Texas Property Code 113.030 – Relocation of Administration of Charitable Trust
Current as of: 2024 | Check for updates
|
Other versions
(a) In this section:
(1) “Charitable entity” has the meaning assigned by Section 123.001.
(2) “Charitable trust” means a trust:
(A) the stated purpose of which is to benefit only one or more charitable entities; and
(B) that qualifies as a charitable entity.
(3) “Trust administration” means the grant-making function of the trust.
(b) Except as provided by this section or specifically authorized by the terms of a trust, the trustee of a charitable trust may not change the location in which the trust administration takes place from a location in this state to a location outside this state.
Terms Used In Texas Property Code 113.030
- Equitable: Pertaining to civil suits in "equity" rather than in "law." In English legal history, the courts of "law" could order the payment of damages and could afford no other remedy. See damages. A separate court of "equity" could order someone to do something or to cease to do something. See, e.g., injunction. In American jurisprudence, the federal courts have both legal and equitable power, but the distinction is still an important one. For example, a trial by jury is normally available in "law" cases but not in "equity" cases. Source: U.S. Courts
- Probate: Proving a will
- Trustee: A person or institution holding and administering property in trust.
(c) If the trustee decides to change the location in which the trust is administered from a location in this state to a location outside this state, the trustee shall:
(1) if the settlor is living and not incapacitated:
(A) consult the settlor concerning the selection of a new location for the administration of the trust; and
(B) submit the selection to the attorney general; or
(2) if the settlor is not living or is incapacitated:
(A) propose a new location; and
(B) submit the proposal to the attorney general.
(d) The trustee may file an action in the district court or statutory probate court in which the trust was created seeking a court order authorizing the trustee to change the location in which the trust is administered to a location outside this state. The court may exercise its equitable powers to effectuate the original purpose of the trust.
(e) Except as provided by Subsection (b), the location in which the administration of the trust takes place may not be changed to a location outside this state unless:
(1) the charitable purposes of the trust would not be impaired if the trust administration is moved; and
(2) a district court or statutory probate court authorizes the relocation.
(f) The attorney general may bring an action to enforce the provisions of this section. If a trustee of a charitable trust fails to comply with the provisions of this section, the district court or statutory probate court in the county in which the trust administration was originally located may remove the trustee and appoint a new trustee. Costs of a proceeding to remove a trustee, including reasonable attorney’s fees, may be assessed against the removed trustee. This provision is in addition to and does not supersede the provisions of Chapter 123.
(g) This section does not affect a trustee’s authority to sell real estate owned by a charitable trust.