California trust law demands that all co-trustees act unanimously. If the trust instrument states that co-trustees are not required to act in unison, the trust instrument will supersede. If the co trustees disagree, they should find a trust litigation attorney and take matters to probate court.
Co trustees must act according to their fiduciary duties. If you are a co-trustee and are at a crossroads with the other co trustee, contact a Hess-Verdon & Associates attorney at 888-318-4430. Trustees across California have had their legal rights protected since 1991.
by Hess Verdon | Oct 17, 2023
A single trust can be managed by more than one Trustee of equal powers and responsibilities. A co-trustee is simply a joint trustee. Co-trustee duties and responsibilities include:
1. Co-managing the assets in the Trust; inventorying, investing, selling, reporting
3. Working with trust attorneys to protect trust assets
4. Paying, transferring, or lending funds to beneficiaries
The answer to this is No unless the Trust document states otherwise. In the case where the Trust does not explicitly state, the Trustee and the co-trustee should make all decisions unanimously to push the trust administration process forward. If there are trustee and co-trustee disputes amongst the trustees, it can be quite a litigious affair. As a trustor/settlor, you want to make sure to mitigate any possible conflicts of interest; otherwise, conflicts arise, assets stalled to the beneficiaries, and incurred costs can occur to the Trust.
The co-managing of trust assets can be problematic should the co trustees not see eye to eye.
In the case of two trustees, they cannot merely break a deadlock by acting independently. One of the co-trustees does not have the power and authority to complete the trust administration processes alone.
When there is a conflict between the Trustee and co-trustees during the trust administration process, the beneficiaries may petition to remove one or both in court. Still, again, it takes court action to remove a co trustee.
If you are a trustor, you may want to consider having the Trust name multiple trustees to act independently, that is, act alone without signatures. If the co trustees can work independently, the trust administration process can be completed on time. For example, suppose a trustee goes out on vacation or is incapacitated. In that case, the other Trustee can continue with only one signature needed to get everything completed and distribute the estate to the beneficiaries.
Under the California probate code, section 15620 should be unanimous action to co-trustees unless otherwise provided in the trust instrument. Your estate planning attorney should insert a particular language specifying and allowing for actions by one or the other co-trustee.
If the specific wording is not included in the original trust instrument or an amendment, section 15620 requires “Unanimous action.” One can consider this as a majority rules clause.
What happens if the California co-trustees can’t agree? If the co-trustees cannot agree, then any co-trustees can file a petition to the court to remove the other from the trust administration process. Suppose you are one of the successor trustees. In that case, it’s highly recommended to call a top trust litigation attorney like Hess-Verdon & Associates (888-318-4430) to ensure you have the best representation.
You see, if co-trustees are at a crisis point, Hess-Verdon is offering a second opinion case review to give you an understanding of how to mitigate litigation and proceed to complete the wishes of the trustor and the beneficiaries.
For protecting your rights! For over 30+ years, our experience in estate planning, business, and trust litigation has allowed us to gear up more quickly and handle your case more efficiently. Our attorney staff will help you receive answers to substantive law questions and recommendations for settlement or litigation strategy sooner and with less research time.
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Hess-Verdon & Associates is one of the most reliable and most sophisticated Trust and Estate law firms — experienced in California at both the trial and appellate levels. Our law firm has spent years acquiring extensive experience in trial preparation, strategy, and trial presentation to help you with your specific case.
Are you looking for an estate litigation attorney in your area? When it comes to the practice of Trust and estates, it can be difficult finding an attorney that’s experienced in handling your specific issues. Siblings contesting the trust?
What an Executor Cannot Do An executor must adhere to the will's instructions and cannot alter asset distribution or modify beneficiaries. They are obligated to notify and communicate with all heirs and beneficiaries. Any deviation can lead to legal consequences.
