Tex. Prop. Code Section 112.123
Application or Distribution of Trust Property

(a)

Property of a trust created under this subchapter may be applied only to the intended purpose of the trust, except to the extent that a court finds that the value of the trust property exceeds the amount required for the intended purpose of the trust.

(b)

Except as provided by the terms of the trust, property found by a court not to be required for the trust’s intended purpose shall be distributed:

(1)

as provided by the terms of the trust; or

(2)

if the trust does not provide for the distribution of such property, to the settlor if then living or to the settlor’s successors in interest.
Added by Acts 2023, 88th Leg., R.S., Ch. 1121 (H.B. 2333), Sec. 2, eff. June 18, 2023.

Source: Section 112.123 — Application or Distribution of Trust Property, https://statutes.­capitol.­texas.­gov/Docs/PR/htm/PR.­112.­htm#112.­123 (accessed Jun. 5, 2024).

112.001
Methods of Creating Trust 112.002
Intention to Create Trust 112.003
Consideration 112.004
Statute of Frauds 112.005
Trust Property 112.006
Additions to Trust Property 112.007
Capacity of Settlor 112.008
Capacity of Trustee 112.009
Acceptance by Trustee 112.010
Presumed Acceptance by Beneficiary 112.011
Posthumous Class Gifts Membership 112.031
Trust Purposes 112.032
Active and Passive Trusts 112.033
Reservation of Interests and Powers by Settlor 112.034
Merger 112.035
Spendthrift Trusts 112.036
Rule Against Perpetuities 112.037
Trust for Care of Animal 112.038
Forfeiture Clause 112.051
Revocation, Modification, or Amendment by Settlor 112.052
Termination 112.053
Disposition of Trust Property on Failure of Trust 112.054
Judicial Modification, Reformation, or Termination of Trusts 112.055
Amendment of Charitable Trusts by Operation of Law 112.056
Permissive Amendment by Trustee of Charitable Trust 112.057
Division and Combination of Trusts 112.058
Conversion of Community Trust to Nonprofit Corporation 112.059
Termination of Uneconomic Trust 112.071
Definitions 112.072
Distribution to Second Trust: Trustee with Full Discretion 112.073
Distribution to Second Trust: Trustee with Limited Discretion 112.074
Notice Required 112.075
Written Instrument Required 112.076
Reference to Trust Terms 112.077
Settlor of Second Trust 112.078
Court-ordered Distribution 112.079
Divided Discretion 112.080
Later Discovered Assets 112.081
Other Authority to Distribute in Further Trust Not Limited 112.082
Need for Distribution Not Required 112.083
Duties Not Created 112.084
Certain Distributions Prohibited 112.085
Exceptions to Power of Distribution 112.086
Tax-related Limitations 112.087
Compensation of Trustee 112.101
Definitions 112.102
Revocation of Certain Nontestamentary Transfers 112.103
Effect of Revocation 112.104
Liability of Certain Purchasers or Recipients of Certain Payments, Benefits, or Property 112.105
Liability of Former Spouse or Former Spouse’s Relative for Certain Payments, Benefits, or Property 112.106
Certain Trusts with Divorced Individuals as Joint Settlors 112.121
Validity of Trust 112.122
Enforcement of Trust 112.123
Application or Distribution of Trust Property 112.0335
Construction of Certain Trusts 112.0715
Creation of Second Trust
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Accessed:
Jun. 5, 2024

§ 112.123’s source at texas​.gov