Texas § FI.154.256 - STANDARD OF DUTY OF TRUSTEE

§ FI.154.256. STANDARD OF DUTY OF TRUSTEE

STANDARD OF DUTY OF TRUSTEE. A trustee described by Section 154.253 (a)(2) shall be held to the standard of duty of a trustee under the Texas Trust Code (Subtitle B, Title 9, Property Code), provided that the provisions of the Texas Trust Code may not be expanded, restricted, eliminated, or otherwise altered by the provisions of the trust instrument in a manner that is inconsistent with the purposes, terms, distribution requirements, and other circumstances of a trust established under this chapter. In administering assets held in a prepaid funeral benefits trust, a trustee shall consider the trust beneficiaries to include the following two classes of persons to the extent of any beneficial interest: (1) funeral providers or other persons entitled to payment after delivering a contracted funeral for which funds have been deposited in trust; and (2) purchasers of or beneficiaries designated in prepaid funeral benefits contracts for which funds have been deposited in trust who: (A) are entitled to receive a contracted funeral; or (B) have the right to cancel a contract under Section 154.155 if not waived under Section 154.156 . Acts 1997, 75th Leg., ch. 1008, Sec. 1, eff. Sept. 1, 1997. Amended by: Acts 2007, 80th Leg., R.S., Ch. 720 (H.B. 2393 ), Sec. 1, eff. September 1, 2007.