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A BILL TO BE ENTITLED
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AN ACT
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relating to the beneficiaries of a trust who are entitled to demand |
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an accounting from the trustee. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 113.151(a), Property Code, is amended to |
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read as follows: |
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(a) A beneficiary, including a person whose right to benefit |
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from the trust is contingent, regardless of whether the right to |
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benefit from the trust is presently vested, by written demand may |
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request the trustee to deliver to each beneficiary of the trust a |
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written statement of accounts covering all transactions since the |
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last accounting or since the creation of the trust, whichever is |
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later. If the trustee fails or refuses to deliver the statement on |
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or before the 90th day after the date the trustee receives the |
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demand or after a longer period ordered by a court, any beneficiary |
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of the trust may file suit to compel the trustee to deliver the |
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statement to all beneficiaries of the trust. The court may require |
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the trustee to deliver a written statement of account to all |
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beneficiaries on finding that the nature of the beneficiary's |
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interest in the trust or the effect of the administration of the |
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trust on the beneficiary's interest is sufficient to require an |
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accounting by the trustee. However, the trustee is not obligated or |
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required to account to the beneficiaries of a trust more frequently |
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than once every 12 months unless a more frequent accounting is |
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required by the court. If a beneficiary is successful in the suit |
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to compel a statement under this section, the court may, in its |
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discretion, award all or part of the costs of court and all of the |
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suing beneficiary's reasonable and necessary attorney's fees and |
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costs against the trustee in the trustee's individual capacity or |
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in the trustee's capacity as trustee. |
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SECTION 2. This Act takes effect September 1, 2011. |