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A BILL TO BE ENTITLED
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AN ACT
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relating to the acceptance of durable powers of attorney by third |
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parties. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter XII, Texas Probate Code, is amended by |
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adding Section 489C to read as follows: |
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Sec. 489C. ACCEPTANCE OF DURABLE POWER OF ATTORNEY BY THIRD |
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PARTIES REQUIRED. (a) A third party located in this state may not |
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refuse, without reasonable cause, to honor a durable power of |
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attorney properly executed in accordance with this chapter, |
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including a statutory durable power of attorney. |
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(b) Reasonable cause for a third party's refusal to honor a |
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durable power of attorney under Subsection (a) of this section |
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includes the third party's: |
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(1) actual knowledge of the principal's death; |
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(2) actual notice of the termination or revocation of |
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the power of attorney; |
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(3) actual knowledge of the appointment of a guardian |
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of the estate for the principal; and |
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(4) actual knowledge of the principal's divorce or |
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annulment of the principal's marriage, if the principal's attorney |
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in fact or agent was the principal's spouse. |
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(c) A third party may not refuse to honor a durable power of |
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attorney under this section if the sole reason for the refusal is: |
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(1) the power of attorney is not on a form prescribed |
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by the third party to whom the power of attorney is presented; or |
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(2) there has been a lapse of time since the execution |
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of the power of attorney. |
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(d) A third party that violates this section is liable to |
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the principal and the principal's heirs to the same extent as if the |
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third party had refused to allow the principal to act on the |
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principal's own behalf. |
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SECTION 2. This Act takes effect September 1, 2009. |