While some trusts do provide protection from creditors, others do not. There are limitations to the protections provided by trusts when sued by creditors.
Articles about Creditor’s Claims
San Diego attorney Scott Grossman describes how Creditors should be notified under California probate law to file their claim against the decedent’s estate.
During a probate administration, notice must be provided to creditors. After the notice is sent, creditors have a limited period of time to file a claim.
Rights of Creditors includes involving the court in order to collect on a debt that was owed by the settlor, and they must follow certain procedural steps. Here is what Trustees and beneficiaries should understand about the rights of creditors going to court seeking payment of a debt.
Personal representatives of California probate estates must oversee the payment of certain debts. View here for an overview from a San Diego probate attorney.
Trustees doing post-death trust administration can cut down or eliminate claims against the trust. Trustees can use an optional but powerful creditors claims procedure.