Texas Property Code

§ 114.032 — LIABILITY FOR WRITTEN AGREEMENTS

PR § 114.032Title 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 written agreement between a trustee and a beneficiary, including a release, consent, or other agreement relating to a trustee's duty, power, responsibility, restriction, or liability, is final and binding on the beneficiary and any person represented by a beneficiary as provided by this section if:

(1)the instrument is signed by the beneficiary;

(2)the beneficiary has legal capacity to sign the instrument; and

(3)the beneficiary has full knowledge of the circumstances surrounding the agreement.

(b)A written agreement signed by a beneficiary who has the power to revoke the trust or the power to appoint, including the power to appoint through a power of amendment, the income or principal of the trust to or for the benefit of the beneficiary, the beneficiary's creditors, the beneficiary's estate, or the creditors of the beneficiary's estate is final and binding on any person who takes under the power of appointment or who takes in default if the power of appointment is not executed.

(c)A written instrument is final and binding on a beneficiary who is a minor if:

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Legislative history

Added by Acts 1999, 76th Leg., ch. 794, Sec. 3, eff. Sept. 1, 1999.