Tex. Prop. Code § 114.031 · Subchapter B. LIABILITY OF BENEFICIARY
LIABILITY OF BENEFICIARY TO TRUSTEE.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(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.
(b) Unless the terms of the trust provide otherwise, the trustee is authorized to offset a liability of the beneficiary to the trust estate against the beneficiary's interest in the trust estate, regardless of a spendthrift provision in the trust.
Notes and commentary — not statutory text
History
Added by Acts 1983, 68th Leg., p. 3332, ch. 567, art. 2, Sec. 2, eff. Jan. 1, 1984.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/PR/htm/PR.114.htm
- Text hash
- sha256 2654600f1cda867f95b3cde7f06df8364dc303b6288b0ed4250347755f15adc1
- 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.