112.034 – MERGER. (a) If a settlor transfers both the
Texas Property Code § 112.034
Summary
This law clarifies that if a settlor transfers both legal and equitable interests in property to one person, a trust is not established. Instead, the transferee owns the property outright. It also confirms that existing valid trusts under Chapter 113 remain unaffected.
No trust is created if legal and equitable interests are merged.
Transferee holds property outright if both interests are transferred.
Existing valid trusts under Chapter 113 are not invalidated.
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In simple terms: Learn about Texas's MERGER. (a) If a settlor transfers both the law, including definitions, penalties, and legal implications.. This means people must follow this rule, and breaking it can lead to criminal penalties.
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