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By: Scott Grossman on October 24th, 2017

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.

One option if a California 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 the actions that they propose.

Possible Notice of Proposed Action in California:

  • 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

If you are ready to start your case, then please give us a call or fill out our Get Help Now form. A comprehensive overview of California Probate is available here. Should you have additional questions about trust litigation, you will find plenty of useful information in our Learning Center.