Texas Property Code

§ 114.031 — LIABILITY OF BENEFICIARY TO TRUSTEE

PR § 114.031Title 9. TRUSTS · Part B. TEXAS TRUST CODE: CREATION, OPERATION, AND TERMINATION OF TRUSTS · Ch. 114. LIABILITIES, RIGHTS, AND REMEDIES OF TRUSTEES, BENEFICIARIES, AND THIRD PERSONS · Art. B. LIABILITY OF BENEFICIARY

Statute text

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(a)A beneficiary is liable for loss to the trust if the beneficiary has:

(1)misappropriated or otherwise wrongfully dealt with the trust property;

(2)expressly consented to, participated in, or agreed with the trustee to be liable for a breach of trust committed by the trustee;

(3)failed to repay an advance or loan of trust funds;

(4)failed to repay a distribution or disbursement from the trust in excess of that to which the beneficiary is entitled; or

(5)breached a contract to pay money or deliver property to the trustee to be held by the trustee as part of the trust.

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Legislative history

Added by Acts 1983, 68th Leg., p. 3332, ch. 567, art. 2, Sec. 2, eff. Jan. 1, 1984.