S.B. No. 372 amends the Texas Property Code to broaden the definition of individuals and entities authorized to act as "substitute trustees" and "trustees" in the context of exercising the power of sale under a contract lien on real property. The bill specifies that a "substitute trustee" can now be an individual, corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, or other legal entity, replacing the previous definition that limited it to "a person." Similarly, the definition of "trustee" is expanded to include the same range of entities, moving away from the previous language that referred only to "a person or persons."

The bill is set to take effect immediately upon receiving a two-thirds vote from both houses of the legislature; otherwise, it will take effect on September 1, 2025. This legislative change aims to provide greater flexibility in the appointment of trustees and substitute trustees, potentially streamlining the process for exercising the power of sale in real property transactions.

Statutes affected:
Introduced: Property Code 51.0001 (Property Code 51)
Senate Committee Report: Property Code 51.0001 (Property Code 51)
Engrossed: Property Code 51.0001 (Property Code 51)
House Committee Report: Property Code 51.0001 (Property Code 51)
Enrolled: Property Code 51.0001 (Property Code 51)