Woodland Hills Trust Litigation Lawyer

When a loved one passes away, trying to navigate the next steps can feel impossible for those left behind. Depending on their estate and the depth of the plans they made before passing, you may be facing the probate and trust process. Working with a Woodland Hills trust litigation lawyer can make legal proceedings easier to face.

Hire a Trust Litigation Lawyer That You Can Rely on for Help

Here at Barry Law Group, our attorneys have years of experience helping California residents through the toughest of cases, including estate litigation, probate administration, and trust litigation. For over 30 years, we’ve worked tirelessly to ensure the most favorable outcome in client cases. We are proud to offer our Woodland Hills clients a free consultation to discuss their unique situation.

A Woodland Hills trust litigation attorney can provide you with a basic understanding of trust litigation. This can help you make crucial decisions regarding the course of action you wish to take for your case. Our lawyer can explain state trust laws in detail and expectations for your case. This open and clear communication provides you with the knowledge you need to make informed decisions.

What Is a Trust?

A trust is a legal tool that can take effect during the creator’s lifetime or after they pass away. That person puts their property into a trust for a beneficiary.

While any adult can create a trust, it’s common for older individuals to create one as a part of their estate plan. In 2023, 16% of Los Angeles County residents were 65 and older. These residents require a competent estate plan to protect the proper handling of their assets when they pass away. The various kinds of trusts are listed below:

1. Testamentary trusts: This trust takes effect after death and is a part of a will. For example, a parent’s will may create a trust that distributes money to a child in stages, such as at age 18, 25, and 30.
2. Special needs trusts: This is set up to help a person with a disability who receives public benefits. For example, a parent may set up a trust for a child with disabilities to pay for medical care, therapy, and education without interfering with the child’s eligibility for Medicaid or SSI.
3. Charitable trusts: This type of trust is used to give assets to a nonprofit organization or charity.
4. Living trusts: This type of trust is created while the person is alive and can provide rules for how property is used during their life and after they die. Living trusts can help manage property and allow it to be distributed without going through the full probate process. Probate can take a long time and be expensive, but assets in a trust usually go directly to beneficiaries. This makes it easier on the loved ones left behind.

The Importance of Trust Litigation

As of 2023, the average income in Los Angeles County was $87,760. Depending on the assets placed in the trust, it may be of high value and require extra careful handling.

Trusts need a trustee to manage the property and make sure it’s used according to the trust’s instructions. Trustees have legal duties to act in the interests of the beneficiaries.

Trust litigation happens when someone goes to court because they believe the trust is not being handled correctly. During this time, it’s important to hire a trust litigation lawyer to help represent you. Trust litigation can include cases where:

• A trustee is accused of mismanaging assets
• A trustee is accused of acting in their own interest
• A trustee is accused of not following the trust’s instructions
• Someone thinks the trust was created through fraud or undue influence
• Someone thinks the grantor did not have the capacity to create the trust

The trustee must always follow the trust rules outlined in California law and in the trust itself. They have to manage the assets carefully and keep the beneficiaries updated. A trustee is a fiduciary and, thus, has a legal obligation to act in the interests of the trust. When a trustee fails to properly manage the assets in the trust or cannot effectively resolve a dispute with other interested parties, it may become a trust litigation case.

The Importance of Trust Litigation

As of 2024, the average household income in Los Angeles County was $90,112. When large assets like real estate are involved, cases often require extra careful handling. A trust requires a trustee to responsibly manage high-value assets, like real estate. They must oversee that it is used according to the trust’s instructions. Trustees have legal duties to act in the interests of the beneficiaries.

Trust litigation happens when someone goes to court because they believe the trust is not being handled correctly. During this time, it’s important to hire a trusted litigation lawyer to help represent you. These cases are generally handled by the Stanley Mosk Courthouse, located at 111 North Hill Street in Los Angeles.

Specific Trust Litigation Laws That Govern Common Disputes

California has strict laws about how trusts are to be made and used. When it is revealed that these laws have been broken, the court can order remedies for the case. Three common reasons that a trust may be contested are lack of capacity, breach of fiduciary duties, and undue influence.

Lack of Capacity

In California, a person creating a trust must have sufficient mental capacity to understand the nature of their actions, the full extent of their property, and the effect of the trust document they are creating. A trust contest based on the lack of capacity often involves arguing that the trustor did not fully comprehend the trust, and is especially common in cases involving cognitive decline, such as Alzheimer’s or dementia.

Evidence must be able to prove a lack of capacity. Often, this is through:

• Medical records documenting dementia, Alzheimer’s, strokes, or psychiatric illnesses
• Testimony from physicians, neurologists, or geriatric physicians
• Witness statements from caregivers and close family describing confusion, memory loss, or paranoia
• Medical records that show that the trustor was heavily medicated or hospitalized when the will was written or signed

Breach of Fiduciary Duty by a Trustee

Since a trustee plays such a major role in the administration of the estate, there are often contests on their actions or ability to fulfill the duties associated with the role. Common breaches of fiduciary duty include if the trustee is:

• Commingling trust assets with personal assets, such as depositing funds into a personal bank account or using trust property for personal expenses
• Failing to properly track and report expenses, asset value, or distributed assets
• Self-dealing, such as selling trust property to themselves below market value, using trust funds for personal business ventures, or taking excessive trustee fees
• Mismanaging trust assets, such as making reckless investment decisions or allowing real estate properties to go without proper maintenance
• Failing to comply with trust terms, including ignoring mandatory distributions or withholding beneficiary rights

Undue Influence

Undue influence is a common reason for contesting a trust in California. Undue influence occurs when someone’s influence or pressure on the trustor causes them to change or modify the trust to fit the manipulative person’s desires rather than their own. When a trust is created under undue influence, it is no longer made from the free will of the person and can be invalid.

Undue influence cases often involve manipulative actions such as isolating an elderly person from family or friends, encouraging dependence on a certain caregiver or family member, or emotional manipulation, threats, or coercion.

How No-Contest Clauses in California Impact a Trust Litigation Case

Many California trusts contain no-contest clauses, also known as in terrorem clauses. These are specific provisions that are designed to discourage beneficiaries from challenging the trust. They do so by threatening disinheritance if the beneficiary files certain legal actions.

A no-contest clause is generally only enforceable against specifically defined claims, such as contests that are filed without probable cause or challenges based on forgery or lack of capacity. Certain types of claims do not trigger no-contact clauses, such as those about enforcing beneficiary rights or trustee removal.

No-contest clauses can be tricky to navigate, as they could threaten your inheritance. Speaking with a Woodland Hills trust litigation attorney is an important step, as they can determine whether the claim you are looking to file would trigger the no-contest clause or not.

FAQs

What Can a Trust Litigation Lawyer Do to Help Me?

When you hire a trust litigation lawyer, they can help you deal with any legal dispute involving the trust. They can review and explain the trust documents, investigate if a trustee has done something wrong, and take legal action to protect the rights of beneficiaries. They can also resolve disagreements among beneficiaries and recover trust property that was taken or used wrongly. In some cases, they can work to remove the trustee or end the trust.

What Is a Revocable Trust Versus an Irrevocable Trust?

A revocable trust is a type of trust that can be changed or canceled by the person who created it. An irrevocable trust is a type of trust that can’t be changed or canceled once it’s created. When assets are placed into an irrevocable trust, ownership of those assets belongs to the trust. While a revocable trust may seem more ideal, each option has its pros and cons. Irrevocable trusts are often created as a way to qualify for Medicare.

What Is Undue Influence?

Undue influence occurs when someone uses their position of authority to manipulate the person making the trust to gain an unfair advantage. This can involve taking advantage of someone’s mental or physical weakness, distress, or dependency.

In California, undue influence is a common reason for challenging a trust. Typically, family members or heirs bring these challenges if they believe someone manipulated the person who created the trust, causing them to be left out or receive less than expected.

How Long Do I Have to File a Legal Claim Regarding a Trust in Woodland Hills, CA?

The deadline for filing a legal claim in Woodland Hills, CA, depends on the type of case being filed. If someone discovers a breach of fiduciary duty by a trustee, they have up to four years to file a claim. If you want to contest a trust, California law generally gives you three months from the date you receive notice of the trust. This notice is a formal document that explains the trust and its beneficiaries.

Choose an Experienced Estate Law Firm in California

When clients choose to work with Barry Law Group, they are working with longtime California residents who deeply care about the legal rights of their neighbors and community members. Reach out to our team today to schedule your first meeting. We offer free consultations to residents of Woodland Hills and surrounding cities.