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A BILL TO BE ENTITLED
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AN ACT
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relating to the estates of decedents. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 149B(a), Texas Probate Code, is amended |
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to read as follows: |
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(a) In addition to or in lieu of the right to an accounting |
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provided by Section 149A of this code, at any time after the |
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expiration of two years from the date the clerk of the court first |
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issues letters testamentary or of administration to any personal |
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representative of the estate [that an independent administration
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was created and the order appointing an independent executor was
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entered], a person interested in an [the] estate then subject to |
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independent administration may petition the county court, as that |
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term is defined by Section 3 of this code, for an accounting and |
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distribution. The court may order an accounting to be made with the |
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court by the independent executor at such time as the court deems |
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proper. The accounting shall include the information that the |
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court deems necessary to determine whether any part of the estate |
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should be distributed. |
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SECTION 2. The heading to Part 5, Chapter VII, Texas Probate |
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Code, is amended to read as follows: |
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PART 5. [GENERAL] POWERS, DUTIES, AND LIABILITIES OF PERSONAL |
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REPRESENTATIVES |
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SECTION 3. Part 5, Chapter VII, Texas Probate Code, is |
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amended by adding Sections 236 and 236A to read as follows: |
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Sec. 236. LIABILITY OF PERSONAL REPRESENTATIVE. A personal |
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representative who commits a breach of fiduciary duty and the |
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sureties on the personal representative's bond are chargeable with |
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any damages resulting from the breach, including: |
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(1) any loss or depreciation in value of the estate as |
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a result of the breach; |
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(2) any profit made by the personal representative as |
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a result of the breach; |
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(3) any profit that would have accrued to the estate if |
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there had been no breach; |
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(4) exemplary damages; or |
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(5) costs and fees described by Section 245 of this |
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code. |
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Sec. 236A. REMEDIES FOR BREACH OF FIDUCIARY DUTY. (a) To |
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remedy a breach of fiduciary duty by a personal representative, a |
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court may: |
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(1) compel the personal representative to perform the |
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personal representative's duty or duties; |
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(2) enjoin the personal representative from |
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continuing to commit a breach of fiduciary duty or committing an |
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additional breach of fiduciary duty; |
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(3) compel the personal representative to redress a |
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breach of fiduciary duty, including compelling the representative |
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to pay money or to restore property; |
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(4) order a personal representative to account; |
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(5) appoint a receiver to take possession of estate |
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property and administer the estate; |
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(6) suspend the personal representative; |
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(7) remove the personal representative as provided by |
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Section 222 of this code; |
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(8) reduce or deny compensation to the personal |
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representative; |
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(9) void an act of the personal representative; |
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(10) impose a lien or a constructive trust on estate |
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property; |
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(11) trace estate property that the personal |
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representative wrongfully disposed of and recover the property or |
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the proceeds from the property; or |
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(12) order any other appropriate relief. |
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(b) A certified copy of an order that imposes a lien or |
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constructive trust on real property under Subsection (a)(10) of |
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this section may be filed in the real property records of each |
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county in which the real property is located. On the recording of |
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the certified copy, the order is constructive notice of the |
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existence of the lien or constructive trust. |
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SECTION 4. (a) The change in law made by this Act to Section |
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149B, Texas Probate Code, applies only to a petition for an |
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accounting and distribution filed on or after the effective date of |
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this Act. A petition for an accounting and distribution filed |
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before the effective date of this Act is covered by the law in |
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effect on the date the petition was filed, and that law is continued |
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in effect for that purpose. |
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(b) Sections 236 and 236A, Texas Probate Code, as added by |
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this Act, apply only to conduct that occurs on or after the |
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effective date of this Act. Conduct that occurs before the |
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effective date of this Act is governed by the law in effect on the |
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date the conduct occurred, and the former law is continued in effect |
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for that purpose. |
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SECTION 5. This Act takes effect September 1, 2007. |