact, date, and place of the testator's death;
294	301		(4) facts showing that the court with which the
295	302		application is filed has venue;
296	303		(5) that the testator owned property, including a
297	304		statement generally describing the property and the property's
298	305		probable value;
299	306		(6) the date of the will;
300	307		(7) the name, state of residence, and physical address
301	308		where service can be had of the executor named in the will;
302	309		(8) the name of each subscribing witness to the will,
303	310		if any;
304	311		(9) whether one or more children born to or adopted by
305	312		the testator after the testator executed the will survived the
306	313		testator and, if so, the name of each of those children;
307	314		(10) that the testator's estate does not owe an unpaid
308	315		debt, other than any debt secured by a lien on real estate, or that
309	316		for another reason there is no necessity for administration of the
310	317		estate;
311	318		(11) whether a marriage of the testator was ever
312	319		dissolved after the will was made and, if so, when and from whom;
313	320		and
314	321		(12) whether the state, a governmental agency of the
315	322		state, or a charitable organization is named in the will as a
316	323		devisee.
317	324		SECTION 16. Chapter 257, Estates Code, is amended by adding
318	325		Subchapter D to read as follows:
319	326		SUBCHAPTER D. SUBSEQUENT ESTATE ADMINISTRATION
320	327		Sec. 257.151. APPOINTMENT OF PERSONAL REPRESENTATIVE AND
321	328		OPENING OF ADMINISTRATION AFTER WILL ADMITTED TO PROBATE AS
322	329		MUNIMENT OF TITLE. A court order admitting a will to probate as a
323	330		muniment of title under this chapter does not preclude the
324	331		subsequent appointment of a personal representative and opening of
325	332		an administration for the testator's estate if:
326	333		(1) an application under Chapter 301 is filed not
327	334		later than the fourth anniversary of the testator's death; or
328	335		(2) the administration of the testator's estate is
329	336		necessary for a reason provided by Section 301.002(b).
330	337		Sec. 257.152. COMPUTATION OF CERTAIN PERIODS. If a
331	338		personal representative is appointed for a testator's estate after
332	339		the testator's will has been admitted to probate as a muniment of
333	340		title, the periods prescribed by the following sections begin to
334	341		run from the date of qualification of the personal representative
335	342		rather than from the date the will is admitted to probate as a
336	343		muniment of title:
337	344		(1) Section 306.001;
338	345		(2) Section 306.002(a)(2)(B)(ii);
339	346		(3) Section 308.002; and
340	347		(4) Section 308.004.
341	348		SECTION 17. Section 301.051, Estates Code, is amended to
342	349		read as follows:
343	350		Sec. 301.051. ELIGIBLE APPLICANTS FOR LETTERS. An
344	351		executor named in a will, an administrator designated as authorized
345	352		under Section 254.006, an independent administrator designated by
346	353		all of the distributees of the decedent under Section 401.002(b) or
347	354		401.003, or an interested person may file an application with the
348	355		court for:
349	356		(1) the appointment of the executor named in the will;
350	357		(1-a) the appointment of the designated
351	358		administrator; or
352	359		(2) the appointment of an administrator, if:
353	360		(A) there is a will, but:
354	361		(i) no executor is named in the will; [or]
355	362		(ii) the executor named in the will is
356	363		disqualified, refuses to serve, is dead, or resigns;
357	364		(iii) a person designated to serve as
358	365		administrator under Section 254.006 is disqualified, refuses to
359	366		serve, is dead, or resigns; or
360	367		(iv) an authorized person other than the
361	368		executor has not designated any person to serve as administrator
362	369		under Section 254.006 as of the date of the filing of the
363	370		application and the applicant notifies the court that the
364	371		authorized person has no intention of doing so; or
365	372		(B) there is no will.
366	373		SECTION 18. Section 301.052(a), Estates Code, is amended to
367	374		read as follows:
368	375		(a) An application for letters of administration when no
369	376		will is alleged to exist must state:
370	377		(1) the applicant's name, domicile, and, if any,
371	378		relationship to the decedent;
372	379		(1-a) the last three numbers of:
373	380		(A) the applicant's driver's license number, if
374	381		the applicant has been issued one [applicable]; and
375	382		(B) the applicant's social security number, if
376	383		the applicant has been issued one [applicable];
377	384		(2) the decedent's name and that the decedent died
378	385		intestate;
379	386		(2-a) if known by the applicant at the time the
380	387		applicant files the application, the last three numbers of the
381	388		decedent's driver's license number and social security number;
382	389		(3) the fact, date, and place of the decedent's death;
383	390		(4) facts necessary to show that the court with which
384	391		the application is filed has venue;
385	392		(5) whether the decedent owned property and, if so,
386	393		include a statement of the property's probable value;
387	394		(6) the name and address, if known, whether the heir is
388	395		an adult or minor, and the relationship to the decedent of each of
389	396		the decedent's heirs;
390	397		(7) if known by the applicant at the time the applicant
391	398		files the application, whether one or more children were born to or
392	399		adopted by the decedent and, if so, the name, birth date, and place
393	400		of birth of each child;
394	401		(8) if known by the applicant at the time the applicant
395	402		files the application, whether the decedent was ever divorced and,
396	403		if so, when and from whom;
397	404		(9) that a necessity exists for administration of the
398	405		decedent's estate and an allegation of the facts that show that
399	406		necessity; and
400	407		(10) that the applicant is not disqualified by law
401	408		from acting as administrator.
402	409		SECTION 19. Section 301.151, Estates Code, as amended by
403	410		Chapters 576 (H.B. 3160) and 949 (S.B. 995), Acts of the 84th
404	411		Legislature, Regular Session, 2015, is reenacted and amended to
405	412		read as follows:
406	413		Sec. 301.151. GENERAL PROOF REQUIREMENTS. An applicant
407	414		for the issuance of letters testamentary or of administration of an
408	415		estate must prove to the court's satisfaction that:
409	416		(1) the person whose estate is the subject of the
410	417		application is dead;
411	418		(2) except as provided by Sections 301.002(b)(1) and
412	419		(2) [Section 301.002(b)] with respect to administration necessary
413	420		to receive or recover property or to prevent real property of the
414	421		estate from becoming a danger [due a decedent's estate], and
415	422		Section 501.006 with respect to a foreign will, [except as provided
416	423		by Section 301.002(b)(2),] four years have not elapsed since the
417	424		date of the decedent's death and before the application;
418	425		(3) the court has jurisdiction and venue over the
419	426		estate;
420	427		(4) citation has been served and returned in the
421	428		manner and for the period required by this title; and
422	429		(5) the person for whom letters testamentary or of
423	430		administration are sought is entitled by law to the letters and is
424	431		not disqualified.
425	432		SECTION 20. Section 304.001(a), Estates Code, is amended to
426	433		read as follows:
427	434		(a) The court shall grant letters testamentary or of
428	435		administration to persons qualified to act, in the following order:
429	436		(1) the person named as executor in the decedent's
430	437		will;
431	438		(1-a) the person designated as administrator as
432	439		authorized under Section 254.006;
433	440		(2) the decedent's surviving spouse;
434	441		(3) the principal devisee of the decedent;
435	442		(4) any devisee of the decedent;
436	443		(5) the next of kin of the decedent;
437	444		(6) a creditor of the decedent;
438	445		(7) any person of good character residing in the
439	446		county who applies for the letters;
440	447		(8) any other person who is not disqualified under
441	448		Section 304.003; and
442	449		(9) any appointed public probate administrator.
443	450		SECTION 21. Section 309.056, Estates Code, is amended by
444	451		adding Subsection (e) to read as follows:
445	452		(e) Any extension granted by a court of the period in which
446	453		to file an inventory, appraisement, and list of claims prescribed
447	454		by Section 309.051 is considered an extension of the filing period
448	455		for an affidavit under this section.
449	456		SECTION 22. Subchapter C, Chapter 351, Estates Code, is
450	457		amended by adding Section 351.106 to read as follows:
451	458		Sec. 351.106. DIGITAL ASSETS. A personal representative
452	459		of a decedent's estate may apply for and obtain a court order,
453	460		either at the time the personal representative is appointed or at
454	461		any time before the administration of the estate is closed, that:
455	462		(1) directs disclosure of the content of electronic
456	463		communications of the decedent to the personal representative as
457	464		provided by Section 2001.101 and that contains any court finding
458	465		described by Section 2001.101(b)(3);
459	466		(2) with respect to a catalog of electronic
460	467		communications sent or received by the decedent and other digital
461	468		assets of the decedent, other than the content of an electronic
462	469		communication, contains any court finding described by Section
463	470		2001.102(b)(4); or
464	471		(3) directs under Section 2001.231 a custodian to
465	472		comply with a request to disclose digital assets under Chapter
466	473		2001.
467	474		SECTION 23. Sections 351.152(a) and (b), Estates Code, are
468	475		amended to read as follows:
469	476		(a) A [Except as provided by Subsection (b) and subject only
470	477		to the approval of the court in which the estate is being
471	478		administered, a] personal representative may, without court
472	479		approval, convey or enter into a contract to convey for attorney
473	480		services a contingent interest in any property sought to be
474	481		recovered, not to exceed a one-third interest in the property.
475	482		(b) A personal representative, including an independent
476	483		executor or independent administrator, may convey or enter into a
477	484		contract to convey for attorney services a contingent interest in
478	485		any property sought to be recovered under this subchapter in an
479	486		amount that exceeds a one-third interest in the property only on the
480	487		approval of the court in which the estate is being administered.
481	488		The court must approve a contract [entered into] or conveyance
482	489		described by [made under] this subsection [section] before an
483	490		attorney performs any legal services. A contract entered into or a
484	491		conveyance made in violation of this subsection [section] is void
485	492		unless the court ratifies or reforms the contract or documents
486	493		relating to the conveyance to the extent necessary to make the
487	494		contract or conveyance meet the requirements of this subsection
488	495		[section].
489	496		SECTION 24. The heading to Section 352.052, Estates Code,
490	497		is amended to read as follows:
491	498		Sec. 352.052. ALLOWANCE FOR DEFENSE OR SUCCESSFUL CONTEST
492	499		OF WILL.
493	500		SECTION 25. Section 352.052, Estates Code, is amended by
494	501		adding Subsection (c) to read as follows:
495	502		(c) In this subsection, "interested person" does not
496	503		include a creditor or any other having a claim against the estate.
497	504		An interested person who, in good faith and with just cause,
498	505		successfully prosecutes a proceeding to contest the validity of a
499	506		will or alleged will offered for or admitted to probate may be
500	507		allowed out of the estate the person's necessary expenses and
501	508		disbursements in that proceeding, including reasonable attorney's
502	509		fees.
503	510		SECTION 26. Sections 355.102(b) and (c), Estates Code, are
504	511		amended to read as follows:
505	512		(b) Class 1 claims are composed of funeral expenses and
506	513		expenses of the decedent's last illness, including claims for
507	514		reimbursement of those expenses, for a reasonable amount approved
508	515		by the court, not to exceed [a total of] $15,000 for funeral
509	516		expenses and $15,000 for expenses of the decedent's last
510	517		illness. Any excess shall be classified and paid as other
511	518		unsecured claims.
512	519		(c) Class 2 claims are composed of:
513	520		(1) expenses of administration;
514	521		(2) [,] expenses incurred in preserving, safekeeping,
515	522		and managing the estate, including fees and expenses awarded under
516	523		Section 352.052;
517	524		(3) [, and] unpaid expenses of administration awarded
518	525		in a guardianship of the decedent; and
519	526		(4) for an estate with respect to which a public
520	527		probate administrator has taken any action under Chapter 455, court
521	528		costs and commissions to which the administrator is entitled under
522	529		Subchapter A, Chapter 352.
523	530		SECTION 27. Section 355.103, Estates Code, is amended to
524	531		read as follows:
525	532		Sec. 355.103. PRIORITY OF CERTAIN PAYMENTS. When a
526	533		personal representative has estate funds in the representative's
527	534		possession, the representative shall pay in the following order:
528	535		(1) funeral expenses in an amount not to exceed
529	536		$15,000 and expenses of the decedent's last illness[,] in an amount
530	537		not to exceed $15,000;
531	538		(2) allowances made to the decedent's surviving spouse
532	539		and children, or to either the surviving spouse or children;
533	540		(3) expenses of administration and expenses incurred
534	541		in preserving, safekeeping, and managing the estate; and
535	542		(4) other claims against the estate in the order of the
536	543		claims' classifications.
537	544		SECTION 28. Sections 355.1551(a) and (b), Estates Code, are
538	545		amended to read as follows:
539	546		(a) A [claim] holder of a claim allowed and approved under
540	547		Section 355.151(a)(2) who elects to take possession or sell the
541	548		property securing the debt before final maturity in satisfaction of
542	549		the [claim] holder's claim must do so within a reasonable time, as
543	550		determined by the court.
544	551		(b) If the claim holder fails to take possession or sell
545	552		secured property within the [a reasonable] time determined by the
546	553		court under Subsection (a), on application by the personal
547	554		representative, the court may require the sale of the property free
548	555		of the lien and apply the proceeds to the payment of the whole debt
549	556		in full satisfaction of the claim.
550	557		SECTION 29. Sections 356.105(a) and (b), Estates Code, are
551	558		amended to read as follows:
552	559		(a) A sale of estate personal property shall be reported to
553	560		the court. The laws regulating the approval [confirmation] or
554	561		disapproval of a sale of real estate apply to the sale, except that
555	562		a conveyance is not required.
556	563		(b) The court's order approving [confirming] the sale of
557	564		estate personal property:
558	565		(1) vests the right and title of the intestate's estate
559	566		in the purchaser who has complied with the terms of the sale; and
560	567		(2) is prima facie evidence that all requirements of
561	568		the law in making the sale have been met.
562	569		SECTION 30. Subchapters I and J, Chapter 356, Estates Code,
563	570		are amended to read as follows:
564	571		SUBCHAPTER I. SALE OF REAL ESTATE: PUBLIC AUCTION [SALE]
565	572		Sec. 356.401. METHOD OF SALE; REQUIRED NOTICE. (a) A
566	573		public sale of real estate of an estate shall be made at public
567	574		auction. Except as otherwise provided by Section 356.403(c), the
568	575		personal representative of an estate shall advertise a public
569	576		auction [sale] of real estate of the estate by a notice published in
570	577		the county in which the estate is pending, as provided by this title
571	578		for publication of notices or citations. The notice must:
572	579		(1) include a reference to the order of sale;
573	580		(2) include the time, place, and required terms of
574	581		sale; and
575	582		(3) briefly describe the real estate to be sold.
576	583		(b) The notice required by Subsection (a) is not required to
577	584		contain field notes, but if the real estate to be sold is rural
578	585		property, the notice must include:
579	586		(1) the name of the original survey of the real estate;
580	587		(2) the number of acres comprising the real estate;
581	588		(3) the location of the real estate in the county; and
582	589		(4) any name by which the real estate is generally
583	590		known.
584	591		Sec. 356.402. COMPLETION [METHOD] OF AUCTION [SALE]. A
585	592		public auction [sale] of real estate of an estate shall be completed
586	593		on the bid of [made at public auction to] the highest bidder.
587	594		Sec. 356.403. TIME AND PLACE OF AUCTION [SALE]. (a) Except
588	595		as provided by Subsection (c), a public auction [sale] of real
589	596		estate of an estate shall be held [made] at:
590	597		(1) the courthouse door in the county in which the real
591	598		estate is located, or if the real estate is located in more than one
592	599		county, the courthouse door in any county in which the real estate
593	600		is located [proceedings are pending]; or
594	601		(2) another place in a [that] county described by
595	602		Subdivision (1) at which auctions [sales] of real estate are
596	603		specifically authorized to be held as designated by the
597	604		commissioners court of the county under Section 51.002(a), Property
598	605		Code [made].
599	606		(b) Except as otherwise provided by this subsection, the
600	607		auction [The sale] must occur between 10 a.m. and 4 p.m. on the
601	608		first Tuesday of the month after publication of notice has been
602	609		completed. If the first Tuesday of the month occurs on January 1 or
603	610		July 4, the auction must occur between 10 a.m. and 4 p.m. on the
604	611		first Wednesday of the month.
605	612		(c) If the court considers it advisable, the court may order
606	613		the auction [sale] to be held [made] in the county in which the
607	614		proceedings are pending [real estate is located], in which event
608	615		notice shall be published both in that county and in the county in
609	616		which the real estate is located [proceedings are pending].
610	617		Sec. 356.404. CONTINUANCE OF AUCTION [SALE]. (a) A public
611	618		auction [sale] of real estate of an estate that is not completed on
612	619		the day advertised may be continued from day to day by an oral
613	620		public announcement of the continuance made at the conclusion of
614	621		the auction [sale] each day.
615	622		(b) A continued auction [sale] must occur within the hours
616	623		prescribed by Section 356.403(b).
617	624		(c) The continuance of an auction [a sale] under this
618	625		section shall be shown in the report [of the sale] made to the court
619	626		under Section 356.551.
620	627		Sec. 356.405. FAILURE OF BIDDER TO COMPLY. (a) If a person
621	628		bids off real estate of the estate offered [for sale] at public
622	629		auction and fails to comply with the terms of the bid [sale], the
623	630		property shall be readvertised and auctioned [sold] without any
624	631		further order.
625	632		(b) The person defaulting on a bid as described by
626	633		Subsection (a) is liable for payment to the personal representative
627	634		of the estate, for the estate's benefit, of:
628	635		(1) 10 percent of the amount of the bid; and
629	636		(2) the amount of any deficiency in price on the second
630	637		auction [sale].
631	638		(c) The personal representative may recover the amounts
632	639		under Subsection (b) by suit in any court in the county in which the
633	640		auction [sale] was made that has jurisdiction of the amount
634	641		claimed.
635	642		SUBCHAPTER J. SALE OF REAL ESTATE: CONTRACT FOR PRIVATE SALE
636	643		Sec. 356.451. TERMS OF [MANNER OF] SALE. The personal
637	644		representative of an estate may enter into a contract for the [A]
638	645		private sale of real estate of the estate [shall be] made in the
639	646		manner the court directs in the order of sale. Unless the court
640	647		directs otherwise, additional advertising, notice, or citation
641	648		concerning the sale is not required.
642	649		SECTION 31. Section 356.502, Estates Code, is amended to
643	650		read as follows:
644	651		Sec. 356.502. PROCEDURE. The procedure for the sale of an
645	652		easement or right-of-way authorized under Section 356.501 is the
646	653		same as the procedure provided by law for a private sale of estate
647	654		real property by contract [at private sale].
648	655		SECTION 32. The heading to Subchapter L, Chapter 356,
649	656		Estates Code, is amended to read as follows:
650	657		SUBCHAPTER L. APPROVAL [CONFIRMATION] OF SALE OF REAL PROPERTY AND
651	658		TRANSFER OF TITLE
652	659		SECTION 33. Section 356.551, Estates Code, is amended to
653	660		read as follows:
654	661		Sec. 356.551. REPORT. A successful bid or contract for the
655	662		sale of estate real property shall be reported to the court ordering
656	663		the sale not later than the 30th day after the date the bid [sale] is
657	664		made or the property is placed under contract. The report must:
658	665		(1) be sworn to, in writing, and filed with the clerk;
659	666		(2) include:
660	667		(A) the date of the order of sale;
661	668		(B) a description of the property being sold;
662	669		(C) the time and place of the auction or date the
663	670		property is placed under contract [sale];
664	671		(D) the purchaser's name;
665	672		(E) the amount of the successful bid or the
666	673		purchase price for [which] each parcel of property or interest in
667	674		property auctioned or placed under contract [was sold];
668	675		(F) the terms of the sale;
669	676		(G) whether the proposed sale of the property was
670	677		made at public auction or by contract [privately]; and
671	678		(H) whether the purchaser is ready to comply with
672	679		the order of sale; and
673	680		(3) be noted on the probate docket.
674	681		SECTION 34. Section 356.552, Estates Code, is amended to
675	682		read as follows:
676	683		Sec. 356.552. ACTION OF COURT ON REPORT [OF SALE]. After
677	684		the expiration of five days from the date a report [of sale] is
678	685		filed under Section 356.551, the court shall:
679	686		(1) inquire into the manner in which the auction or
680	687		contract described in the report [sale] was made;
681	688		(2) hear evidence in support of or against the report;
682	689		and
683	690		(3) determine the sufficiency or insufficiency of the
684	691		personal representative's general bond, if any has been required
685	692		and given.
686	693		SECTION 35. Section 356.553, Estates Code, is amended to
687	694		read as follows:
688	695		Sec. 356.553. APPROVAL [CONFIRMATION] OF SALE WHEN BOND NOT
689	696		REQUIRED. If the personal representative of an estate is not
690	697		required by this title to give a general bond, the court may approve
691	698		[confirm] the sale of estate real property in the manner provided by
692	699		Section 356.556(a) if the court finds that the sale is satisfactory
693	700		and made in accordance with law.
694	701		SECTION 36. Sections 356.554(a), (b), and (c), Estates
695	702		Code, are amended to read as follows:
696	703		(a) If the personal representative of an estate is required
697	704		by this title to give a general bond, before the court approves
698	705		[confirms] any sale of real estate, the court shall determine
699	706		whether the bond is sufficient to protect the estate after the sale
700	707		proceeds are received.
701	708		(b) If the court finds that the general bond is sufficient,
702	709		the court may approve [confirm] the sale as provided by Section
703	710		356.556(a).
704	711		(c) If the court finds that the general bond is
705	712		insufficient, the court may not approve [confirm] the sale until
706	713		the general bond is increased to the amount required by the court,
707	714		or an additional bond is given, and approved by the court.
708	715		SECTION 37. Section 356.556, Estates Code, is amended to
709	716		read as follows:
710	717		Sec. 356.556. APPROVAL [CONFIRMATION] OR DISAPPROVAL
711	718		ORDER. (a) If the court is satisfied that the proposed sale of real
712	719		property [a sale] reported under Section 356.551 is [was] for a fair
713	720		price, properly made, and in conformity with law, and the court has
714	721		approved any increased or additional bond that the court found
715	722		necessary to protect the estate, the court shall enter an order:
716	723		(1) approving [confirming] the sale;
717	724		(2) showing conformity with this chapter;
718	725		(3) detailing the terms of the sale; and
719	726		(4) authorizing the personal representative to convey
720	727		the property on the purchaser's compliance with the terms of the
721	728		sale.
722	729		(b) If the court is not satisfied that the proposed sale of
723	730		real property is [sale was] for a fair price, properly made, and in
724	731		conformity with law, the court shall enter an order setting aside
725	732		the bid or contract [sale] and ordering a new sale to be made, if
726	733		necessary.
727	734		(c) The court's action in approving [confirming] or
728	735		disapproving a report under Section 356.551 [of a sale] has the
729	736		effect of a final judgment. Any person interested in the estate or
730	737		in the sale is entitled to have an order entered under this section
731	738		reviewed as in other final judgments in probate proceedings.
732	739		SECTION 38. Section 356.557, Estates Code, is amended to
733	740		read as follows:
734	741		Sec. 356.557. DEED. Real estate of an estate that is sold
735	742		shall be conveyed by a proper deed that refers to and identifies the
736	743		court order approving [confirming] the sale. The deed:
737	744		(1) vests in the purchaser all right and title of the
738	745		estate to, and all interest of the estate in, the property; and
739	746		(2) is prima facie evidence that the sale has met all
740	747		applicable requirements of the law.
741	748		SECTION 39. Section 356.558(a), Estates Code, is amended to
742	749		read as follows:
743	750		(a) After the court has approved [confirmed] a sale and the
744	751		purchaser has complied with the terms of the sale, the personal
745	752		representative of the estate shall promptly execute and deliver to
746	753		the purchaser a proper deed conveying the property.
747	754		SECTION 40. Section 401.005, Estates Code, is amended by
748	755		adding Subsection (a-1) to read as follows:
749	756		(a-1) If a decedent's will does not contain language
750	757		directing that no bond or security be required of a person named as
751	758		executor, unless the court finds that it would not be in the best
752	759		interest of the estate, the court may waive the requirement of a
753	760		bond if all of the distributees of the decedent agree to the waiver
754	761		of bond in:
755	762		(1) the application for probate of the decedent's
756	763		will; or
757	764		(2) one or more separate documents consenting to the
758	765		application for probate of the decedent's will.
759	766		SECTION 41. Subchapter A, Chapter 402, Estates Code, is
760	767		amended by adding Section 402.003 to read as follows:
761	768		Sec. 402.003. DIGITAL ASSETS. The court, either at the time
762	769		the independent executor of an estate is appointed or at any time
763	770		before the administration of the estate is closed, may enter an
764	771		order that:
765	772		(1) directs disclosure of the content of electronic
766	773		communications of the decedent to the independent executor as
767	774		provided by Section 2001.101 and that contains any court finding
768	775		described by Section 2001.101(b)(3);
769	776		(2) with respect to a catalog of electronic
770	777		communications sent or received by the decedent and other digital
771	778		assets of the decedent, other than the content of an electronic
772	779		communication, contains any court finding described by Section
773	780		2001.102(b)(4); or
774	781		(3) directs under Section 2001.231 a custodian to
775	782		comply with a request to disclose digital assets under Chapter
776	783		2001.
777	784		SECTION 42. Section 455.008(a), Estates Code, is amended to
778	785		read as follows:
779	786		(a) If gross assets of an estate do not exceed 20 [10]
780	787		percent of the maximum amount authorized for a small estate
781	788		affidavit under Section 205.001, the public probate administrator
782	789		may act without issuance of letters testamentary or of
783	790		administration if the court approves a statement of administration
784	791		stating:
785	792		(1) the name and domicile of the decedent;
786	793		(2) the date and place of death of the decedent; and
787	794		(3) the name, address, and relationship of each known
788	795		heir or devisee of the decedent.
789	796		SECTION 43. Section 455.009, Estates Code, is amended by
790	797		adding Subsection (a-1) to read as follows:
791	798		(a-1) The public probate administrator may file the
792	799		affidavit as provided by Subsection (a) after the public probate
793	800		administrator has acted under Section 455.007 or 455.008.
794	801		SECTION 44. Section 455.012, Estates Code, is amended to
795	802		read as follows:
796	803		Sec. 455.012. DEPOSIT OF FUNDS IN COURT REGISTRY [INTO THE
797	804		COUNTY TREASURY]. The public probate administrator shall deposit
798	805		all funds coming into the custody of the administrator in the court
799	806		registry, except as provided by Section 455.003 [county treasury].
800	807		Funds deposited must be disbursed [dispersed] at the direction of
801	808		the public probate administrator and according to an order issued
802	809		by the statutory probate court judge who appointed the
803	810		administrator [the guidelines of the county treasurer or auditor].
804	811		SECTION 45. Section 25.002201(b), Government Code, is
805	812		amended to read as follows:
806	813		(b) If the judge who is the subject of an order of recusal or
807	814		disqualification is the presiding judge of the statutory probate
808	815		courts, the chief justice of the supreme court shall assign [a
809	816		regional presiding judge,] a statutory probate judge[,] or a former
810	817		or retired judge of a statutory probate court to hear the case.
811	818		SECTION 46. Section 25.00255(a), Government Code, is
812	819		amended to read as follows:
813	820		(a) Notwithstanding any conflicting provision in the Texas
814	821		Rules of Civil Procedure, Rules 18a and 18b, Texas Rules of Civil
815	822		Procedure, apply to the recusal and disqualification of a statutory
816	823		probate court judge except as otherwise provided by this section or
817	824		another provision of this subchapter. The presiding judge:
818	825		(1) has the authority and shall perform the functions
819	826		and duties of the presiding judge of the administrative judicial
820	827		region under the rules, including the duty to hear or rule on a
821	828		referred motion of recusal or disqualification or, subject to
822	829		Subdivisions (2) and (3) [and to Section 25.002201], assign a judge
823	830		to hear and rule on a referred motion of recusal or
824	831		disqualification;
825	832		(2) may assign a presiding judge of the administrative
826	833		judicial region to hear and rule on a referred motion of recusal or
827	834		disqualification only with the consent of the presiding judge of
828	835		the administrative judicial region; [and]
829	836		(3) may not assign a judge of a statutory probate court
830	837		located in the same county as the statutory probate court served by
831	838		the judge who is the subject of the motion of recusal or
832	839		disqualification; and
833	840		(4) if the presiding judge is the subject of the motion
834	841		of recusal or disqualification, shall sign and file with the clerk
835	842		an order referring the motion to the chief justice of the supreme
836	843		court for assignment of a presiding judge of an administrative
837	844		judicial region, a statutory probate court judge, or a former or
838	845		retired judge of a statutory probate court to hear and rule on the
839	846		motion, subject to Subdivisions (2) and (3).
840	847		SECTION 47. The following provisions of the Estates Code
841	848		are repealed:
842	849		(1) Section 114.002(b); and
843	850		(2) Subchapter D, Chapter 114.
844	851		SECTION 48. (a) Subchapter C, Chapter 111, Estates Code, as
845	852		added by this Act, applies to an agreement, account, contract, or
846	853		designation made or entered into before, on, or after the effective
847	854		date of this Act, regardless of the date of the deceased party's
848	855		death.
849	856		(b) Sections 31.001 and 113.252(c), Estates Code, as
850	857		amended by this Act, apply to a proceeding commenced on or after the
851	858		effective date of this Act. A proceeding commenced before the
852	859		effective date of this Act is governed by the law in effect on the
853	860		date the proceeding was commenced, and the former law is continued
854	861		in effect for that purpose.
855	862		(c) The repeal of Subchapter D, Chapter 114, Estates Code,
856	863		by this Act does not affect the validity of a transfer on death deed
857	864		or a cancellation of a transfer on death deed executed before, on,
858	865		or after the effective date of this Act.
859	866		(d) Section 202.151, Estates Code, as amended by this Act,
860	867		applies only to a proceeding to declare heirship commenced on or
861	868		after the effective date of this Act. A proceeding to declare
862	869		heirship commenced before that date is governed by the law in effect
863	870		on the date the proceeding was commenced, and the former law is
864	871		continued in effect for that purpose.
865	872		(e) Section 255.456, Estates Code, as added by this Act,
866	873		applies only to a petition filed on or after the effective date of
867	874		this Act. A petition filed before the effective date of this Act is
868	875		governed by the law in effect on the date the petition was filed,
869	876		and the former law is continued in effect for that purpose.
870	877		(f) Sections 256.052(a), 256.053(b), and 257.051(a),
871	878		Estates Code, as amended by this Act, and Section 401.005(a-1),
872	879		Estates Code, as added by this Act, apply only to an application for
873	880		the probate of a will filed on or after the effective date of this
874	881		Act. An application for the probate of a will filed before that
875	882		date is governed by the law in effect on the date the application
876	883		was filed, and the former law is continued in effect for that
877	884		purpose.
878	885		(g) Section 301.052(a), Estates Code, as amended by this
879	886		Act, applies only to an application for letters of administration
880	887		filed on or after the effective date of this Act. An application
881	888		for letters of administration filed before the effective date of
882	889		this Act is governed by the law in effect on the date the
883	890		application was filed, and the former law is continued in effect for
884	891		that purpose.
885	892		(h) Sections 351.106 and 402.003, Estates Code, as added by
886	893		this Act, apply only to the administration of a decedent's estate
887	894		that is pending or commenced on or after the effective date of this
888	895		Act.
889	896		(i) Sections 351.152(a) and (b), Estates Code, as amended by
890	897		this Act, apply only to a contract entered into or a conveyance made
891	898		on or after the effective date of this Act. A contract entered into
892	899		or a conveyance made before the effective date of this Act is
893	900		governed by the law in effect on the date the contract was entered
894	901		into or the conveyance was made, and the former law is continued in
895	902		effect for that purpose.
896	903		(j) Sections 352.052(c) and 455.009(a-1), Estates Code, as
897	904		added by this Act, and Subchapters I and J, Chapter 356, and
898	905		Sections 255.152, 355.102(b) and (c), 355.103, 355.1551(a) and (b),
899	906		356.502, 356.551, 356.552, 356.553, 356.554(a), (b), and (c),
900	907		356.556, 356.557, 356.558(a), 455.008(a), and 455.012, Estates
901	908		Code, as amended by this Act, apply only to the estate of a decedent
902	909		who dies on or after the effective date of this Act. The estate of a
903	910		decedent who dies before the effective date of this Act is governed
904	911		by the law in effect on the date of the decedent's death, and the
905	912		former law is continued in effect for that purpose.
906	913		(k) Section 25.00255(a), Government Code, as amended by
907	914		this Act, applies only to a motion of recusal or disqualification
908	915		made on or after the effective date of this Act. A motion of recusal
909	916		or disqualification made before the effective date of this Act is
910	917		governed by the law in effect on the date the motion was made, and
911	918		the former law is continued in effect for that purpose.
912	919		(l) The addition by this Act of Section 309.056(e), Estates
913	920		Code, is intended to clarify rather than change existing law.
914	921		SECTION 49. This Act takes effect September 1, 2019.
915		-	______________________________ ______________________________
916		-	President of the Senate Speaker of the House
917		-	I certify that H.B. No. 2782 was passed by the House on May
918		-	10, 2019, by the following vote: Yeas 134, Nays 0, 1 present, not
919		-	voting; and that the House concurred in Senate amendments to H.B.
920		-	No. 2782 on May 24, 2019, by the following vote: Yeas 139, Nays 2,
921		-	2 present, not voting.
922		-	______________________________
923		-	Chief Clerk of the House
924		-	I certify that H.B. No. 2782 was passed by the Senate, with
925		-	amendments, on May 22, 2019, by the following vote: Yeas 31, Nays
926		-	0.
927		-	______________________________
928		-	Secretary of the Senate
929		-	APPROVED: __________________
930		-	Date
931		-	__________________
932		-	Governor
	922	+	* * * * *