pjc-family-2024-lib

E XPRESS T RUSTS

PJC 235.16

PJC 235.16 Removal of Trustee

QUESTION 1 Did TRUSTEE materially violate or attempt to materially violate the terms of the trust dated DATE ? Answer “Yes” or “No.” Answer: _______________ If you answered “Yes” to Question 1, then answer Question 2. Otherwise, do not answer Question 2. QUESTION 2 Did the violation or attempted violation of the trust dated DATE result in a material financial loss to the trust? Answer “Yes” or “No.” Answer: _______________ COMMENT Source. The foregoing submission is based on Tex. Prop. Code § 113.082(a)(1). Section 113.083(a) provides other grounds for removal: incapacity or insolvency of the trustee, failure to make a required accounting, or other cause found by the court. No submissions are provided for those grounds because they are unlikely to generate fact questions. When to use. The decision to remove the trustee is within the discretion of the court. Tex. Prop. Code § 113.082. If there are factual disputes on the bases for removal, the foregoing submission may be appropriate. However, findings on other submitted questions, such as questions on breach of duty and damages, might support removal. See Lee v. Lee , 47 S.W.3d 767, 789–90 (Tex. App.—Houston [14th Dist.] 2001, pet. denied). Limitations. Although the four-year limitations period determines whether an interested person can obtain monetary recovery from a trustee’s fiduciary breach, it does not affect whether the interested person can seek that trustee’s removal. Ditta v. Conte , 298 S.W.3d 187, 192 (Tex. 2009).

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