Received a Notice From a Trustee? What to Do in the First 120 Days
After a parent or relative dies, many families receive a formal letter from the trustee of the family trust. It's easy to set aside with the other paperwork. Don't. That letter can start a clock, and if you have concerns about the trust, you may have as little as 120 days to act.
What the notice is
When a trust becomes irrevocable, usually because the person who created it has died, California law requires the trustee to notify the beneficiaries and certain family members. The notice identifies the trust and the trustee, and it tells you that you can request a copy of the trust's terms.
The notice must also include a warning in bold: you may not bring an action to contest the trust more than 120 days after the notice is served on you, or 60 days after you receive a copy of the trust terms during that 120-day period, whichever is later. After that, a challenge is usually barred.
Six steps to take now
Write down the date you received it. Count 120 days forward and put it on your calendar.
Request a copy of the trust in writing. You're entitled to one. Ask for any amendments too, and keep a copy of your request.
Gather what you know. Earlier versions of the trust or will, when changes were made, who helped your loved one with their affairs, and any concerns about their health or memory near the end.
Don't sign anything yet. Trustees sometimes ask beneficiaries to sign receipts, releases or waivers. Some of these give up important rights. Have an attorney look first.
Watch for a no-contest clause. Many trusts say that a beneficiary who challenges the trust without good reason loses their inheritance. California law limits when these clauses apply, but they're serious. An attorney can tell you whether your concern carries that risk.
Talk to an attorney early. A short consultation in the first few weeks leaves time to request records, review the facts and decide calmly, instead of rushing at day 115.
Not every concern is a trust contest
A trust contest challenges the document itself, for example because your loved one lacked capacity, was pressured or deceived, or the trust was changed improperly. But many family disputes are about how the trustee is doing the job: not providing information, delaying distributions, selling property for too little, or mixing trust money with their own. Those claims follow different rules and deadlines, and beneficiaries have the right to ask the court to order an accounting or remove a trustee. Either way, waiting rarely helps.
If you're the trustee
Serving the notice correctly, and on time, protects you as well: it starts the clock on challenges. If you've just become trustee, we can help you handle the notice, the accounting and the administration so the trust is settled properly.
We know both sides of a trust
Since 1973, our firm has drafted and administered trusts for families throughout Stanislaus, Tuolumne and Calaveras counties. That experience helps us spot when something doesn't look right, and resolve disputes through negotiation or mediation where possible, or in court when necessary.
If you've received a trustee's notice, call our Modesto office at 209.521.6260 or our Sonora office at 209.533.2233.
This post is general information, not legal advice. Reading it does not create an attorney-client relationship. Deadlines depend on your specific facts, so please talk with an attorney promptly about your situation.
