SRC-JEC H.B. 1037 77(R)   BILL ANALYSIS


Senate Research Center   H.B. 1037
77R7552 CLG-DBy: Thompson (Harris)
Jurisprudence
5/2/2001
Engrossed


DIGEST AND PURPOSE 

Under current law, a probate court has the jurisdiction to settle the
estate of a ward of the state only on the death of the ward or the
attainment of majority or capacity by the ward.  This provision has been
construed to mean that the court can only approve a final accounting, even
if assets need to be collected and liquidated, claims need to be approved
or rejected, or litigation needs to be commenced, continued, or brought to
an end.  Such an interpretation may be inconsistent with other provisions
that allow a guardian to pay other debts and expenses.  As proposed, H.B.
1037 clarifies the jurisdiction of a probate court in such guardianship
matters and removes the provision authorizing a probate court to award
judgment against a guardian or former guardian in favor of a surety even if
the ward has died, regained capacity, or the ward's disabilities of
minority have been removed. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency.  

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 606, Texas Probate Code, by amending Subsections
(e) and (f) and adding Subsection (g), as follows: 

(e) Provides that, after a guardianship of the estate of a ward is required
to be settled as provided by Section 745 of this chapter, the court
exercising original probate jurisdiction over the settling of the former
ward's estate has the jurisdiction to hear certain matters. 

(f) Provides that when a surety is called on to perform in place of a
guardian or former guardian, a court exercising original probate
jurisdiction, including jurisdiction exercised under Subsection (e) of this
section, is authorized to award judgment against the guardian or former
guardian in favor of the surety of the guardian or former guardian in the
same suit.  Deletes text regarding the death of a ward, a ward's regained
capacity, or a disability of a ward being removed. 

 (g) Redesignated from former Subsection (f).

SECTION 2.  Amends Section 694G, Texas Probate Code, to provide that, if
the court finds that a ward is no longer incapacitated, the order restoring
the ward's capacity is required to specify that the guardian is required to
immediately settle the guardianship in accordance with this chapter.
Deletes references to closing the guardianship and Section 745 of this
code. 

SECTION 3.  Amends the heading to Section 745, Texas Probate Code, to read
as follows: 

 Sec. 745.  SETTLING GUARDIANSHIPS OF THE ESTATE.

SECTION 4.  Amends Sections 745(a) and (d), Texas Probate Code, to make
conforming changes. 
 
SECTION 5.  Amends Section 746, Texas Probate Code, as follows:

Sec. 746.  New heading: PAYMENT OF FUNERAL EXPENSES AND OTHER DEBTS ON
DEATH OF WARD.  Deletes text regarding Section 745 of this code. 

SECTION 6.  Amends Section 747(a), Texas Probate Code, to make a conforming
change. 

SECTION 7.  Amends Section 749, Texas Probate Code, to make a conforming
change. 

SECTION 8.  Amends the heading to Section 752, Texas Probate Code, as
follows: 

 Sec. 752.  COURT ACTION; CLOSING OF GUARDIANSHIP OF WARD'S ESTATE.

SECTION 9.  Makes the changes in law made by SECTIONS 2-8 of this Act
prospective. 

SECTION 10.  Effective date: September 1, 2001.