1-1                                   AN ACT
 1-2     relating to the effect of a bankruptcy proceeding on a durable
 1-3     power of attorney.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Chapter XII, Texas Probate Code, is amended by
 1-6     adding Section 487A to read as follows:
 1-7           Sec. 487A.  EFFECT OF BANKRUPTCY PROCEEDING. After execution
 1-8     of a durable power of attorney, the filing of a voluntary or
 1-9     involuntary petition in bankruptcy in connection with the
1-10     principal's debts does not revoke or terminate the agency as to the
1-11     principal's attorney in fact or agent.  Any act the attorney in
1-12     fact or agent may undertake with respect to the principal's
1-13     property is subject to the limitations and requirements of the
1-14     United States Bankruptcy Code until a final determination is made
1-15     in the bankruptcy proceeding.
1-16           SECTION 2. This Act takes effect September 1, 2001.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 1083 was passed by the House on March
         29, 2001, by a non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 1083 was passed by the Senate on May
         1, 2001, by the following vote:  Yeas 30, Nays 0, 1 present, not
         voting.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  __________________________
                              Date
                    __________________________
                            Governor