Recent Blog Posts
Trustee Liability for Failure to Give Proper Notice After a Settlor’s Death
TRUSTEES MUST SEND PROPER NOTICE TO BENEFICIARIES AFTER A SETTLOR DIES The California Probate Code requires the trustee of a revocable inter vivos trust (i.e., a trust that was established as a revocable trust during a settlor’s lifetime) to give certain notices, and disclose certain information, to the beneficiaries of the trust at certain… Read More »
What is a Professional Trustee?
WHAT IS A PROFESSIONAL TRUSTEE? A trustee is the person (or entity, acting through an authorized individual representative) that manages trust property (also known as the trust estate). In the case of family trusts or individuals’ private trusts, the trustee usually is a private individual, either the settlor or one of the settlor’s friends or… Read More »
What Kinds of Trusts Can Exist in California?
WHAT IS A TRUST? In the law, a “trust” is a legal relationship that relates to property. People think of a trust as a “thing,” but in reality, a trust is a set of relationships, defined with respect to property. The property that is held in a trust is called the trust estate or trust corpus…. Read More »
What is the “Business Judgment Rule”?
THE BUSINESS JUDGMENT RULE WAS DESIGNED TO PROTECT CORPORATE OFFICERS The “Business Judgment Rule” is a legal principle that protects the officers and directors of corporate entities (for example, a corporation or LLC) from liability for certain kinds of actions (when acting in their official roles, on behalf of the entity). In simplified terms,… Read More »
When Has a California Trustee Breached His or Her Fiduciary Duty?
FIDUCIARIES MUST ACT WITH “UTMOST GOOD FAITH” A fiduciary, like the trustee of a trust, must act with the highest degree of good faith, and for the benefit of the person or entity to whom the fiduciary owes the duty. In the case of a trustee, this means managing the trust, and the trust… Read More »
Who Has a Fiduciary Duty Under California Law?
WHEN DOES A FIDUCIARY DUTY ARISE? Fiduciary relationships arise in several situations, including attorney-client relationships and the relationship between a trustee and a trust/beneficiaries. Generally speaking, fiduciary relationships involve confidentiality, trust, integrity, and a situation where a beneficiary is relying on the expertise, special skills, and/or integrity of someone else. However, a fiduciary duty… Read More »
Who Can be Sued for Breach of Fiduciary Duty?
Someone who owes, and breaches, a fiduciary duty in a manner that causes injury to the beneficiary.* *As long as the legal elements of the claim are met. BREACH OF FIDUCIARY DUTY IS A TORT IN CALIFORNIA Under California law, breach of a fiduciary duty is a tort (a civil wrong). When the required… Read More »
Can I Sue Someone for Interfering With My Inheritance?
If your situation meets the required elements for a legal claim, you absolutely can. INTENTIONAL INTERFERENCE WITH EXPECTED INHERITANCE In California, intentionally interfering with another person’s expected inheritance is a tort (a civil wrong, which allows a person to sue another person in court, assuming the elements are met). Essentially, a claim arises when… Read More »
What is a Trust, and How Are Trusts Created in California?
WHAT IS A TRUST? In California (as in other U.S. states), the law establishes various ways in which the property of a deceased person (a “decedent”) passes to his or her heirs. When the decedent leaves only a will, or dies without any valid estate planning documents, the decedent’s property (called the “estate”) usually… Read More »
When Must a Lawyer Check for Conflicts of Interest?
LAWYERS MUST RUN A CONFLICT CHECK BEFORE AGREEING TO REPRESENT A CLIENT Where a conflict of interest exists, a lawyer must: Obtain proper consents and clearances, if the conflict can be waived Refuse to represent the potential client, if the conflict cannot be waived or addressed in a way that permits representation Since this… Read More »
