Tex. Prop. Code § 112.059 · Subchapter C. REVOCATION, MODIFICATION, AND TERMINATION OF TRUSTS
TERMINATION OF UNECONOMIC TRUST.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) After notice to beneficiaries who are distributees or permissible distributees of trust income or principal or who would be distributees or permissible distributees if the interests of the distributees or the trust were to terminate and no powers of appointment were exercised, the trustee of a trust consisting of trust property having a total value of less than $50,000 may terminate the trust if the trustee concludes after considering the purpose of the trust and the nature of the trust assets that the value of the trust property is insufficient to justify the continued cost of administration.
(b) On termination of a trust under this section, the trustee shall distribute the trust property in a manner consistent with the purposes of the trust.
(c) A trustee may not exercise a power described by Subsection (a) if the trustee's possession of the power would cause the assets of the trust to be included in the trustee's estate for federal estate tax purposes.
(d) This section does not apply to an easement for conservation or preservation.
Notes and commentary — not statutory text
History
Added by Acts 2007, 80th Leg., R.S., Ch. 451 (H.B. 564), Sec. 5, eff. September 1, 2007.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/PR/htm/PR.112.htm
- Text hash
- sha256 7c66e67fbd6e9a972a12b6367dbc2efbaa99166b243b9490364bc8d121c319ca
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.