California Trust Litigation Attorney

Ensuring Trustees Uphold Their Fiduciary Duty

Trusts are a popular estate planning tool because they allow the trustor to give specific instructions regarding the management and distribution of the assets. Trusts have many benefits that people rely on to pass their wealth to their family members when they pass away. A revocable living trust allows the trustor to maintain control over the trust assets during their lifetime. When they pass away, the living trust allows their assets to be distributed privately and without the need for probate court.

Some trusts are used to protect family members with special needs, allowing the trustor to pass their estate to a disabled loved one without risking their access to necessary government benefits like Medicaid. Trusts can be created to shield the assets within it from creditors and lawsuits. Other trusts can be used to minimize the tax burden on the trustor’s estate. Trusts are truly a great estate planning tool.

But what happens when disputes arise surrounding the administration of the trust or distribution of its assets? What options do the beneficiaries have when the trustee fails to honor the trustor’s final wishes? When a trust is mismanaged, it can leave the beneficiaries feeling insecure about their financial stability, especially if they rely on the estate assets to survive. When disputes can’t be civilly resolved or a trustee acts insincerely, trust litigation may be necessary.

Yonano Law Offices, P.C. has a proven track record of guiding clients through trust, probate, and estate litigation. Let us help ensure your loved one’s trust is being handled the way they intended. Call 916-894-8790 to learn how Yonano Law Offices, P.C. can help you.

What is a Trust?

To understand trust litigation, you have to understand trusts and their parts first.

A trust is a legal document used to administer and distribute assets. The person who creates a trust is called a trustor. When they draft their trust, they will outline the details of the trust, its assets, the trustee’s duties, and how the assets will be distributed. The person appointed to administer the trust is called the trustee. They have a very important job and something called a fiduciary duty. Fiduciary duty means they are required to always act in the best interests of the trustor and beneficiaries. The trustee is charged with managing the trust and distributing assets as outlined by the trustor. The people who receive assets from the trust are called the beneficiaries.

With a revocable living trust, the trustor, trustee, and beneficiary may all be one person. This allows the trustor to control how the trust assets are used during their lifetime. While planning their estate, they choose a successor trustee, someone who can step in and take over control of the trust should the trustor become incapacitated or pass away. Likewise, successor beneficiaries will become the recipients of the trust’s assets.

As you can see, trusts are complicated, and making a mistake during any phase of their creation can lead to disputes or legal pitfalls.

What Are Common Grounds for Contesting a Trust?

If trusts are so valuable to the estate planning process, why would you ever contest one? That’s a great question, and the answers are very similar to why you may need to pursue probate litigation. If you see any issues with a trust, probate, or how an estate is being administered, you should speak to a litigation attorney. Speaking with an attorney as soon as possible can help avoid disputes and resolve existing disputes amicably. Yonano Law Offices, P.C. has the experience needed to assist you with your trust litigation needs.

Some common reasons to contest a trust include the following.

Undue influence – You believe the trustor was pressured or manipulated into creating a trust or amending an existing trust.
The trustor lacked the mental capacity to create a trust – When creating a trust, the trustor must be aware of what they are doing. If they were suffering from cognitive impairments or mental illness during the creation of the trust, you may feel the need to contest it.
Fraud or forgery – If the trust documents were created or modified based on false information or their signatures were faked, then a trust contest is certainly possible.
Improper execution – A trust must be created in accordance with California laws, which require witnesses to the signing. A trust may be invalid if it ignores the law.
Ambiguous and contradictory language – If the trust’s terms are difficult to enforce because of poor language, disputes between beneficiaries may arise as they try to interpret the trustor’s intent.
Breach of fiduciary duty – The trusty fails to act in the best interests of the beneficiaries.

When one of the above grievances occurs, you may feel obligated to voice your concerns. However, speaking with a trust litigation attorney first can ensure your concerns are well-founded and enforceable. Call 916-894-8790 to speak with a trust litigation attorney about your trust contest concerns.

What are Trustee Disputes?

Sometimes disputes arise not because of the content of the trust document or from will contests but because of the trustee’s action or inaction. The trustee has an important job with many responsibilities, and when they fail to fulfill their fiduciary duties, it is usually the beneficiaries who suffer.

Common trustee disputes may include:

Breach of fiduciary duty – When the trustee acts in their own best interests instead of the beneficiaries, or they fail to follow the trust’s terms, they breach their legal duties.
Mismanagement of trust assets – Poor financial decisions and neglect of assets can lead to financial loss or the loss of value of trust property.
Failure to provide accounting – Beneficiaries are entitled to receive accounting updates regarding the trust’s assets and management to ensure the trust is being properly managed. Failure to supply these financial documents is a breach of the trustee’s responsibilities.
Self-dealing – Self-dealing is a serious breach of the trustee’s legal duties and often requires immediate legal action. If the trustee uses trust funds for personal benefit or sells themselves property held by the trust for less than its market value, they steal wealth intended for the beneficiaries.

How Does a Trust Litigation Lawyer Help Trust Contests?

You may be wondering how an attorney can help you with your trust concerns. The first thing to remember is the creation of a trust is a complicated legal process with many steps involved. That means the litigation process is also a complex legal process that requires a deep understanding of trusts.

Identifying Legal Grounds for a Challenge

The first step is to determine whether or not there are legal grounds to challenge the trust. When you suspect foul play or believe the trustee is not following their fiduciary duty, a trust litigation lawyer can help you build your case. The burden of proof lies with the person who is contesting the trust. Speaking with a lawyer can ensure you show up prepared.

Gather and Preserve Evidence

Because the burden of proof lies with the person contesting the trust in trust litigation, you will need strong evidence to support your claims. Our legal team knows how to collect the proper documentation, such as medical records, financial communications, and legal documents. We will arrange witness testimony to support your claims.

File the Required Legal Petitions

California has strict guidelines and deadlines for filing a petition. When you decide to pursue legal action, our legal team will ensure the petition is filed correctly and on time and that your right to challenge the trust or trustee is respected.

Should You Hire a Trust Litigation Lawyer?

Deciding whether or not to hire a trust litigation attorney is a major decision. However, taking the risk of allowing a trust to be mismanaged, an invalid trust to be executed, or trust disputes to go unaddressed can have lasting unforeseen consequences. Trust and estate litigation is a complicated area of the law. Attempting to navigate litigation matters without a professional can result in your trust litigation issue snowballing into a bigger problem.

Yonano Law Offices, P.C. can assist you with this and other trust and estate litigation matters. We represent clients and their specific needs, and we understand each case is unique and demands a custom approach. Trust litigation cases vary from one client to the next, and we have the experience needed to guide you through this complex process.

Call 916-894-8790 to schedule an initial consultation with our trust litigation attorney.