Notice of Proposed Action: An Overview for a California Trustee

How to properly take action as a California trustee.

Serving as a trustee is a new experience for many individuals. Often, the deceased appointed someone that they loved and trusted to serve in this role, not necessarily someone with experience acting as a trustee or administering an estate. When this happens, the California trustee may be hesitant to take certain actions for fear that a beneficiary may raise a complaint. Fortunately, under the California probate code, the trustee has options that he or she can take in order to protect themselves. If you were appointed trustee of a California trust, contact a trust lawyer for guidance through the trust administration process.

One option if a trustee is concerned about the beneficiaries’ reactions to a proposed action or inaction is to serve a Notice of Proposed Action or Notice of Proposed Inaction to all required individuals. A required person includes all beneficiaries as well as possible beneficiaries. After giving such a notice, the trustee can now  take these actions that they propose.

Possible Actions:

  • Sell or exchange real estate
  • Sell or incorporate the decedent’s business
  • Borrow against real estate
  • Grant an option to purchase real estate
  • Complete contracts signed by the decedent during his lifetime to convey property
  • Sign a disclaimer on behalf of the decedent
  • Distribute income, furniture, and other personal property after the period for filing creditor’s claims has ended

Especially relevant, a Notice of Proposed Action or Inaction is served by using a probate court form with any attachments. In addition, the trustee must also allow for sufficient time to give notice to everyone affected by the action or inaction

For even more information on this process, review our free book, The Insider’s Guide To California Probate And Trust Administration.

While the trust administration process may seem overwhelming, our office is here to help. Speak to an experienced California trust attorney today for guidance. Call the Grossman Law Firm at our toll free number, (888) 443-6590 or click here to contact us.

 

 
Scott Grossman

Scott Grossman

Attorney

The Grossman Law Firm, APC · 525 B Street, Suite 1500, San Diego, CA 92101 · (951) 523-8307
 

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