A trust is an estate planning tool that is often utilized in a comprehensive estate plan. Trusts are common. However, what if a trust isn’t being managed properly? What if a trustee isn’t fulfilling their responsibilities? Or what if the trust wasn’t properly created in the first place? These are all questions that can lead to trust litigation.
Our experienced litigators at The Estate Lawyers, APC, have been helping families in Southern California resolve challenges and conflicts in estate administration and probate proceedings for decades. With offices in Irvine and San Diego, we can provide legal guidance and advice if you are questioning the validity of a trust or the actions of a trustee. We also represent trustees who are being challenged by a family member.
What Is A Trust?
A trust is a common estate planning tool that allows its grantor (the person who creates the trust) to move assets out of an estate, allowing them to be managed for the benefit of others. A trust is a key component of an estate plan because it offers flexibility and control over how assets are distributed. One of the main reasons people use trusts is to avoid probate, the legal process that takes place after someone passes away. The probate process can be time-consuming and costly, but assets held in a trust typically bypass this process, allowing beneficiaries to receive them more quickly.
Trusts can also provide privacy, as they are not public records like wills. Additionally, they can be tailored to address specific needs, such as:
- Providing for minor children
- Managing assets for someone with special needs
- Minimizing estate taxes
By using a trust, individuals can ensure their assets are handled according to their wishes, offering peace of mind for both the grantor and their loved ones. However, trusts also require that a trustee be appointed to manage the trust’s assets and the distribution of the trust’s assets to heirs. A trustee has fiduciary duties and legal responsibilities to the beneficiaries.
What Is Trust Litigation?
Trust litigation happens when someone challenges an aspect of a trust and needs to go to court to obtain a resolution.
For example, there may be allegations that the trustee is abusing their position or misappropriating trust assets, so the beneficiary wants to have them removed. Another example could be if there are allegations of undue influence or even fraudulent documentation in the estate plan, calling the validity of the trust into question.
With allegations of wrongdoing by the trustee or a breach of fiduciary duty surfacing, a court case may be necessary to resolve the issues for all parties. Beneficiaries often act to protect their interests and the inheritance left to them in the trust.
Challenging The Validity Of A Trust Or The Actions Of A Trustee
Conflicts can arise with respect to a trust and how it is being administrated. Litigating a trust can be necessary when issues arise that impact the fairness or validity of the trust. Some of the reasons litigation can arise from a trust include:
- Breach of a fiduciary duty: A trustee has a fiduciary duty, and the responsibility to act in the best interests of the beneficiaries of a trust.
- Mismanagement of trust assets: Mismanaging trust assets can include making poor investment decisions or improperly using the funds of a trust.
- Undue influence: If the trust’s creator, known as the grantor, was under undue influence when creating the trust, this is also grounds for litigation. This happens when someone pressures the grantor to make decisions they wouldn’t otherwise make. It often can happen in a case involving financial elder abuse.
- Unclear terms of the trust: Additionally, if there are ambiguities or unclear terms in the trust document, litigation can help clarify the settlor’s true intentions.
- Fraud: Lastly, fraud or forgery in the trust’s creation or administration can also lead to litigation.
If you face any of these issues, our estate administration attorneys have extensive experience with challenging wills and trusts and they can help you address them effectively. Our goal is to ensure the trust serves its intended purpose and protects your rights. If you suspect that a trust wasn’t created properly, its funds are being mismanaged, or wrongdoing by a trustee that breaches their fiduciary duties, it is imperative to act quickly. Seasoned and experienced legal counsel can help protect a trust’s assets from being drained from the trust estate, limiting losses to the beneficiaries.
Who Does The Firm Represent In Trust Litigation?
The Estate Lawyers, APC, represents a diverse range of clients involved in trust litigation. Our experience spans multiple sides of these complex disputes, offering legal support for individuals, families and other law firms. We help:
- Fiduciaries accused of wrongdoing: Trustees, executors and administrators sometimes face claims of mismanagement, breach of fiduciary duty or self-dealing. We defend these individuals, helping them protect their role and navigate accusations with solid legal backing.
- Beneficiaries: When someone suspects that a trustee is not acting in the trust’s best interest or has concerns about missing assets, our attorney helps beneficiaries pursue transparency, financial accountability or even trustee removal if necessary.
- Contesting parties: Not everyone agrees with the terms of a trust. Our firm represents parties looking to challenge a trust’s validity due to fraud, undue influence or lack of capacity, helping ensure their concerns are presented clearly and lawfully.
- Guardianship litigation clients: Disputes may arise over who should serve as a guardian or whether a guardian is acting appropriately. We handle these sensitive cases with both legal precision and empathy.
- Trustee vs. trustee disputes: Sometimes, multiple trustees cannot agree on managing a trust. Our lawyer steps in to resolve disagreements that could otherwise threaten the integrity of the trust.
Additionally, we regularly partner with other law firms, offering litigation support and trial representation for cases that require advanced experience in California trust law.
How We Can Help You Recover Attorney Fees
In many litigation cases, both parties are responsible for the attorney fees and other costs of the litigation. Attorneys charge these fees based on the firm’s preferred payment systems. Some firms work on contingency fees, meaning that they take a percentage of the winnings, while others charge fees along the way.
However, the prevailing party in a trust litigation case may be able to force the other party to pay the attorney fees. The losing party has this responsibility because it was shown that the litigation in question was necessary. The prevailing party does not have to pay the fees, as they would not have needed to use litigation in the first place if things had just gone as intended.
For example, perhaps you believe that the trust documents are a forgery, so you decide to litigate to have the terms overturned. If it turns out that you are correct and that the documents were falsified or otherwise altered, then the defending party may have to pay your attorney fees for you – and our experienced team can help you recover them. On the other hand, if it turns out that there was no evidence that the document was a forgery, the court could rule that you started litigation in bad faith, and you may then be responsible for the attorney fees on both sides.
In other words, not only is it important to win your case, but you also need to know what ramifications prevailing in litigation can have on the financial side of the case. When litigation is necessary to uphold justice and ensure that a trust is established and administered correctly, you may then recover attorney fees as a form of compensation from the losing party.
At The Estate Lawyers, APC, we have a long-term reputation for success and a wealth of trial experience that helps us in every case. The decades of combined experience on our team will help us protect your rights and work to recover the fees that you deserve after the litigation concludes.
Understanding The Trust Litigation Process
The trust litigation process begins with a detailed evaluation of the dispute, followed by gathering evidence such as financial records and communications. This is often followed by formal discovery, depositions and court filings.
Litigation may lead to mediation or settlement discussions, which can resolve disputes efficiently. If no resolution is reached, the case proceeds to trial, where a judge or jury will decide the matter.
Throughout this process, having experienced litigators on your team is crucial to preserving your rights and achieving a favorable outcome.
Preserving Your Family’s Legacy And Relationships
We have earned a reputation in Southern California for protecting our clients’ interests when they are facing an estate dispute. We have extensive estate litigation and probate litigation experience, and we understand how to protect and preserve your interests and the legacy of your loved one. We also understand that negotiating a conflict between family members is a delicate process.
There are so many types of probate and trust litigation disputes that can arise. These issues are complicated and fact-driven, which is why working with an experienced probate and estate litigation counsel is paramount. Our trust litigation attorneys at The Estate Lawyers, APC, advise trustees, executors and beneficiaries and help guide them toward making informed decisions in their case. When a conflict creates a dispute in an estate’s administration or probate, our litigators can help negotiate a resolution or protect you and your loved one’s best interests in probate court.
Frequently Asked Questions
Below are a few answers to common questions about trusts and trust litigation in California:
How long does trust litigation take in California?
It depends on the complexity of the case. Some can be resolved in just a few months, depending on court availability and how quickly evidence and documentation are gathered. However, if there are disputes, challenges and other complications, trust litigation can take years. Since every case is unique, an experienced attorney can help you estimate a timeline.
Can a trustee be removed through litigation?
Yes, a trustee can sometimes be removed if it is shown that they have breached their fiduciary duty. Perhaps they are not following the rules of the trust and making proper distributions, or perhaps the beneficiary believes the trustee is taking funds out of the trust for their own benefit.
Do I need a lawyer for trust litigation in Anoka?
It is very helpful to work with an experienced trust litigation attorney. The process can be complex, and you need to know how to file appropriate documentation, gather evidence to support your case, respond to court requests, attend hearings and much more. You may not have been through this process before, but an experienced attorney can provide guidance and support your case to give you the best chance of a successful outcome.
Consult A California Trust Litigation Attorney For Free
We are happy to offer a one-hour paid consultation that provides significant value. During this time, we will review relevant documents and your unique situation, offer legal advice, and help you decide on the best course of action to resolve your dispute. To schedule your free appointment, send us a message through our website or call 877-957-8146.
Contingency fee arrangements may be available, depending on the facts of your case. We look forward to answering your questions and telling you more about how we can help you with your case.