Appointment of Trustee; Attorney'S Fees

Sec. 1508.112. APPOINTMENT OF TRUSTEE; ATTORNEY'S FEES. A contract under which a project is encumbered under this subchapter may provide for: (1) the selection of a trustee to sell the project on: (A) a default in the payment of principal or interest; or (B) a violation of the terms of the encumbrance; (2) the selection of a successor trustee if the original trustee or a substitute trustee is disqualified or fails to act; and (3) attorney's fees in an amount not to exceed 10 percent of the unpaid principal. Added by Acts 1999, 76th Leg., ch. 227, Sec. 1, eff. Sept. 1, 1999.