piece of the puzzle, part of the whole · 2019-02-11 · district court alliance and currently...
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2019 County and District Clerks’
Association of Texas Winter Education
Conference
January 28-31, 2019
Embassy Suites by Hilton Hotel
Conference Center & Spa, San Marcos
Piece of the Puzzle, Part of
the Whole
Registry
Wednesday, January 30, 2019
10:45 a.m.–noon
Hon. Lisa David
Williamson County District Clerk
Hon. Tammy Kneuper
Bandera County District Clerk
This session will be a discussion on registry of the
court and escheating funds by the clerk.
Hon. Lisa David was sworn in as Williamson
County district clerk in 2007. She began working in the
District Clerk’s Office in 1981 and has served as deputy
district clerk and assistant chief deputy. David
serves on the Legislative Committee, Indigent Defense
Committee, Bail Bond Board, OCA Protective
Order Task Force Committee and OCA Collection of
Data Task Force and was just recently named the 2018
District Clerk of the Year. She currently serves as
president of the Texas District Court Alliance. She
has been married to Bobby for 39 years and
has four children and seven grandchildren.
Hon. Tammy Kneuper currently holds the office of Bandera County district clerk, a position held since 1999
when the county and district clerk offices divided
due to increased population. She is a member
of the County and District Clerks Association
and has served on the board and various committees in
the Association. She is currently serving as the
immediate past president. She is a member of the Texas
District Court Alliance and currently serves as a director
and secretary for the organization. Kneuper has been
married to Gerald, her friend and life partner of 46
years. They have two children, Charles Kneuper and
Shannon Miller, three grandsons and one
granddaughter. She and her husband live on the family
farm in Medina.
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REGISTRY OF THE COURTPresentedby:LisaDavid,WilliamsonCountyDistrictClerk
• EachDistrictandCountyClerkmustmaintain• abankaccounttoreceivemoneyordered• tenderedintothecourt’sregistry.
• Allfundsmustbedepositediftheyaretobe• heldmorethan3days.•
Registry of the Court
• Theclerkshouldkeeparecordofallfunds• tenderedintothecourt’sregistrythatincludes:
• 1. Thecausenumber.
• 2. Thestyleofthecase.
• 3. Instructionsregardingtheinvestmentordisbursementofthefunds.
• 4. Anaccountingofallwithdrawalsanddeposits.
Registry of the Court
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Types of Registry FundsFundsofminorsorincapacitatedpersons1.
Fundstenderedinaninterpleaderaction2.
3.
4.
5.
6.
8.
7.
Fundspaidinsatisfactionofajudgment
Childsupportfundsheldformorethan3days
Cashbonds
Cashbailbonds
Fundsinaneminentdomaincaseand
Anyotherfundstenderedtotheclerkfordepositintotheregistryofthecourt.
• Chapter 142, Property Code-minor funds
• Sec. 31.008 Civ. Prac. & Rem. Code- payment of judgments
• Art. 17.02 Code of Criminal Procedure-bail bonds
• Chapter 72 – 76 Property Code-Escheat & Unclaimed Property
Registry of the Court• REFERENCE THE FOLLOWING STATUTES FOR
ADDITIONAL INFO ON REGISTRY FUNDS:
• ACLERKSHALLACTONLYINACUSTODIALCAPACITYINRELATIONTOTHEREGISTRYFUND,ASPECIALACCOUNT,ORASEPARATEACCOUNT.
• ACLERKISNOTTHETRUSTEEFORTHEBENEFICIALOWNERANDDOESNOTASSUMETHEDUTIES,OBLIGATIONS,ORLIABILITIESOFATRUSTEEFORABENEFICIALOWNER.
• LGC117.0521
CUSTODIANSHIP
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Theregistryaccountmay earninterest.
Theregistryaccountmaynotearninterest.
MANAGEMENT OF REGISTRY FUNDS
Theclerkhastwooptionswhendecidingonthetypeofregistrytoopen:
or
Interest Bearing Account
Non-Interest Bearing Account
• A. Makeawrittenrequesttothecommissioner’scourtthatthecontractincludeaprovisionthatfundsinaspecialaccountintheclerk’snameearninterest.
• B. Theapplicationofabankthatseekstobecomethecountydepositorymustbeaccompaniedbyacertifiedorcashier’scheckforanamountequaltoone‐halfofonepercentoftheaveragedailybalanceoftheregistryfundsheldbytheclerkduringtheprecedingcalendaryear.Theclerkmustcalculatethisamountandincludethefiguretothecommissioner’scourtrequestingthattheregistryaccountearninterest.
IFTHECLERKELECTSTOHAVETHEREGISTRYACCOUNTEARNINTERESTTHECLERKMUSTDOTHEFOLLOWINGNOTLATERTHANTHE30TH DAYBEFORETHEDATETHECOUNTYGIVESNOTICETHATTHECOUNTYWILLACCEPTAPPLICATIONSTOTHEDEPOSITORY.
Interest Bearing Account
• Iftheregistryaccountoranyseparateaccountsearninterest,theclerkmustkeeparecordoftheamountofinterestearnedandtheamounttoeachcase.
• Theclerkshallpay10%ofanyinterestearnedtothegeneralfundofthecountytocompensatethecountyfortheaccountingandadministrativeexpenseofmaintainingtheaccounts.
• LGC117.054
Interest Bearing Account
IFTHECLERKELECTSTOHAVETHEREGISTRYACCOUNTEARNINTEREST....
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• theclerkshall,atthetimeofwithdrawal,deductfromtheamountofthewithdrawalafeeintheamountof5%ofthewithdrawalbutnottoexceed$50.
• WITHDRAWALOFFUNDSGENERATEDFROMACASEARISINGUNDERTHEFAMILYCODEAREEXEMPTFROMTHEFEEDEDUCTION.
• LCG117.055
TOCOMPENSATETHECOUNTYFORTHEACCOUNTINGANDADMINISTRATIVEEXPENSESINCURREDINHANDLINGTHEREGISTRYFUNDSTHATHAVENOTEARNEDINTEREST…
Non-Interest Bearing Account
• Theclerkshalltransferanyregistryfundsintoaseparateaccountonlywhendirectedtodosobyawrittenorderofthecourtofproperjurisdictionorwhentheclerkisrequiredundertheprobatecode887Investmentoffundsasfollows:
•
• 1. InafinancialinstitutiondoingbusinessinthestateandthatisinsuredbyFDIC
• 2. UnitedStatestreasurybills
• 3. AneligibleinvestmentpoolthatmeetsrequirementsofSections2256.016,2256.017and2256.019,Governmentcode(ex.TexPool )
• 4. Ano‐loadmoneymarketmutualfund,ifthefund:
• A.IsregulatedbytheSecuritiesCommissionandExchangeCommission
B.Hasadollarweightedaveragestatedmaturitydateof90daysorfewerand
C.Includesinitsinvestmentobjectivesthemaintenanceofastablenetassetvalueof$1foreachshare
D.AstructuredsettlementaccountLGC117.053andPropCode142.008and142.009
INVESTMENT OF FUNDS
• Unlessotherwiseprovidedbystatuteorrule,registryfundsaretobedisbursedonlybyacourtorder.
• Whenanorderisreceived,theclerkwilldisbursethefundstotheproperpartyaccordinglessadministrativefees.
• LGC117.054and117.055
DISBURSEMENT OF REGISTRY FUNDS
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• Inasuitinwhichaminororincapacitatedpersonwhohasnolegalguardianisrepresentedbyanextfriendoranappointedguardianadlitem,thecourt,onamotionfromtheparties,mayprovideforastructuredsettlementthat:
•
• 1. Providesforperiodicpayments;and
• 2. Isfundedby:
• A.AnobligationguaranteedbytheUnitedStatesgovernment;or
• B.AnannuitycontractthatmeetstherequirementofSection142.009.
STRUCTURED SETTLEMENT PAYMENTSTEXAS PROPERTY CODE 142.008
• Thepersonobligatedtofundastructuredsettlementshallprovidetothecourt:
•
• 1. Acopyoftheinstrumentthatprovidesfundingforthestructuredsettlement;or
• 2. Anaffidavitfromanindependentfinancialconsultantthatspecifiesthepresentvalueofthestructuredsettlementandthemethodbywhichthevalueiscalculated.
• AstructuredsettlementprovidedforunderthissectionissolelyforthebenefitofthebeneficiaryofthestructuredsettlementandisnotsubjecttotheinterestpaymentcalculationscontainedinSection117.054,LocalGovernmentCode.
•
PropCode142.008
STRUCTURED SETTLEMENT PAYMENTS
• Personalpropertyisassumedabandonedifdormantforlongerthanaperiodof3years. Section72.101PropertyCode
•
• Anyfundsdepositedunderthischapter,exceptcashbailbonds,thatarepresumedabandonedunderChapter72,73or75,PropertyCode,andexceed$250,shallbereportedanddeliveredbythecountyordistrictclerktothecomptrollerwithoutfurtheractionbyanycourt.
Section117.002LocalGovernmentCode
•
• DORMANCYPERIODISTHREEYEARSFORALLPROPERTYTYPESEXCEPTWAGES,WHICHAREONEYEAR.
•
ESCHEAT FUNDS
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•
• Eachholder,whoonMarch1st,holdspropersubjecttothischaptershallfileareportofthepropertyonorbeforethefollowingJuly1st.
• Eachreportisfiledwiththetreasureroftheholder.
•
• Allshouldbedonetonotifytheownerofthefundsyouareholdingandarecordkeptofthelastknownaddresseventhoughmailmayhavebeenreturned.
ESCHEAT FUNDS
• Recommendations:•
• OnoraroundMarch1stofeachyear,reviewyouraccountsandidentifyfundsthatmeetthe3yeardormancyperiod.
• Notifythepropertyownersofthefunds/propertythatarebeingheldandkeepalldocumentationofyoureffortstonotifyowners.NoticesaretobesentnolaterthanMay1st.
• OnorbeforeJuly1st,completetherequiredformsandsubmittocomptroller.
•
ESCHEAT FUNDS
• Thesaleofpropertyfordelinquenttaxesmaygenerateexcessfundsoverandabovethejudgment.
• Thesefundsareturnedovertotheclerkissuingtheorderofsaletobeplacedintheregistryanddisbursedaccordingtothelaworasorderedbythecourt.
• Thetaxcoderequirestheclerktosendoutnoticestotheformerownerofthepropertythatexcessfundshavebeenpaidintothecourt’sregistry.
• Theretentionperiodforthesefundsis2years.
EXCESS FUNDS
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• Iftheamountofexcessproceedsismorethan$25,theclerkisrequiredtosendnoticebeforethe31st dayafterthedatetheproceedsarereceivedbytheclerk.
• Thenoticeissentcertifiedmailreturnreceiptrequestedtotheformerownerofthepropertyatthelastknownaddressaccordingtotherecordsofthecourtoranyothersourcereasonablyavailable. PropertyTaxCode34.03
• Regardlessoftheamountoftheexcessproceedstheclerkistokeepthefundsintheregistryofthecourtforaperiodof2years. PropertyTaxCode34.02
EXCESS FUNDS
• Aperson,includingataxingunit,mayfileapetitionsettingforthaclaimtotheexcessproceedsfromataxsale.
•
• Thepetitionmustbefiledwithin2yearsfromthedateofthesale.
• Thepetitiondoesnothavetobefiledasanewsuit.
• Thepetitioncanbefiledintheunderlyingtaxcause.•
• INTERESTANDCOSTSARENOT ALLOWEDUNDERTHISSECTION.
•
CLAIMS FOR EXCESS PROCEEDS
•
• Afeechargedbyanattorneytoobtainexcessproceedsforanownermaynotbegreaterthan25%oftheamountobtainedor$1000,whicheverisless.
• Apersonwhoisnotanattorneymaynotchargeafeetoobtainexcessproceedsforanowner.
CLAIMS FOR EXCESS PROCEEDS
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• Insomeinstancesthejudgmentdebtormaywishtoclearhis/hercreditortitletopropertyandmustpayajudgmenttoaccomplishthis.
• AjudgmentdebtorisallowedtopaytothecourtthatrenderedthejudgmenttheamountunderthejudgmentowedtoajudgmentcreditorwhoselocationisunknowntothejudgmentdebtorifthejudgmentdebtorcomplieswithSubsections(b)and(c)ofthecode.
• Thepaymentmustbemadewithoutoffsetorreduction.
• Thejudgmentdebtorshallpreparearecordablereleaseofthejudgmentandthejudgeorclerkshallexecutethereleaseofthejudgmentonbehalfofthecreditorandissuethereleasetothedebtor.
PAYMENT OF UNCLAIMED JUDGMENT
• Beforebeingentitledtopayajudgmenttothecourtthejudgmentdebtormustsendaletternotifyingthejudgmentcreditorofthejudgmentbyregisteredorcertifiedmailto…..
•
• 1. Judgmentcreditor’slastknownaddress
• 2. Addressappearinginthejudgmentcreditor’spleadingsorothercourtrecord,ifdifferentfromthelastknownaddress.
• 3. Addressofjudgmentdebtor’slastattorneyasshownonthepleadingsand
• 4. Theaddressofthejudgmentcreditor’slastattorneyasshownintherecordsoftheStateBarofTexasifthataddressisdifferentfromthepleadings.
PAYMENT OF UNCLAIMED JUDGMENT
• Oncethefundsareplacedintheregistryofthecourt,theclerkwillholdthefundsinaninterestbearingaccount.
• Theclerkmustpaythefundsandanyinterestearnedtothejudgmentcreditorortothesuccessorstotherightsofthejudgmentcreditor.
• Theclerkmaypresumethefundsarepayabletothejudgmentcreditorunlessfurnishedwithawrittenassignmentofthejudgmentbythecourt. Chapter72,PropertyCode.
PAYMENT OF UNCLAIMED JUDGMENT
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TEXAS SENATE BILL 1589
TEXAS SENATE BILL 1589
REGISTRY
OF THE COURT Compiled by Tammy Kneuper and
Jeane Brunson, Former Parker County Clerk
REGISTRY OF THE COURT Compiled by
Tammy Kneuper, Bandera County District Clerk and
Jeane Brunson, Former Parker County Clerk
Registry of the Court: Identifying, Calculating and Accounting
Instances frequently arise in the course of civil proceedings in which the deposit
of funds may be required or permitted for the protection or convenience of the
parties. When, in the course of a civil action or proceeding, it appears that a
fund to which there are conflicting claims is in danger of loss or depletion, the
court may compel the party holding the fund to pay such funds into the Registry
of the Court. Other circumstances in which deposits might be permitted may
arise after judgment has been rendered. (Reference: 23 AM Jur 2d Sec. 1 and Sec.2)
A VERY BRIEF LESSON IS HISTORY!
In 1973, Attorney General John Hill stated, “We believe that any money
deposited in court to satisfy the result of a legal proceeding or to await the
result of a legal proceeding falls within the scope of The Local Government
Code (LGC), Section (Sec) 11 (now LGC Sec. 117.052. 117.053) ……Any funds
fitting this definition are trust funds and, if in the possession of the county or
district clerk, may be deposited in the county depository for trust funds”.
Prior to the 75th Legislative session (1997), the statutes did not give clear
direction to the clerk regarding registry funds. It also changed the word
“trust“to “registry” and defined the clerk as Custodian of the fund, not Trustee.
This change in terminology removed any liability of the clerk as a Trustee as
outlined more specifically later.
WHAT IS THIS THING CALLED “REGISTRY OF THE COURT”?
Oddly enough, a definition is not to be found in the statutes for “Registry of the
Court”. You will find the words referenced many times throughout the statutes
without absolute definition. Therefore, it appears the words have become
“common law” having been handed down verbally for years.
Registry generally means a place where a written record is maintained.
“Registry” is defined as the act of recording or writing in the register or
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depositing in the place of public records. So, in the case of the Registry of the
Court, the clerk must maintain a separate record and track money or any asset
of value deposited with the court to be held for others.
LGC, Sec 117.011, Definitions, shows the meaning of:
(3) “Registry fund” means funds tendered to the clerk for deposit into the
registry of the court.
(4) “Separate account” means funds transferred from a special account into a
separate interest bearing account.
(5) “Special account” means an account in a depository in which registry funds
are placed.
YOURS, MINE OR OURS – WHO’S FUND IS IT?
(A.G. Letter of Opinion No. 960023) “A sum of money placed in the county trust
fund depository is not owned by the county but is only held in trust for the
litigant who established his or her right to it. The funds are controlled by the
clerk subject to the orders of the court.”
The clerk of the court shall hold anything deposited or tendered to the registry
of the court, but the registry is under the direction of the court. The court, in
the acceptance and administration of the funds deposited into the registry of the
court, sits as a Court of Equity, its jurisdiction being basically derived from
Article 5, Sec 8 of the Texas Constitution. Until the court, in exercise of its
equitable powers, enters an order to the contrary, the clerk of the court will hold
the deposit made into the registry of the court in his or her official capacity.
Harris County v. Sellers 468S.W.2d 950 (Tex Civ App-Houston, 1971)
LGC, Sec 117.053(b) states, in part,…… a clerk may not draw on a special
account fund held by a depository except to pay a person entitled to the funds.
The payment must be made under an order of the court of proper jurisdiction in
which the funds were deposited except that an appeal bond
shall be paid without a written order of the court on receipt of mandate or
dismissal”…”funds deposited under Tx Probate Code, Sec 887, maybe
paid without a written order of the court.
AN EXCEPTION TO THE RULE-PAYMENT WITHOUT ORDER!
Compliance with Federal Tax Law is mandatory for any person having a taxable
interest in funds deposited. That party is responsible for submitting the
necessary and appropriate information to the clerk so the interest earned on the
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fund can be timely reported to the I.R.S. by the clerk. The information to be
provided, i.e., Social Security number, tax forms, date of birth, etc., is not
subject to the public information act, or in other words, is not an open record –
unless – it is necessary to do so to comply with the federal tax law
requirements.
The clerk of the court is authorized to pay any or all of the interest earned on
the fund, without court order, to the I.R.S. to satisfy tax withholding
requirements. (LGC, Sec 117.003(a) and (b)
EXCEPTIONS, EXCEPTIONS, EXCEPTIONS!
A court order is not required to withdraw funds from the registry of the Court, or
special accounts, if the county commissioner’s court has selected a new
depository. Once the new depository qualifies, the clerk of the court shall
transfer the funds from the old depository to the new depository. Clerks may
write checks on the accounts held in the old depository just for this purpose.
(LGC, Sec 117.053(a)
As stated earlier, a clerk may not draw a check on special account funds except
to pay a person entitled to the funds. The payment must be made under an
order of the court of proper jurisdiction in which the funds were deposited.
Remember, the one exception to this rule - an APPEAL BOND shall be paid
without order of the court on receipt of mandate or dismissal and funds
deposited under TX Probate Code, Sec 887
SEPARATE ACCOUNT – HOW “INTERESTING”! (The definition of a separate account (LGC, Sec 117.001): funds
transferred from a special account into a separate interest-bearing account. The
definition of a special account is an account in a depository in which registry
funds are placed.
The clerk of the court shall transfer any registry funds into a separate account
when ordered to do so by written order of the proper court or when the clerk is
required to per TX Probate Code, Sec 887. (LGC, Sec. 117.053).
The clerk shall transfer the funds into a separate account, as follows:
1. Interest-bearing deposits in a financial institution doing business in
this state and is insured by the Federal Deposit Insurance Corporation.
(FDIC)
2. United States treasury bills:
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3. An eligible Interlocal investment pool that meets the requirements of
Sections 2256.016, 2256.017, and 2256.019, Government Code; or
4. A no-load money market mutual fund, if the fund:
A. is regulated by the Securities and Exchange Commission;
B. Has a dollar weighted average stated maturity of 90 days or fewer;
and
C. Includes in its investment objectives the maintenance of a stable net
asset value of $1. for each share. (LGC, Sec 117.053 and TX
Property Code, Sec 142.004.
When choosing one of the investment provisions, the clerk must address the
issues of safety and security of the fund, the liquidity of the fund (being sure the
funds are available when the release of funds is ordered by the court) and
receiving the highest yield for the time to be held (amount of interest that will be
paid by the depository).
TO BE SAFE OR NOT TO BE – THAT IS THE QUESTION Certificates of Deposits (CD) once were questioned as being a safe investment.
Any funds invested by a person in his/her name, using their social security
number and/or tax i.d., which were invested prior to the clerk having the need to
open a separate account could potentially be a problem if made in the same
financial institution as the county depository. The social security number and/or
tax i.d. automatically connected the all the recipient’s investments, including the
funds held by the clerk as custodian. There is now a question as to if there is
ample insurance to cover all accounts of the recipient, including the new
separate account opened by the clerk. The total of all accounts, including CD’s
held in the same name (recipient), in the same depository are insured up to
$150,000 total – not individually. If you, as clerk, prefer to invest in a CD,
because of a higher interest rate or other feasible reason, a CD may be
purchased in the name of the clerk as custodian for the recipient, naming the
recipient on the CD. (Example: Ima Smartone, Co./Dist. Clerk, Custodian for John
Doe, Jr.) Use the social security &/or tax i.d. number of the recipient. The new
CD or account opened by the clerk is held in a name other than just the recipient
and will be insured.
I HAVE TO HOLD “WHAT” IN THE REGISTRY OF THE COURT?
Although it is preferable, the statutes do not require an order of the court before
the clerk accepts registry funds to be deposited with or held by the clerk of the
court.
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In addition to money, the Registry of the Court may hold any tangible item.
These items may include jewelry, documents, books, coin collections, family
heirlooms, photos, anything of value capable of being delivered to the clerk. At
the time a tangible item is delivered to the clerk to be held in the registry of the
court, I suggest an immediate and complete inventory is performed, put into
writing, and the person depositing same sign an affidavit which specifically
names the tangible items. It is advisable, but not required by statute, the clerk
require an appraisal of any property in which the value may be questioned at the
time of withdrawal.
The clerk of the court has certain liability regarding these items as stated in
Civil Practice and Remedies Code, Sec 7.002:
(a) An officer who has custody of a sum of money, a debt, an instrument, or
other property paid to or deposited with a court pending the outcome of a
cause of action shall seal the property in a secure package in a safe or
bank vault that is accessible and subject to the control of the court.
(b) The officer shall keep in his office as part of his records an itemized
inventory of property deposited with the court. The inventory must list
the disposition of the property and the account for which the property was
received
(c) At the expiration of the officer’s term, the officer shall transfer all
deposited property and the inventory to the officer’s successor in
office. The successor shall give a receipt for the transferred property and
the inventory.
(d) This section does not exempt an officer or the officer’s surety from
liability on the officer’s bond due to neglect or other default in regard to
the deposited property.
Although it is not mandatory, an itemized list of the tangible items should be
created after appraisal, along with identification numbers or markings of any
kind listed. The list should be reviewed and signed as to content and correct
listing of items deposited by the person depositing same, under oath.
JUST LET ME SEE THE MONEY!
The Court may order the clerk to invest funds in a separate account. This order
gives the clerk a slightly more involved role than that of a “custodian” in its
usual definition. It is the clerk’s primary responsibility to safeguard assets. The
clerk should not sacrifice protecting the investment because of an opportunity
for enhanced income through interest. (LGC, Sec 117.053) This is also
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supported by AG Opinions JM-1162 and DM-282. “…statutes that delineate the
liability of county and district clerks in regard to their handling of trust funds
deposited in court do not identify the failure to deposit in separate accounts or
in interest bearing accounts as a source of liability for the clerks.” (Civ. Prac. &
Rem. Code, Sec 7.002.)
The county shall go through the proper procedure for selecting a county
depository for registry funds to be held by the clerk of the court in the same
manner required for the selecting the depository for other county funds. The
clerk of the court having legal custody of funds to be held more than three days
shall deposit the money in the depository chosen by the county. The funds
deposited shall be carried at the county depository as a special account in the
name of the clerk making the deposit. (LGC, Sec 117.052)
Once the money has been properly deposited in the county’s depository in the
registry fund held the name of the clerk making the deposit, the clerk
of the court is relieved of the responsibility for keeping the funds secure.
The clerk depositing the money, however, is not released from:
(1) liability for a loss of registry funds resulting from the clerk’s official
misconduct, negligence, or misappropriation of the funds; or
(2) responsibility for keeping the registry funds safe until the clerk deposits
them in the depository selected by the county. (LGC, Sec 117.081.
I AM CUSTODIAN – DON’T CALL ME TRUSTEE
LGC, Sec 117.0521 specifically states the clerk shall not act as trustee for the
beneficial owner of the fund and does not assume the duties, obligations, or
liabilities of the trustee in any way. The clerk shall act only in a custodial
capacity in relation to any registry/special account.
Although custodian and trustee are similar terms, a trustee is more than a
custodian because a trustee must manage funds for the benefit of the beneficial
owner, which creates an additional liability. Definitions are:
Custodian: One that has charge of something; a caretaker; the custodian of a
minor child’s estate’ the custodian of an absentee landlord’s property.
Trustee: One, such as a bank, that holds legal title to property in order to
administer it for a beneficiary.
As custodian of registry funds, the clerk is responsible for safeguarding assets
and maintaining a separate accounting for each owner whether the owner is a
child, a defendant, a law firm, a business, or other entity. The clerk must keep
an accurate and itemized inventory of property whether it is tangible property or
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cash. (Civil Prac. & Rem. Code, Sec. 7.002) Consider the consequences of this
requirement thoroughly before commingling cash in an interest bearing account.
INTERESTED IN INTEREST?
If a special or separate account earns interest, at the time of withdrawal the
clerk of the court shall pay in the manner directed by the court. This amount
shall include the original amount deposited into
the registry of the court and any interest earned. The calculation of the
payment shall be:
Interest earned: 10% of the interest earned shall be paid to the general fund of
the county for accounting and administrative expenses of maintaining the
account.
Interest earned: 90% of the interest earned shall then be credited back to the
special or separate account. After adding 90% of the interest back to the special
or separate account, the total amount shall be paid as directed.
A special account earning interest, not a separate account, you must calculate
the individual interest earned by the funds to be paid out. In other words, if the
court orders the clerk to pay a person, business, or other entity, money held in
the interest bearing registry account, the clerk must calculate the exact amount
of interest earned only for the total sum of money deposited for that one person
before the money can be distributed. If money is being held in the registry
account (special account) for more than one person, it could be a mathematical
nightmare! Many chose to open non-interest bearing registry accounts. If it is
the desire of the party or their attorney for the money to be deposited into an
interest bearing account, the order of the court should be specific to that
subject.
TAKE IT FROM “FEES”…
With the exception of funds generated from a case under the TX Family Code,
funds held in the registry of the court (special fund) which do not earn interest
shall have 5% of the amount held, up to $50., from the amount being paid to the
interested party. This amount (up to $50.) shall be deposited in the general fund
of the county. (LGC, Sec 117.055) A court order is not needed to withhold this
fee.
DON’T BLAME ME
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A county or district clerk is not responsible for loss of registry funds (special or
separate) resulting from the failure or negligence of a depository or bank. The
clerk of the court, however, is responsible for:
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(1) loss of registry funds resulting from the clerk’s official misconduct,
negligence, or misappropriation of the funds; or
(2) responsibility for keeping the registry funds safe until the clerk deposits
them in the depository selected by statute by the commissioner’s court.
Once the clerk deposits the funds in the county depository, the clerk is relieved
of all responsibility for keeping the funds secure. (LGC 117.081)
If the funds are lost for any reason after being deposited, other than neglect by
the clerk previously outlined, including a loss due to the insolvency of the
depository (bank), the county is liable to the rightful owner of the funds for the
full amount of the funds due the owner.
MISTAKES DO HAPPEN
State law requires the county and district clerks to have a surety bond and errors
and omissions insurance due to the large amount of funds handled by the clerks.
Additionally, district clerks must have insurance or similar coverage to cover
losses from burglary, theft, robbery, counterfeit currency, or destruction.
Surety bonds provide protection against illegal or fraudulent acts of elected
officials and employees. Errors and omissions insurance cover mistakes by the
clerk and/or the clerk’s deputies in performance of their official duties. In lieu
of the bonds, a county may self-insure against any losses that would have been
covered by a bond. A county may also establish a contingency fund to provide
coverage if it is determined that insurance coverage is not available for a
reasonable cost. (Govt. Code, Sec 51.310; LGC, Sec 82.003)
IF IT’S NOT MINE, WHO’S MONEY IS THIS?
The clerk of the court is responsible for funds deposited into the registry fund
from the following sources:
1. funds of minors or incapacitated persons;
2. funds tendered in an interpleader action;
3. funds paid in satisfaction of a judgment;
4. child support funds held for more than three days;
5. cash bonds;
6. cash bail bonds;
9
7. funds in an eminent domain proceeding; and
8. other funds tendered to the clerk for deposit into the registry of the court.
(LGC 117.052(c)
This includes money awarded under Property Code to a minor or an
incapacitated person who has no legal guardian. It also includes money held
in certain probate cases.
AG Opinion JM-1162, in part, states “we find no statutory provision relating
to “minor’s trust funds”. Property Code 142 specifies funds awarded to a
minor are paid into the registry of court. Section 142.001, Management By
Decree, states, in part, (a) In a suit in which a minor or incapacitated person
who has no legal guardian is represented by a next friend or an appointed
guardian ad litem, the court, on application and hearing, may provide by
decree for the investment of funds accruing to the minor or other person
under the judgment in the suit.
WHAT DOES INTERPLEADER HAVE TO DO WITH THIS?
This is a civil case matter – not criminal – and involves funds to be held by
the clerk in civil cases. When ownership of certain property is disputed and
an innocent holder of the property wants to avoid potentially multiplying the
liability, the holder can file an interpleader action. The disputed property
may be deposited with the court pending resolution of all claims. Sometimes
the court will require rent or other income to be paid to the clerk until the
matter is settled. For clerks serving family courts, they may also hold
property pending distribution in the final settlement of a divorce case.
(I CAN’T GET NO..) SATISFACTION OF A JUDGMENT
Judgments may be paid through the registry of the court by order of the court
or statute. The court may order payment through the registry to provide a
court record to show proper payment has been made. Sometimes judgment
debtors wish to clear his/her credit to title to property and must pay a
judgment to do so. A judgment debtor is allowed to pay the court rendering
the judgment the amount owed to a creditor whose location is unknown. The
judgment debtor must comply with all notification requirements of Civil
Practice & Remedies Code, Sec. 31.008.
10
Gov. Code, Chapter 28 requires justices of the peace to make monthly
transfers of unclaimed judgments to the county clerk. These are handled the
same as other funds paid in satisfaction of a judgment.
(We note that funds paid in satisfaction of a judgment may not be paid into
court without the order of the court. Iowa Mutual Ins. Co. v. Burmester, 313
S.W.2d 897 (Tex. App.-Houston 1958); Texas & P.R. Co. v. Walker, 57 S.W.
568 (Tex. 1900).” (A.G. Opinion JM-1162).
CHILD SUPPORT FUNDS-NOT JUST FOR KIDS
Few child support cases are handled locally. Clerks may use one of two
systems for processing payments:
(1) Payment is received by the clerk, made payable to the recipient of the
child support, and the clerk delivers to the recipient.
(2) Payment is made to the clerk, then deposited into his/her special account.
The clerk will then write a check from that account in the amount to be
paid to the recipient. Fees may not be taken from the payment.
Using either system, the clerk must be able to prove accountability for the
receipt and timely disbursement to the receiving party.
(I prefer having the check made payable to the recipient of the child support
and mailing the payment. It is not feasible for my office to hand checks out in
person as I do not have enough staff or time. Further, I am not paying for the
cost of the checks.)
THE NAME IS BOND - CASH BOND
Cash Bonds in Civil Cases: These include bonds required in civil cases such
as those requiring specific performance, injunctions, sequestrations,
temporary restraining orders and others.
A.G. Opinion JM-1162: “....supercedeas deposits are paid to suspend the
execution of a judgment pending appeal, which is also a legal proceeding and
thus within chapter 117 of the Local Government Code. Definition of
supercedeas: Latin for “you shall desist” an order (writ) by an appeals court
commanding a lower court not to enforce or proceed with a judgment or
sentence pending the decision on the appeal or until further order of the
appeals court.
(A writ that suspends the authority of a trial court to issue an execution on a
judgment that has been appealed. It is a process designed to stop
11
enforcement of a trial court judgment brought up for review. The term is
often used interchangeably with a stay of proceeding.)
Cash bail bonds: A.G. Opinion C-740 (1966) states, in part: “The sheriff or
other peace officer accepting the cash bond should simply receipt the bond to
the defendant and then turn the money over to the clerk of the court or the
justice of the peace, whichever is the appropriate officer. …The court has no
authority to designate the sheriff to be the custodian of the funds.”
Further, A.G. Opinion H-183 (1973) supports the above A.G. Opinion as
follows: “a peace officer receiving a cash bail bond should deliver it to the
custodian of funds of the appropriate court.”
JC-195 (2000) states the sheriff is the holder of the cash bail bond until a
case if filed. Until that time, the sheriff may retain bonds and deposit the
cash into a separate bank account in the county’s depository bank (not
necessarily the trust account). The sheriff may choose to deposit the bond in
an interest-bearing account. If so, the sheriff must allocate the interest to
each bond separately so that when the sheriff returns the bond to the
defendant or transfers it to the clerk, he or she also pays out that bond’s
share of interest earned.
Population of 190,000 or more: “A sheriff’s authority to maintain the separate
interest bearing account may be limited by the county auditor, who “may
adopt and enforce regulations…that the auditor considers necessary for the
speedy and proper collecting, checking, and accounting for the revenues and
other funds and fees that belong to the county or to a person…for whose use
or benefit the (county or precinct) officer holds or has received funds.” LGC
Ann., Sec 112.002(b).” (A.G. Opinion – JC0195; A.G. Opinion DM-282 (1994)
at 405; JM-1162 (1990) at 3 and H-183 (1973) at 9.)
When the prosecutor files a case, the sheriff should deliver cash bail bonds to
the clerk as soon as reasonably possible.
YOU DON’T WANT ME TO BREAK THE LAW, DO YOU?
Returning a cash bail bond: Any cash funds deposited under Article 1.02 of
the Code of Criminal Procedure shall be refunded to the defendant if and
when the defendant complies with the conditions of his bond, and upon order
of the court. Returning the cash bail bond to the defendant when he/she is
not the person initially providing the cash may not seem to be fair and
equitable under certain circumstances, but, the clerk has no option but to
12
return the cash to the defendant. This statute has obviously not been written
to make clerks popular!
FEES PLEASE
A county or district clerk is authorized to withhold an administrative fee from
the return of funds deposited with the clerk as a cash bail bond, as per
Article 17.02, Code of Crim. Proc. This is confirmed by A.G. Opinion JC 0163
and Opinion GA-436 (2006).
ESCHEATING IS NOT CHEATING
Escheat definition: The vesting of title to property in the state in an escheat
proceeding under Chapter 71, TX Property Code.
The clerk is required to submit unclaimed property and funds over the
amount of $100. to the state comptroller. Funds held by the clerk under
$100. shall be remitted to the county treasurer to be held until claimed by the
owner.
Registry funds, except cash bail bonds, that are presumed abandoned under
Chapters 72, 73, or 75 of the Property Code, shall be reported and delivered
by the clerk to the comptroller without further action of the court.
If an individual dies intestate (without a valid will) and without heirs, the real
and personal property of that individual is subject to escheat or transfer to
the state. There is no waiting period. As soon as the court renders its
judgment for the state finding that an intestate died without heirs, the
property escheats to the state and title to the property is considered to pass
to the state on the date of death of the owner as established by the escheat
proceeding, and the state may begin proceedings to acquire the property.
(TX Prop. Code, Sec. 71.107)
Personal property is presumed abandoned if, for longer than three years:
1. the existence and location of the owner of the property is unknown to the
holder of the property, and
2. according to the knowledge and records of the holder of the property, a
claim to the property has not been asserted or an act of ownership of the
property has not been exercised. (Property Code, Sec. 72.101)
13
Every effort should be made by the clerk to notify the owner of any funds.
A record should be kept of the last known address even though mail may
have been returned.
The deadline for filing the unclaimed property report of dormant funds
subject to escheat is November 1, of each year. Unclaimed property may not
be remitted to the state comptroller until it has reached the required
abandonment period as of June 30. The following procedures are suggested:
1. June 30th of each year, the clerk should review all registry funds and
identify those accounts that meet the criteria for escheat (three year
dormancy period)
2. Notify owners of the property of the existence of the funds and keep
all documentation of your attempts to notify, including mail returned as
undeliverable.
3. On or before November 1, complete the required forms and mail with
your remittance to the state comptroller.
“EXCESS FUNDS”…WHO HAS EXCESS ANYTHING?
The sale of property for delinquent taxes may generate funds over and
above the amount of the judgment against the property. Known as excess
funds, this amount must be turned over to the clerk of the court issuing
the order of sale (TRCP, Rule 712) for safe keeping for a period of seven
years after the date of the sale of same. An order entered by the court
takes precedence over this requirement.
If no claimant establishes entitlement to the proceeds within seven years,
the clerk shall distribute the excess proceeds to each taxing unit
participating in the sale in an amount equal to its proportion of taxes,
penalties, and interest in relationship to the total amount of taxes,
penalties, and interest due all participants in the sale.
The clerk shall note on the execution docket in each case the amount of the
excess proceeds, the date they were received, and the date they were
transmitted to the taxing entities participating in the sale. (Tax Code, Article
34.03.
THE DIFFERENCE IN PROBATE
Dormancy period for registry funds begins on the later of:
(1) the date of entry of the final judgment or order of dismissal in the
action in which the funds were deposited;
14
(2) the 18th birthday of the minor for whom the funds were deposited;
or
(3) a reasonable date established by rule by the comptroller to
promote the public interest in disposing of unclaimed funds.
Within six months after the settlement of the final account of an executor or
administrator is approved by order of the court (or order of the court
approving the report of commissioners of partition), all heirs or persons
entitled to a portion of an estate, must demand his/her portion of the estate.
If demand has not been made, the probate court must by written order
require the executor or administrator to pay that portion that is in money to
the comptroller (Probate Code, Sec 427).
The court must also order the executor or administrator to sell, on the terms
the court thinks best, the portion of the estate being real property. When the
proceeds of the sale are collected, the court must order them to be paid to
the comptroller. The executor or administrator is allowed to collect
reasonable compensation for his or her services. This does not apply to a
resident minor without a guardian.
The exception of cash bail bonds was made due to conflict with Code of
Criminal Procedure Art. 17.02, which requires a court order for
disbursement.
POPULATION UNDER 190,000 vs. OVER 190,000
Counties under 190,000: A district, county, or precinct officer shall keep, a
statement of, in part, trust fund deposits in the registry of a court. The
county auditor or, if the county does not have a county auditor, the
commissioners court shall annually examine the records and accounts of each
officer and report the finds of the examination to the next grand jury or
district court. (LGC, Sec 114.041)
Counties over 190,000: The county auditor may audit registry funds. Opinion
H-1185 reflects “all money held by a county officer in an official capacity,
whether or not such money belongs to the county, is subject to audit by the
county auditor... The county is to adopt and enforce rules and regulations
for the proper collecting, checking and accounting of county funds and funds
collected for the use and benefit of a person (LGC, Sec. 112.002).
15
In addition to requirements for check-writing and reporting, this may include
banking requirements. AG Opinion JM 1162 states, in part, “Conceivably, the
county auditor could require that trust funds be placed in separate accounts
“for the speedy and proper collecting, checking, and accounting’ of the
funds…we believe that the clerk of the court has no duty to deposit such
funds in separate accounts or in interest bearing accounts, except as such
duty may be imposed by the court or other authority.”
Clerks in counties over 190,000 must establish a check writing procedure,
which may include counter-signature by the county auditor. Further, the
clerk may be required to furnish monthly reports, annual reports or other
reports regarding any money received or disbursed and “all money remaining
on hand at the time of the report.” The county auditor shall prescribe the
form and frequency of the report (LGC, Sec 114.043 and Sec. 117.058(b).
REGISTRY FORMS
---------District Clerk ______ county
NOTICE OF EXCESS FUNDS (Section 34.03, Subsection (a), Tax Code) revised 6-26-03
RE: Cause No., ___ SlYLED: _________ vs. ___________ _
This notice is to inform you that excess proceeds were deposited with the Clerk of the District Courts of ___ _ County, Texas, In the amount of$ on in connection with the above numbered and styled cause.
You are further advised to review the following text of Section 34.03 and 34.04, Tax Code regardJng your rights with respect to the excess proceeds.
' Section 34.03, Tax Code· Disposition of Excess Proceeds (a) The clerk of the court shall:
(1) If the amount of excess proceeds is .more tnan $25, before the 31st day after the date the excess proceeds are recelved by the clerk, send by certified mail, return receipt requested, .a written notice to the former owner of the property, at the former owner's last known address according to the records of the court or any other soun;e reasonably available to the court, that
(A) states the amount of the excess proceeds; (BJ Informs the former owner of that ow_ner's rights to claim the excess proceeds under Section 34.04;
and (C) indudes a copy or the complete text of this section and Section 34.04; and
(2) regardless of the amount, keep the excess proceeds paid into court as provided by Section 34.02(c) for a period of two yeaJS after the date of ttie sale unless otheTWise ordered by th'e court.
(b) If no claimant establishes entitlement to the proceeds within the period provided by Subseetion (a), the clerk shall distribute the excess proceeds to each taxing unit participating in the sale in ,!In amount equal to the proportion its taxes, penalties, and interests bear to the total amount of taxes, penalties, and interest due all participants in the sale.
(c) The clerk shall not on the execution docket In each case the amount of the excess proceeds, the date they were received, and the date they were transmitted to the taxing units participa_ting in the sale.
Section 34.04, Tax Code • Claims for Excess Proceeds (a) A pelSOn, including a taxing unit, may file a petition In the court that ordered seizure or the sale settinil forth a
claim to the excess proceeds. The petition must be filed before the second anniversai,y of the date of the sale of the property. The petition Is not required to be filed as an original suit separate from the underlying suit for
. . seizur:e of the property or foreclosure of a tax lien on the property, butmay be filed under the cause number of · the underlying suit.
(b) A copy of the petition shall be served, in the manner prescribed by Rule 21a, Texas Rules of Civil Procedure, as amended, or that rule's successor, on all parties to the underlying action not later than the 20th day before the date set for a hearing on the petition. ·
(c) At the hearing the court shall order that the proceeds be paid· according to the following priorities to each party that establishes its claim to the proceeds: ·
(1) to the tax sale purchaser If the tax sale has been adjudged to be void and the purchaser has prevailed in an adtion against the taxing units under Section 34.07 (d) by final judgment;
(2) to a taxing unit for any taxes, penalties. or interest that have become due or delinquent on the subject · property subsequent to the date of the judgment or that were omitted from the judgment by accident or
mistake; (3) to any other lien holder, Consensual or otherwise, fOr the amount due under a lien, in accordance with
the priorities established by applicable law; . (4) to a taxing unit for any unpaid taxes, penalties, interest or other amounts adjudged due under the
judgment that were not satisfied from the proceeds from the tax sale; and (5) ID each former owner of the property as the Interest of each may appear. provided that the former
owner: (A) was a defendant in the judgment; (B) is related· within the third degree of consanguinity or affinity to a former owner that was a
defendant in the judgment; or . (C) acquired by will or intestate succession the interest in the prope~ of a former owner that was a
defendant In the judgment. 24
'" (c-1 J Except as provided by Subsections (cJ(5J(BJand (CJ, a former owner of the properly that acquired an
Interest in the p~perly after the date of the judgment may not establish a claim to the proceeds. For purposes of this subsection, a fo11T1er owner of the properly is considered to have acquired an Interest In the properly after the date of the judgment If the deed by which the former owner acquired the interest was recorded in the real properly
, records of the county in which the properly Is located after the date of the judgment (d) Interest and costs may not be allowed under this section. (eJ An order under this section directing that all or part of the excess proceeds be paid to a party is appealable. (f) A person may not take an assignment or other transfer of an owner's ~aim to excess proceeds unless:
(1J the assignment or transfer is taken on or after the 3ff' day after the date the excess proceeds are deposited in the registry of the court;
(2J the assignment or transfer is fn writing and signed by the as5ignor or transferor; (3)' the assignment or transfer is not the result of an in-person or telephone solicitation; (4J the assignee or transferee pays the assignor or transferor on the date' of the assignment or
transfer an amount equal to at least BO percent of the amount of the assignor's or transferor's claim to the excess proceeds: and
(5J the assignment or transfer document contains a sworn statement by the assi9nor or transferor affirming:
(A) that the assignment or transfer was given voluntarily; (BJ the date on which the assignment or transfer was made and that the date was not earlier that
the 3ff' day after the date the excess proceeds were deposited in the registry of the court; (CJ that the assignor or transferor has received the notice from the clerk required by section
34.03; . (DJ the nature and specific amount of consideration given for the assignment or transfer, (E) the circumstances under which the excess proceeds are in the registry of the court; (FJ the amo1,mt of the claim to excess proceeds in the registry of the court; (GJ that 'the assignor or transferor has made no other assignments or transfeTS of the assignor's
or transferor's claim to the· excess proceeds; (HJ that the assignor or transferor knows that the assignor or transferor may retain counsel,: and (I) that the consideration was paid in fUll on the date of the assignment or transfer and that the
consideration paid was an amount equal to at least BO percent of the amount of the assignor's or transferor's claim to the excess proceeds.
(gJ An assignee or transferee who obtains excess proceeds without complying with Subsection (f) is liable to the a,ssignor for the amount of excess proceeds obtained plus attorney's fees anq expenses • An assignee or transferee who attempts to obtain excess proceeds without complying with Subsection (f) is liable to the assignor or transferor for attorney's fee and expenses.
(hJ An assignee or transferee who files a petition setting forth a claim to excess proceeds must attach a copy of . the assignment or transfer document and produce the original of the assignment or transfer document in court at the hean'ng on the petition. If the original assignment or·transfer document is lost. the assignee or transferee must obtain the presence of the assignor or transferor to testify at the heanng In addition, the assignee or transferee must produce at the heai1ng the original of any evidence verifying the payment of the consideration given for the assignment or transfer If the original of any evidence of the payment is lost or if the payment was in cash, the assignee or transfe;ee must obtain the presence of the assign.or or transferor to testify at the hearing.
(iJ A fee charged by an attorney to obtain excess proceeds for an owner may not be greater that 25 percent of the amount obtained or $1,000, whichever Is less ·A person. who is not an attorney may not charge a fee to obtain excess proceeds for an owner. · . ·
(j) The amount of the excess proceeds the court may order be paid to an assignee or transferee may not exceed 125 percent of the amount the assignee or transferee paid the assignor or transferor on the date of the assignment or transfer. ·
This office cannot provide you fonns or legal advice to· claim the excess proceeds • ........................................................ **** .................................... *********
CERTIFICATE OF SERVICE 1, District. Cieri<, County, Texas hereby certify that a true and correct copy of the
foregoing/attached Notice of Excess Funds in the above styled and numbered cause was sent by certified mail to
________ on the _day of 20_.
Certified Mall Receipt# _________ _
Attach Receipts: 25
________ __,District Clerk ______ County, Texas By _____________ Deputy
'- CAUSE NO. --
vs.
IN THE DISTRICT COURT
____ COUNTY, TEXAS
__ JUDICIAL DISTRICT
CLERK'S CERTIFICATE
I, --------J do hereby certify that I am the duly qualifi~d elected District
Clerk of' ~ounty, Texas. In my capacity as District Clerk I am the legal
custodian of all of the papers filed and funds deposited in any cause pending in any
District Court of County, Texas.
I further Certify that I have researched the file and paperwork regarding excess fees filed
in this cause and have detennined the address of the former owner of the property made
the basis of this suit is not available in the file to send notice pursuant to §34.03, Tax
Code.
Given under my hand and seal of office at ____ Texas this day of
____ County District Clerk
By "' Deputy Clerk
26
- CLERK'S MOTION TO DISBURSE EXCESS PROCEEDS -TAX CODE-34.03 (a) & (b)
Plaintiff vs.
Defendant
CAUSE NO. ___ ~-
§ § § § § §
IN THE DISTRICT COURT
____ JUDICIAL DISTRICT
_____ COUNTY, TEXAS
On a tax sale was held in County and Excess
Proceeds in the amount of$ was deposited into the Registry of the Court in a
non-interest bearing account on on the following property: TRACT#1- _____________________________________________________ ___
Notice of Excess Proceeds was mailed by certified mail, return receipt requested on
--------to the former owner of the property at the last known address according to
the records of the court, or any other source reasonably available to· the court informing the
amount of the proceeds and their rights to claim the Excess Proceeds under Section 34.04.
On notice to dismiss for want of prosecution mailed to attorney of
record with no answer filed on an Order for Dismiss for want of prosecution
was signed.
In accordance with Sec. 34.03, Tax Code, and the time being at least two (2) years from ·• ,
the date notice was given by the District Clerk of Bandera County, Texas and no claimant
established en~itlement to the proceeds within the time period of 2 years, moves th·e Court to
allow the clerk to distribute the Excess Proceeds to any outstanding_ court cost or fees and the
remaining proceeds, after costs are paid, to each taxing unit participating in the sale in an
amount equal to the portion of its taxes, penalties, and interests bear to the total amount of
taxes, penalties, and interest due all participants in the sale; and to allow the clerk retain a fee to
compensate the county for accounting and administrative expenses incurr~d in handling the
registry fund in an amount equal to 5% of the withdrawal, not to exceed $50.00, pursuant to
Chapter 117.055, Texas Local Government Code.
Date:-------
Cc: Plaintiff Attorney Defendant(s)
I 27
g
Respectfully Submitted
District Clerk _______ County, Texas
Plaintiff· vs.
Defendant
CAUSE NO._~~~-
§ § § § § §
ORDER
IN THE DISTRICT COURT
___ .JUDICIAL DISTRICT
____ COUNTY, TEXAS_
On this the __ day of ------ 20_, the Court having considered the
motion to disburse funds in the Registry of the Court, and the Court having heretofore
granted said motion;
It is therefore ORDERED, ADJUDGED AND DECREED that the District clerk of
------ Cou_nty ,shall distribute the Excess Proceeds to any unpaid court
costs or fees and the remaining balance to each taxing unit participating in the sale in
an amount equal to the portion of its taxes, penalties, and interests bear to the total
amount of taxes, penalties, and interest due all participants in the sale; and
It is FURTHER ORDERED the clerk retain a fee to compensate the county for
accounting and administrative expenses incurred in handling the registry fund in an
amount' equal to 5% of the withdrawal, not to exceed $50.00, pursuant to Chapter
117.055, Texas Local Government Code.
SIGNED AND ENTERD ON THIS THE ___ DAY OF _____ , 20_.
28
q
JUDGE PRESIDING _____ COUNTY, TEXAS
NO.
§ IN THE DISTRICT COURT § §
vs. § COUNTY, TEXAS § § § __ JUDICIAL DISTRICT
RELEASE OF JUDGMENT (SBCIION 31.008(a), CIVIL PRACTICE AND REMEDIES CODE)
WHEREAS, heretofore on the __ day of ______ _,, 19__, judgment was
entered in the above entitled and numbered cause in favor of __________ and
against for the sum of$ . interest and costs, and
· WHEREAS, the judgment debtor has filed with this office an affidavit in accordance with . . . . Sec. 31.008, Civil Practice and Remedies Code, and
WHEREAS the judgment debtor ___ ...._ ______ has paid the sum of$
into the registry of the court in satisfaction of said judgment, receipt of which is hereby
acknowledged;
NOW, THEREFORE, KNOW ALL MEN BY THESE PRESENTS;
TIIAT, ~ ------- District Clerk for~ County, Texas, on behalf of the
judgment creditor do hereby rel~e, acquit and forever discharge the
said judgment debtor~ __ ___,__ __ _
. Given under my hand and seal of said Court at office in the City of~· ___ ,, this the
_day of 19_.
District Clerk, .__County
29
\l..
\
I ,
-----COUNTY DISTRICT CLERK
Memo To: The Honorable -------_____ County Judge and
Commissioners
From: ·District Clerk
Date:.--------
RE: District Clerk Registry Account
To clarify any is~ues regarding Sec.117.021, Local Government Code,
when a contract for the registry depository, this is to inform you that the District
Clerk's registry fund deposi~ry a~count should not earn interest. The .average
balance of this account is $ ------I am requesting that our court costs account again earn interest and our
criminal accounts. Four your information in c!_etennining th~ collateral amount
necessary to secure the District Clerk's accounts, fhe average daily balance of all
accounts combined is $ ______ _
Cc: County Treasurer
County Auditor
\6
vs.
CAUSE NO. __ _
§ IN THE DISTlp:CT COURT
§
§
___ JUDICIAL DISTRICT
~~---COUNTY, TEXAS
REQUEST TO TRANSFER REGISTRY FUNDS
Now comes the District Clerk of ____ reques~ing to transfer Court ordered
registry funds deposited in the a dMsion of \ -------'
to another FDIC financial institution located within _____ County. The
purpose of the transfer is----------
Respectfully Submitted,
______ _.... ___ Clerk _______ county, Texas
ORDER TO TRANSFER FUNDS
It is ORDERED, that the District cl_erk of _____ County shall transfer any and all
registry funds· invested at the in Bandera County, Texas to another I
FDIC approved financial institution located within· Bandera County, under the same
provisions as the original Court Order, placing· the funds in the Registry of the Court
securing the best possible interest return for the account.
SIGNED AND ENTERED on this the __ day of ______ 20_.
Presiding Judge. _________ Counfy, Texas
(
Information Required for Opening an Interest-Bearing Account
NOTE: The money deposited with our office cannot be invested into an interest-bearing account and will not draw any interest without this information.
Name of Mip.or or Deceased:
HDeceased
Tai ID Number for Estate:
(You cannot use the Deceased's Social Security Number and you cannot use the Social Security Number of the Administrator/Executor. You must get a Tax ID number for the Estate. This is obtained from the IRS. Banlcs will not allow you to open an account in the name of an Estate without a Tax ID number.)
HMinor
Social Security Number of Minor:
Date of Birth for Minor:
1099-INT tax statements are issued yearly from the bank so that you can report your · interest earned to the IRS. Please state the name, address and phone number for the person that we need to forward this statement to:
ADDRESS
CITY. STA'IE.ZIP
PHONE NUMBER
- 32
,.
CAUSE NO.:
..,.-------DISTRICT CLERK REGIS'fl!.:V FUND DEPOSIT INFORMATION SHEET
~~----------
STYLE OF CAUSE: ~~~~~~~~~~~~~~~~~-
MINORS'S NAME: ~~--~~----~--'"--~---
MINOR'S DATE OF BIRTII: ~~-~~~~~~~~~~~-~
MINOR'S SOCIAL SECURITY NUMBER: ~----~------
NAME, ADDRESS AND PHONE NUMBER OF PARENT/NEXT FRIEND:
N~, ADDRESS AND PHONE NUMBER OF GUARDIAN AD LITEM:
NAME, ADDRESS AND PHONE NUMBER OF PARENT/NEXT FRIEND:
NAME, ADDRESS AND PHONE NUMBER OF PARENT/NEXT FRIEND'S ATT0RNEY:
FORM 1099-INT WILL BE SENT TO TIIB ADDRESS OF THE PARENT/NEXT FRIEND EVERY YEAR. IT IS THE RESPONSIBILITY OF THE AITORNEY OF RECORD TO NOTIFY THE FANNIN COUNTY DISTRICT CLERK'S OFFICE OF ANY ADDRESS CHANGES.
33
vs.
CAUSE NO. -----
][ IN THE DISTRICT COURT
][
][
__ JUDICIAL DISTRICT
______ COUNTY, TEXAS
ORDER ALLOWING CLERK TO RETAIN A FEE OF OFFICE - lGC 111.054. 055
On this the __ day of ______ 20_, the Court having considered the
application to withdraw funds in the Registry of the Court, and t_he Court having heretofore
granted said motion;
It is therefore ORDERED, ADJUDGED AND DECREED that the District clerk of
-------County shall, prior to the disbursement of funds, be entitled to:
[ ] a fee of office for maintaining a special court registry account in an amount equal to 10% of the interest earned on the account, pursuant to Chapter 117.054 Texas Local Government Code.
[ ] a fee comp~nsate the county for accounting and administrative expenses incurred in handling the registry fund in an amount equal to 5% of the·withdrawal, not to exceed $50.00, pursuant to Chapter 117.055, Tex~s Local Government code.
SIGNED AND ENTERED on this 'the __ day of ______ 20_.
Judge __ District Court _______ County,, Texas
34
Cause No. -----
vs.
§ § § § § § § § §
IN THE DISTRICT COURT OF
~----COUNTY, TEXAS
___ JUDICIAL DISTRICT
MOTION TO TERMINATE TRUST AND RELEASE OF FUNDS
Comes now Plaintiff herein and requests the funds being held in trust for the benefit of
---------------be released and the trust created by this Court on
-------- be terminated for the reason that the minor for whom the trust is being
held attained the age of 18 on as shown by the attaChed copy/copies of:
D Birth Certificate
D Driver's License
D · Social Security Card
Q DPS Identification Card
D Other:. _________ _
Respectfully submitted this ___ day of ________ _. 20_.
(Name)
(address and phone number)
35
vs.
Cause No. -----§ § § -§ § § § § §
IN THE DISTRICT COURT OF
____ COUNTY, TEXAS
___ JUDICIAL DISTRICT t
ORDER TERMINATING TRUST AND RELEASING FUNDS
On this day was heard the Motion to Terminate Trust and Release Funds and it1
appearing to
the Court that the minor has reached 18 years of age,
IT IS THEREFORE ORDERED AND 'DECREED, that the District Clerk of
_____ County, Texas release the balance of funds on deposit with the
-------- in ___ _, _____ County, Texas, constituting the trust
created by this Court for the benefit of ____________________ an_d;
IT IS THEREFORE ORDERED the District Clerk of County shall, prior to
the disbursement of the funds, be entitled to a fee of office for maintaining a special court registry . .
account in an amount equal to 10% of the interest earned o:r;i the account, pmsuant to Chapter
117.054, Texas Government Code ail.cl;
IT IS FURTHER ORDERED that said trust is terminated and the District Clerk is released
as trustee.
SIGNED AND ENTERED this the_ day· of ______ 20_.
Judge Presiding
36
THE STATE OF TEXAS
vs §
§
§
IN THE DISTRICT COURT OF
COUNTY, TEXAS
___ JUDICIAL DISTRICT
APPLICATION TO RELEASE FUNDS DEPOSITED FOR CASH BAIL BOND
TO THE HONORABLE JUDGE OF SAID COURT:
NOW COMES, __ .:.._. _________ __., Depositor, who says as follows:
§ I am the person who deposited the cash funds in this case, to_be_ us~d as a Cash Bail Bond as sho~n by the receipt records of the District Cler~ of. _ · County, Texas.
§ I am entitled to receive the funds so deposited because on the day of · , 20 , the Judge of the above District Court
--=::--~--:-----:--~---..,....,....-,.:entered a Final Judgment in the above entitled and numbered case.
I'
§ No Motion for New Trial or Notice of Appeal has been filed and all matters have been concluded in this criminal case.
THEREFORE, the Depositor requests this Court to order the District Clerk of County, Texas, to release the funds previously deposited as a Cash Bail Bond in this case to the Depositor.
-Respectfully Submitted,
Depositor
Telephone Number
ORDER
On_ thl~ q~y, the Court considered the above Application for release of funds held by the District Clerk of. County, Texas, and finds that such Application should be GRAN.TED. Additionally, pursuant to §117.055, T~,q;is Lo~! Gov't Code, 5% of the. C~h Ball Bond, not to exceed $50.00, shall be retained by the. . County di~trict Clerk as an Administrative Fee.
IT IS THEREFORE ORDERED, that ttie District Clerk of __ County, Texas, confirm the identity of the Depositor of the cash fUnds in the above case and, upon confin'ning the identity of such Depositor, release the funds previously deposited as a Cash Ball Bond to the Depositor.
Signed thi~ the day of 20_.
JUDGE PRESIDING
37
,,. ... ··
OIU>ER TO REFUND C.ISJI BOND· CCP 17.02
THE STATE OF TEXAS
vs. CAUSE NO.~~~~~
IN THE ___ DISTRICT COURT
OF CO. TEXllS
On this the __ day of_. ______ , 20_ it appea:ring to the court that a
cash bond in the amount of $ ____ having been previously deposited with the
Clerk of this court to assure the appea:rance of the defendant before this Court in . . .
The above numbered cause on the Court:s Cximina~ Docket, and it further
appearing to the Court that the liability of the defendant to appea:r in this cause has
been fully discharged and that the liability of his sureties has temiinated.
rr IS DIRECTED that the Clerk of the Court refund the said cash.bond in the
Amount of$ _____ to __________ Defendant in said cause,
less however a fee of 5% of the bond, not to exceed $ 50.00 to be retained by the
clerk to compensat~ the county for administrative expenses [Ch 117.055 Tex Local
Gov Code)
PRESIDINq JUDGE, ___ District Court _________ County, Texas
Received this the __ day of _____ 20 __ by _______ _ Defendant
38
Application for Release of Cash Bond
I, ---------•request the comttD release the cash .Bondin the
amount of"-~--- posted in Case Number _______ , Styled:
The $tate of'l'elras Vs. ____ ___,_ __ ::....-._. 'Ihe said bond has never. been
forleit.ed and said Defendant·~ satisfied all condition& of the bond.
l undenJtand in accordance with Art 17.02 of the Code of Criminal Procedure that
the refund· must be .uw.de t.o the defendant. I release the Cleric fro~ ~ liabilify and
accountabili.'fN hereof.
Art. 17. 02--A "ball. bond' is a written undertaking entered into 'by 'thiJ defendant and his sureties for the appemrm.ce of the principal thereitr, before same oaun: or maglsrrom to answer a· crimitloz
· aa:usation; proW1al, hcJtJaJet; that the dsfendarrtipm ~of such bail bond may~ uilh the cvsfDdian of jimds of the OOUTt in. which the prmeadion. i9 pending rurrent 't11t1rfP1J of the Ohited Sfl1tes in the amount of the bond in lieu ofhcwing sureties si{Jl1ing t1.te same. AtJY w.shfonds deposifsd Zlnlie this Mide shall be reoejpted for by the ojfv:er remiuing the same and shall be trftm4sdto t~ defendant if and when the defendant oomplies uiilh the amdilions of his bol1£4 and upon,orderofths court.. ·
Date
Defendants Signatuare Address
'
Phone Number-··
Applicants Signature (If different from def~ant)
\
*Note- A. copy of drivers Iicens~ must accompany this application. Your refund will be mailed to )Wath:r ajudgexeview}'Ourapplicalionand mtms anOitler·~wingthe:funds to be released.
39
The State of Texas Vs.
\
CAUSE NO.
* *
Jn The Count¥ Co'lUt Of __ a County, 're:xas
ORDER REG4RDING CASH Bom.
On the de¥ of 20_this Court entered a judgment in the abo'Ve sf;yled and numbered case. The Court finde the Cash Bond was posted in said case by and that said bond has never been forfeited. Said Defendant has satisfied all conditions of ~aid bond> therefore the bond pursuant to. A\1. 17.02 of the Code of Criminal Procedure is hereby releaS°ed to the defendant.
~--
Signed this day _______ _
..__ __ ~CJounti}' Judge
40
ASSIGNMENT OF CASH.·BOND SECURITIES In accordance with Article 17.02 of the Texas Code of Criminal Procedure, the Defend~t is $e only person entitled to receive~ refund of cash bond securities upon :final disposition of the cause of action.
THE STATE OF TEXAS § § §
KNOWALLMEN
BY THESE PRESENTS
THAT I, _____ hereby waive my entitlemem as the recipient of cash bond securities
in cause number _____ and furthermore,, I hereby convey the cash bond securities in
.the sum of $ __________ ...... Dollaz:s, receipt number _____ on
deposit with the District Clerk of County, Texas, and. freely and voluntarily
assign as the designated recipient of said ft:,lnds.
Defendant's Signature
Subscribed and sworn to before me this ____ day of ______ , 20_.
Notary Public In a·nd For The STATE OF TEXAS
EXPIRATION DATE:
REFUNDS of cash bond securities are obtained from the County District Clerk's Office located in the County Courthouse,-~-------They require the following documents in order to issue a refund:
(1) An order refunding the cash bond (2) Proof of Jdentify (3) This Official Assignment of Cash Bond Securities
Original to: District C!elk Copy to: Defundant. assignor
Person pa'/i~ the bond-Assignee
41
Texas Rules of Court
RULE 14c. DEPOSIT IN LIEU OF SURETY BOND '
Wherever these rules provide for the filing of a surety bond, the party may in lieu of filing the
bond deposit cash or other negotiable obligation of the government of the United States of
America or any ~gency thereof, or with leave of court, deposit a negotiable obligation of any
bank or savings and loan association chartered by the government of the United Sta~s of
America or any state thereof that is insured by the go~erm:nent of'the United States of
America or any agency thereof, in the amounffixed for the surety bond, conditioned in the
same ma!'ner as would be a surety bond for the protection of other parties. Any i!lterest
thereon shall constitute a part of the '<:feposit.
42
vs.
CAUSE NO.-----
0 IN THE DISTRICT COURT
D
D
___ JUDICIAL DISTRICT
______ COUNTY, TEXAS
CERTIFICATE of CASH BOND t me l4c)
KNOW ALL MEN BYT.DSE P.RESENTS, THAT I,------------
having this day deposited into the registry of the Court, a cash bond in lieu of sureties in
the amount of$ ______ do hereby aclmowledge myselYourselves bound to pay
____________________ the sum of$. ______ _,
conditioned in the same manner as would be a surety bond for the protection of another
party, and that I/we will pay all sums of money and costs that may be'adjudged against us
WITNESS· our/my hand this the __ day of _____ 20 _.
Principal
APPROVED this the_ day of 20 _.
Clerk, of the District Court ------~-~County, Texas
43
Texas Rules of Court
RULE 684. APPLICANT'S BOND
In the order granting any temporary restraining order or temporary injunction, the court shall fix the
amount of security to be.given by the applicant. Before the issuance of the temporary restraining
order or temporary injunction the applicant shall execute ~4 file with the clerk a bond. to the adverse
party, with two or more good and sufficient sureties, to be approved by the clerk, in the sum fixed
by the judge, conditioned that the applicant will abide the decision which may be made in the cause,
and that he Will pay all sums of money and costs that may be adjudged against him if the restrainin$
order or temporary injunction shall be dissolved in whole or in part.
Where the temporary restraining o!der or temporary injunction is against the State, a municipalitY,
a State agency, or a subdivision of the State in its governmental capacizy, and is such that the State,
·municipality, Stat'e agency, or subdivision of the State in its governmental capacity, has no pecuniary
interest in the suit and no monetary damages can be shown, the bond sh~l be allowed in the sum . .
fixed by the judge, and the liability of the applicant shall be for its face amount if the restraining
order or temporary injunction shall be ,dissolved in whole or in part. The discretion of the trial court ,.
in fixing the amount of the bond shall be subject to review .. Provided that under equitable
circumstances and for good cause shown by affidavit or otherwise the court rendering judgment on. . . ,
the bond may allow recovery for less than its full face amount, the action of th~ court to be subject
to review ..
44
CAUSE NO.------
0 IN THE DISTRICT COURT
0 JUDICIAL DISTRICT
D COUNTY, TEXAS
CASH BOND -TRO. TRC 684
KNOW ALL MEN BY THESE PRESENTS, THAT I,-----------
having this day deposited in the registry of the District clerk, a cash bond in lieu of sureties in the
amount of$ do hereby acknowledge ourselves bound tO pay _____ _
the sum of ---------- ----------------Dollars, conditioned that _______________ will abide by the
decisions which may be made in the above styled and numbered cause, and that we will pay all
sums of money and costs and that may be adjudged against us if the Temporary Restraining
Order issued in the aforesaid cause on the day of 20 __ ~njoining
~----------~--------~ should be dissolved in whole or part.
WITNESS my hand this the day of _________ 20_.
Principal
APPROVED this the day of ______ 20 __ .
District Clerk, _______ County, Texas
BY~~-----------~·Deputy
45