The answer depends entirely on the terms outlined in the trust document. In most cases, when the grantor (also known as the settlor) of an irrevocable trust passes away, the trust either terminates and distributes the assets or continues to hold them in trust for the beneficiaries. The trust document will clearly state what should […]
When news surfaced of conflict within the late Jimmy Buffett’s $275 million estate, we were already preparing a video. The story had all the markers of a high-stakes trust dispute: a surviving spouse raising concerns, a professional trustee under scrutiny, and adult children with major assets on the line. It’s exactly the kind of complex […]
Can a Trustee Face Criminal Charges in California? Trustees in California have significant responsibilities. They are legally obligated to follow the terms of the trust and act in the best interests of the beneficiaries. When they fail to meet those duties, beneficiaries can bring a lawsuit for breach of fiduciary duty. But what about criminal […]
When it comes to trust management, trustees hold a critical position of responsibility. A key case that sheds light on trustee obligations and accountability is Leader v. Cords. This landmark case has become a cornerstone in trust litigation, particularly in cases where trustees delay or refuse to make distributions to beneficiaries. Let’s explore what this […]
Nothing is more troubling than a trustee who fails, or worse yet refuses, to account. The California Probate Code, along with most trust documents, require the trustee to account annually to the trust beneficiaries. The required trust accounting also must be in a set format outlined under Probate Code sections 1060 through 1063. The format […]
Follow Trust Terms The trustee has a duty to follow the Trust terms. In other words, do as they’re told. May sound obvious, but it’s remarkable how often trustees seem to get that one wrong. It is a basic trustee duty that can be found at California Probate Code section 16000. Too often individual trustees will […]
Every Trust has written direction to the Trustee that sets forth how the Trust assets must be distributed to the Trust beneficiaries. Sometimes the assets are set to pass “outright and free of trust.” That just means the beneficiaries receive the assets in their own name. For example, if the Trust has 100 shares of […]
If you are a beneficiary of a Trust in California, you have legal rights. Below is a list of some of a California Trust beneficiary’s basic rights. Obtain Copies of Trust Documents Trust beneficiaries are entitled to receive copies of the Trust documents. Beneficiaries should receive copies of the Trust when either: The Trust (or […]
There’s a lot beneficiaries can do to set things right, but it’s not as easy as you may think. Often beneficiaries will say “isn’t the Trustee breaking the law?” The answer is yes, but who is going to stand up and hold the Trustee responsible for breaking his or her duties as a Trustee? The […]
When you have a trustee who’s also a beneficiary, there’s an inherent potential conflict of interest. A trustee is a person who’s going to make all of the management decisions for the Trust. For example, the trustee may decide to sell an asset or to keep an asset, but that decision will have an effect […]
