One of the biggest misconceptions in California trust litigation concerns the effectiveness of no contest clauses.  This article explains no contest clauses and their limited effectiveness in California trust and estate litigation. _________________ A “no contest clause,” according to California Probate Code section 21310(c), is “a provision in an otherwise valid instrument that, if enforced, would…

Many California living trusts contain a “spendthrift clause”— a clause designed to protect trust assets from claims made by a beneficiary’s creditors.  Spendthrift provisions commonly include a “shutdown clause,” which stops payments to a beneficiary during any time that the trust could be subject to creditors’ claims.  A recent decision held that under California Probate…

At the conclusion of a trust administration, trustees sometimes ask beneficiaries to acknowledge receipt of their final distribution and release the trustee of liability.  While seeking a release is permitted under California Probate Code Section 16004.5, the release must be given voluntarily by the beneficiary.  This article discusses Section 16004.5 in the context of Bellows…

© 2016 Barr & Young Attorneys  | developed by Comrade Web