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The actor, who famously played J.R. Ewing on the hit primetime soap Dallas, was 81.
"When he passed, he was surrounded by loved ones," his family said in a statement released to the Dallas Morning News on Friday. "It was a peaceful passing, just as he had wished for. The family requests privacy at this time."
"This is so sad. Larry was really someone who was loved by everyone," his agent Joel Dean tells PEOPLE. "Me especially. He was the most loving, wonderful, generous man. And he was a true trouper."
In late 2011, Hagman announced that he was battling cancer but he had also signed on to star in the TNT reboot of Dallas, which recently started filming its second season.
"Larry was back in his beloved Dallas, re-enacting the iconic role he loved most," his family said in the statement.
In addition to portraying J.R. – a lovable, scheming, villainous oilman, whose shooting death was a topic of international water-cooler discussion – Hagman starred alongside Barbara Eden as Major Anthony Nelson in the iconic '60s hit sitcom I Dream of Jeannie.
According to the Morning News report, Hagman's Dallas costars Linda Gray and Patrick Duffy were by his side on Friday at Medical City Dallas Hospital when he died.
Larry Hagman Dies
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Larry Hagman Dies