Sec. 355.155. PAYMENT OF MATURITIES ON PREFERRED DEBT AND LIEN. (a) If property securing a debt for which a claim is allowed, approved, and fixed under Section 355.151(a)(2) is not sold or distributed within six months from the date letters testamentary or of administration are granted, the personal representative of the estate shall:
(1) promptly pay all maturities that have accrued on the debt according to the terms of the debt; and
(2) perform all the terms of any contract securing the debt.
(b) If the personal representative defaults in payment or performance under Subsection (a), on application of the claim holder, the court shall:
(1) require the sale of the property subject to the unmatured part of the debt and apply the proceeds of the sale to the liquidation of the maturities;
(2) require the sale of the property free of the lien and apply the proceeds to the payment of the whole debt; or
(3) authorize foreclosure by the claim holder as provided by this subchapter.
Added by Acts 2009, 81st Leg., R.S., Ch. 680 (H.B. 2502), Sec. 1, eff. January 1, 2014.
Section: Previous 355.111 355.112 355.113 355.151 355.152 355.153 355.154 355.155 355.1551 355.156 355.157 355.158 355.159 355.160 355.201 NextLast modified: September 28, 2016