Texas Property Code 113.055 – Purchase of Trustee’s Securities
Current as of: 2024 | Check for updates
|
Other versions
(a) Except as provided by Subsection (b) of this section, a corporate trustee may not purchase for the trust the stock, bonds, obligations, or other securities of the trustee or an affiliate, and a noncorporate trustee may not purchase for the trust the stock, bonds, obligations, or other securities of a corporation with which the trustee is connected as director, owner, manager, or any other executive capacity.
(b) A trustee may:
(1) retain stock already owned by the trust unless the retention does not satisfy the requirements prescribed by Chapter 117; and
(2) exercise stock rights or purchase fractional shares under Section 113.053 of this Act.
Terms Used In Texas Property Code 113.055
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Trustee: A person or institution holding and administering property in trust.