Tex. Property Code § 114.081
This is the official text of Tex. Property Code § 114.081, part of Texas’s Property Code — governs real property, landlord-tenant law, and property transactions.
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§ 114.081. PROTECTION OF PERSON DEALING WITH TRUSTEE.
Official statutory text
(a) A person who deals with a trustee in good faith and for fair value actually received by the trust is not liable to the trustee or the beneficiaries of the trust if the trustee has exceeded the trustee's authority in dealing with the person.
(b) A person other than a beneficiary is not required to inquire into the extent of the trustee's powers or the propriety of the exercise of those powers if the person:
(1) deals with the trustee in good faith; and
(2) obtains:
(A) a certification of trust described by Section 114.086; or
(B) a copy of the trust instrument.
(c) A person who in good faith delivers money or other assets to a trustee is not required to ensure the proper application of the money or other assets.
(d) A person other than a beneficiary who in good faith assists a former trustee, or who in good faith and for value deals with a former trustee, without knowledge that the trusteeship has terminated, is protected from liability as if the former trustee were still a trustee.
(e) Comparable protective provisions of other laws relating to commercial transactions or transfer of securities by fiduciaries prevail over the protection provided by this section.
(b) A person other than a beneficiary is not required to inquire into the extent of the trustee's powers or the propriety of the exercise of those powers if the person:
(1) deals with the trustee in good faith; and
(2) obtains:
(A) a certification of trust described by Section 114.086; or
(B) a copy of the trust instrument.
(c) A person who in good faith delivers money or other assets to a trustee is not required to ensure the proper application of the money or other assets.
(d) A person other than a beneficiary who in good faith assists a former trustee, or who in good faith and for value deals with a former trustee, without knowledge that the trusteeship has terminated, is protected from liability as if the former trustee were still a trustee.
(e) Comparable protective provisions of other laws relating to commercial transactions or transfer of securities by fiduciaries prevail over the protection provided by this section.
Status: in_force · Read it on the official government site
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