SRC-VRA S.B. 574 78(R)   BILL ANALYSIS


Senate Research Center   S.B. 574
78R2257 KCR-FBy: Harris
Jurisprudence
4/7/2003
As Filed


DIGEST AND PURPOSE 

Currently a trustee can be removed in accordance with the terms of the
trust instrument if certain conditions apply.  As proposed, S.B. 574
clarifies that the court has discretion to decide whether to remove a
trustee if certain conditions are met and it makes it possible to remove a
trustee if that trustee fails to make a required accounting.  

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 113.082(a), Property Code, to add a new
condition to existing text relating to the removal of a trustee.  

SECTION 2.  Amends Section 113.151(a), Property Code, to authorize any
beneficiary of the trust, if the trustee fails or refuses to deliver an
accounting statement on or before the 60th day after the date the trustee
receives the demand or after a longer period ordered by a court, to file
suit to compel the trustee to deliver the statement to all beneficiaries
of the trust.  Authorizes the court, if a beneficiary is successful in the
suit to compel a statement under this section, to award all costs of court
and all of the suing beneficiary's reasonable and necessary attorney's
fees and costs against the trustee in the trustee's individual capacity,
rather than in the trustee's capacity as trustee.   

SECTION 3.  Effective date:  September 1, 2003.
                      Makes application of this Act prospective.