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(a) Subject to Subsection (b) and except to the extent the person's right to disclaim is expressly restricted or limited by a law of this state or by the instrument creating the fiduciary relationship, a person designated to serve or serving as a fiduciary may disclaim, in whole or in part, any power over property, including a power of appointment and the power to disclaim, held in a fiduciary capacity.
(b) If a power being disclaimed under Subsection (a) by a person designated to serve or serving as a trustee affects the distributive rights of any beneficiary of the trust:
(1) the person may disclaim only on or after accepting the trust;
(2) the disclaimer must be compatible with the trustee's fiduciary obligations; and
(3) if the disclaimer is made on accepting the trust, the trustee is considered to have never possessed the power disclaimed.
(c) A person designated to serve or serving as a fiduciary may disclaim a power under this section even if the creator of the power imposed a spendthrift provision or similar restriction on transfer.
Cite this article: FindLaw.com - Texas Property Code - PROP § 240.007. Power to Disclaim Power Held in Fiduciary Capacity by Person Designated to Serve as or Serving as Fiduciary - last updated April 14, 2021 | https://codes.findlaw.com/tx/property-code/prop-sect-240-007.html
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