Table of Contents
Key Takeaways
What Does Joint and Several Liability Mean for Trustees?
Why Co-Trustees Face Liability for Each Other’s Actions
How Co-Trustees Can Protect Themselves
Related Resources
FAQ
How The Grossman Law Firm Can Help
Key Takeaways
- In California, co-trustees may face joint and several liability, meaning each trustee can be held fully responsible for the other’s misconduct.
- Beneficiaries can pursue claims against either trustee — they do not need to sue both.
- Co-trustees must remain actively involved in trust administration to avoid liability.
- The Grossman Law Firm assists beneficiaries and trustees in navigating disputes related to co-trustee liability.
What Does Joint and Several Liability Mean for Trustees?
When two or more people are appointed to serve as co-trustees of a California trust, they share the responsibility for administering the trust. While this arrangement can provide checks and balances, it also comes with significant risk.
Joint and several liability means that each co-trustee may be held fully responsible for the actions of the other. If one trustee mishandles trust property, beneficiaries may bring a claim against either trustee, regardless of who actually caused the harm.
At The Grossman Law Firm, Attorney Scott Grossman regularly counsels beneficiaries and trustees about their rights and responsibilities under the California Probate Code when joint liability issues arise.
Why Co-Trustees Face Liability for Each Other’s Actions
Under California law, co-trustees cannot simply “look the other way.” Even if one trustee commits wrongdoing, the other trustee may be held liable if they:
- Failed to participate in trust administration.
- Ignored signs of mismanagement.
- Allowed negligence to harm beneficiaries.
Because of joint and several liability, beneficiaries are entitled to pursue recovery from either trustee, and it is up to the trustees to sort out responsibility between themselves later.
How Co-Trustees Can Protect Themselves
If you are serving as a co-trustee, here are some practical steps to reduce your risk of liability:
- Stay actively involved. Do not leave trust management solely to the other trustee.
- Review all actions and decisions. Ensure you understand financial transactions and distributions.
- Document decisions in writing. When voting on trust matters, keep written records of how decisions were made.
- Investigate concerns immediately. If you suspect your co-trustee is misbehaving, make a reasonable inquiry and take corrective action.
- Avoid negligence. Even if your co-trustee acts intentionally, you may be liable if your lack of oversight enables harm to beneficiaries.
Serving as a co-trustee is not a passive role — active participation is essential to protect yourself from liability.
Related Resources
- Co-trustee Duties
- Eight Steps to Take if You Are Questioning a Probate Accounting
- The Inventory and Appraisal Form Explained
- Tips for Determining the Damages for a Breach of Fiduciary Duties
- Overview of the California Probate Process
- Can’t Afford a Probate or Trust Attorney?
FAQ
Q: Can beneficiaries sue just one co-trustee in California?
A: Yes. Under joint and several liability, beneficiaries can pursue claims against either trustee, even if the other caused the harm.
Q: What if I disagreed with my co-trustee’s decision?
A: Disagreements should be documented in writing. However, failure to actively intervene in harmful actions may still expose you to liability.
Q: Can a co-trustee be removed for misconduct?
A: Yes. Beneficiaries can petition the court to remove a trustee who breaches fiduciary duties or mismanages the trust.
Q: How can a trustee defend themselves if the co-trustee committed wrongdoing?
A: Trustees who acted prudently and attempted to prevent harm may present those efforts as a defense, but courts scrutinize co-trustee oversight.
How The Grossman Law Firm Can Help
At The Grossman Law Firm, we assist beneficiaries and heirs throughout California in enforcing their rights in probate and trust litigation. If you are a co-trustee facing joint liability — or a beneficiary harmed by trustee misconduct — we can guide you through the legal process and protect your interests.
Call (888) 443-6590 or fill out our Get Help Now Form.
Our Intake Specialists can evaluate your case at no cost to you to assess your situation. Qualifying cases will be scheduled for a Free Phone Consultation with Attorney Scott Grossman.
Originally Published February 7, 2018