2005 Texas Property Code CHAPTER 115. JURISDICTION, VENUE, AND PROCEEDINGS

PROPERTY CODE

CHAPTER 115. JURISDICTION, VENUE, AND PROCEEDINGS

SUBCHAPTER A. JURISDICTION AND VENUE


	§ 115.001. JURISDICTION.  (a) Except as provided by 
Subsection (d) of this section, a district court has original and 
exclusive jurisdiction over all proceedings concerning trusts, 
including proceedings to:
		(1)  construe a trust instrument;                                             
		(2)  determine the law applicable to a trust 
instrument;                    
		(3)  appoint or remove a trustee;                                             
		(4)  determine the powers, responsibilities, duties, 
and liability of a trustee;
		(5)  ascertain beneficiaries;                                                 
		(6)  make determinations of fact affecting the 
administration, distribution, or duration of a trust;
		(7)  determine a question arising in the administration 
or distribution of a trust;
		(8)  relieve a trustee from any or all of the duties, 
limitations, and restrictions otherwise existing under the terms of 
the trust instrument or of this subtitle;
		(9)  require an accounting by a trustee, review trustee 
fees, and settle interim or final accounts;  and
		(10)  surcharge a trustee.                                                    
	(b)  The district court may exercise the powers of a court of 
equity in matters pertaining to trusts.

Text of subsec. (c) effective until January 1, 2006
	(c)  Unless specifically directed by a written order of the 
court, a proceeding does not result in continuing supervision by 
the court over the administration of the trust.

Text of subsec. (c) effective January 1, 2006
	(c)  The court may intervene in the administration of a trust 
to the extent that the court's jurisdiction is invoked by an 
interested person or as otherwise provided by law.  A trust is not 
subject to continuing judicial supervision unless the court orders 
continuing judicial supervision.

Text of subsec. (d) effective until January 1, 2006
	(d)  The jurisdiction of the district court over proceedings 
concerning trusts is exclusive except for jurisdiction conferred by 
law on a statutory probate court or a court that creates a trust 
under Section 867, Texas Probate Code.

Text of subsec. (d) effective January 1, 2006
	(d)  The jurisdiction of the district court over proceedings 
concerning trusts is exclusive except for jurisdiction conferred by 
law on a statutory probate court, a court that creates a trust under 
Section 867, Texas Probate Code, or a court that creates a trust 
under Section 142.005.

Amended by Acts 1983, 68th Leg., p. 3332, ch. 567, art. 2, § 2, 
eff. Jan. 1, 1984;  Acts 1997, 75th Leg., ch. 1375, § 5, eff. 
Sept. 1, 1997;  Acts 2005, 79th Leg., ch. 148, § 22, eff. Jan. 1, 
2006.


	§ 115.002. VENUE.  (a) The venue of an action under 
Section 115.001 of this Act is determined according to this 
section.
	(b)  If there is a single, noncorporate trustee, an action 
shall be brought in the county in which:
		(1)  the trustee resides or has resided at any time 
during the four-year period preceding the date the action is filed;  
or
		(2)  the situs of administration of the trust is 
maintained or has been maintained at any time during the four-year 
period preceding the date the action is filed.
	(c)  If there are multiple trustees or a corporate trustee, 
an action shall be brought in the county in which the situs of 
administration of the trust is maintained or has been maintained at 
any time during the four-year period preceding the date the action 
is filed, provided that an action against a corporate trustee as 
defendant may be brought in the county in which the corporate 
trustee maintains its principal office in this state.
	(d)  For just and reasonable cause, including the location of 
the records and the convenience of the parties and witnesses, the 
court may transfer an action from a county of proper venue under 
this section to another county of proper venue:
		(1)  on motion of a defendant or joined party, filed 
concurrently with or before the filing of the answer or other 
initial responsive pleading, and served in accordance with law;  or
		(2)  on motion of an intervening party, filed not later 
than the 20th day after the court signs the order allowing the 
intervention, and served in accordance with law.
	(e)  Notwithstanding any other provision of this section, on 
agreement by all parties the court may transfer an action from a 
county of proper venue under this section to any other county.
	(f)  For the purposes of this section:                                         
		(1)  "Corporate trustee" means an entity organized as a 
financial institution or a corporation with the authority to act in 
a fiduciary capacity.
		(2)  "Principal office" means an office of a corporate 
trustee in this state where the decision makers for the corporate 
trustee within this state conduct the daily affairs of the 
corporate trustee.  The mere presence of an agent or representative 
of the corporate trustee does not establish a principal office.  The 
principal office of the corporate trustee may also be but is not 
necessarily the same as the situs of administration of the trust.
		(3)  "Situs of administration" means the location in 
this state where the trustee maintains the office that is primarily 
responsible for dealing with the settlor and beneficiaries of the 
trust.  The situs of administration may also be but is not 
necessarily the same as the principal office of a corporate 
trustee.

Amended by Acts 1983, 68th Leg., p. 3332, ch. 567, art. 2, § 2, 
eff. Jan. 1, 1984;  Acts 1999, 76th Leg., ch. 344, § 4.026, eff. 
Sept. 1, 1999;  Acts 1999, 76th Leg., ch. 933, § 1, eff. Sept. 1, 
1999.

SUBCHAPTER B. PARTIES, PROCEDURE, AND JUDGMENTS


	§ 115.011. PARTIES.  (a) Any interested person may bring 
an action under Section 115.001 of this Act.

Text of subsec. (b) effective until January 1, 2006
	(b)  Contingent beneficiaries designated as a class are not 
necessary parties to an action under Section 115.001 of this Act.  
The only necessary parties to such an action are:
		(1)  a beneficiary on whose act or obligation the 
action is predicated;     
		(2)  a person designated by name in the instrument 
creating the trust;  and 
		(3)  a person who is actually receiving distributions 
from the trust estate at the time the action is filed.

Text of subsec. (b) effective January 1, 2006
	(b)  Contingent beneficiaries designated as a class are not 
necessary parties to an action under Section 115.001. The only 
necessary parties to such an action are:
		(1)  a beneficiary on whose act or obligation the 
action is predicated;     
		(2)  a beneficiary designated by name in the instrument 
creating the trust; 
		(3)  a person who is actually receiving distributions 
from the trust estate at the time the action is filed;  and
		(4)  the trustee, if a trustee is serving at the time 
the action is filed.  
	(c)  The attorney general shall be given notice of any 
proceeding involving a charitable trust as provided by Chapter 123 
of this code.
	(d)  A beneficiary of a trust may intervene and contest the 
right of the plaintiff to recover in an action against the trustee 
as representative of the trust for a tort committed in the course of 
the trustee's administration or on a contract executed by the 
trustee.

Amended by Acts 1983, 68th Leg., p. 3332, ch. 567, art. 2, § 2, 
eff. Jan. 1, 1984;  Acts 1995, 74th Leg., ch. 172, § 1, eff. Sept. 
1, 1995;  Acts 2005, 79th Leg., ch. 148, § 23, eff. Jan. 1, 2006.


	§ 115.012. RULES OF PROCEDURE.  Except as otherwise 
provided, all actions instituted under this subtitle are governed 
by the Texas Rules of Civil Procedure and the other statutes and 
rules that are applicable to civil actions generally.

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


	§ 115.013. PLEADINGS AND JUDGMENTS.  (a) Actions and 
proceedings involving trusts are governed by this section.
	(b)  An affected interest shall be described in pleadings 
that give reasonable information to an owner by name or class, by 
reference to the instrument creating the interest, or in other 
appropriate manner.
	(c)  A person is bound by an order binding another in the 
following cases:   
		(1)  an order binding the sole holder or all coholders 
of a power of revocation or a presently exercisable general power of 
appointment, including one in the form of a power of amendment, 
binds other persons to the extent their interests, as objects, 
takers in default, or otherwise are subject to the power;
		(2)  to the extent there is no conflict of interest 
between them or among persons represented:
			(A)  an order binding a guardian of the estate or a 
guardian ad litem binds the ward;  and
			(B)  an order binding a trustee binds 
beneficiaries of the trust in proceedings to review the acts or 
accounts of a prior fiduciary and in proceedings involving 
creditors or other third parties;
		(3)  if there is no conflict of interest and no guardian 
of the estate or guardian ad litem has been appointed, a parent may 
represent his minor child as guardian ad litem or as next friend;  
and
		(4)  an unborn or unascertained person who is not 
otherwise represented is bound by an order to the extent his 
interest is adequately represented by another party having a 
substantially identical interest in the proceeding.
	(d)  Notice under Section 115.014 of this Act shall be given 
either to a person who will be bound by the judgment or to one who 
can bind that person under this section, and notice may be given to 
both.  Notice may be given to unborn or unascertained persons who 
are not represented under Subdivision (1) or (2) of Subsection (c) 
by giving notice to all known persons whose interests in the 
proceedings are substantially identical to those of the unborn or 
unascertained persons.

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


	§ 115.014. GUARDIAN AD LITEM.  (a) At any point in a 
proceeding a court may appoint a guardian ad litem to represent the 
interest of a minor, an incapacitated, unborn, or unascertained 
person, or person whose identity or address is unknown, if the court 
determines that representation of the interest otherwise would be 
inadequate.  If there is not a conflict of interests, a guardian ad 
litem may be appointed to represent several persons or interests.
	(b)  A court shall appoint a guardian ad litem to defend an 
action under Section 114.083 of this Act for a beneficiary of the 
trust who is a minor or who has been adjudged incompetent.

Text of subsec. (c) effective January 1, 2006
	(c)  A guardian ad litem may consider general benefit 
accruing to the living members of a person's family.

Amended by Acts 1983, 68th Leg., p. 3332, ch. 567, art. 2, § 2, 
eff. Jan. 1, 1984;  Acts 2005, 79th Leg., ch. 148, § 24, eff. Jan. 
1, 2006.


	§ 115.015. NOTICE TO BENEFICIARIES OF TORT OR CONTRACT 
PROCEEDING.  (a) A court may not render judgment in favor of a 
plaintiff in an action on a contract executed by the trustee or in 
an action against the trustee as representative of the trust for a 
tort committed in the course of the trustee's administration unless 
the plaintiff proves that before the 31st day after the date the 
action began or within any other period fixed by the court that is 
more than 30 days before the date of the judgment, the plaintiff 
gave notice of the existence and nature of the action to:
		(1)  each beneficiary known to the trustee who then had 
a present or contingent interest;  or
		(2)  in an action on a contract involving a charitable 
trust, the attorney general and any corporation that is a 
beneficiary or agency in the performance of the trust.
	(b)  The plaintiff shall give the notice required by 
Subsection (a) of this section by registered mail or by certified 
mail, return receipt requested, addressed to the party to be 
notified at the party's last known address.  The trustee shall give 
the plaintiff a list of the beneficiaries or persons having an 
interest in the trust estate and their addresses, if known to the 
trustee, before the 11th day after the date the plaintiff makes a 
written request for the information.
	(c)  The plaintiff satisfies the notice requirements of this 
section by notifying the persons on the list provided by the 
trustee.

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


	§ 115.016. NOTICE.  (a) If notice of hearing on a motion 
or other proceeding is required, the notice may be given in the 
manner prescribed by law or the Texas Rules of Civil Procedure, or, 
alternatively, notice may be given to any party or to his attorney 
if the party has appeared by attorney or requested that notice be 
sent to his attorney.
	(b)  If the address or identity of a party is not known and 
cannot be ascertained with reasonable diligence, on order of the 
court notice may be given by publishing a copy of the notice at 
least three times in a newspaper having general circulation in the 
county where the hearing is to be held.  The first publication of 
the notice must be at least 10 days before the time set for the 
hearing.  If there is no newspaper of general circulation in the 
county where the hearing is to be held, the publication shall be 
made in a newspaper of general circulation in an adjoining county.

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


	§ 115.017. WAIVER OF NOTICE.  A person, including a 
guardian of the estate, a guardian ad litem, or other fiduciary, may 
waive notice by a writing signed by the person or his attorney and 
filed in the proceedings.

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