Mismanaging Estate Investments: A Costly Mistake Trustees Should Avoid

Managing estate investments is one of the most important fiduciary responsibilities of a trustee or executor. Poor investment decisions, failing to diversify assets, ignoring market conditions, or delaying necessary financial actions can significantly reduce the value of an estate and expose trustees to legal liability. Under California law, trustees have a fiduciary duty to act prudently and in the best interests of the beneficiaries. Careful estate investment management helps preserve wealth, generate appropriate...

When a loved one passes away and a trust becomes active, one of the most common questions beneficiaries ask is, "How much can a trustee charge?" Understanding trustee fees is important for both trustees and beneficiaries to ensure the trust is administered fairly and in compliance with California law.

1. Trustees Are Entitled to Reasonable Compensation

Under California trust law, trustees are generally entitled to receive compensation for their services unless the trust document states otherwise. Unlike probate executor fees, trustee fees are not set by a fixed statutory schedule....

Yes, a Successor Trustee can also be a beneficiary of a trust in California. In fact, this is very common in family trusts. Many parents name one or more of their children as both the Successor Trustee and a beneficiary because they trust that person to manage the trust assets and carry out their wishes after death. The Successor Trustee is responsible for administering the trust, paying debts and expenses, managing trust property, and distributing assets according to the terms of the trust.

Although a beneficiary can serve as the Successor Trustee, they must act in the best interests...

When both parents pass away, their revocable living trust automatically becomes irrevocable, and your legal responsibilities as the designated successor trustee begin immediately. Navigating trust administration after both parents die in California requires strict adherence to state probate laws to avoid personal financial liability. Your primary fiduciary duties kick off with crucial legal deadlines, most notably serving a mandatory California Probate Code Section 16061.7 Notice to all heirs and beneficiaries within 60 days and notifying the County Assessor of the death within 150 days to...

1. The Trustee Refuses to Share Financial Records

One of the biggest red flags is secrecy.

Beneficiaries are generally entitled to information about trust assets, expenses, and distributions. If the trustee refuses to provide bank statements, accounting reports, or transaction details, it may indicate misconduct.

Common excuses include:

• “You don’t need to see that.”
• “The lawyer has everything.”
• “I’ll send it later.”
• Endless delays and avoidance.

A trustworthy trustee should provide transparent records.

2. Missing Money or Unexplained Withdrawals

If trust...

For years, the standard threshold for "Small Estates" in California was frozen at $184,500. However, 2026 legislative updates have revolutionized the options available to executors and administrators. If you are managing an estate with a primary residence valued up to $750,000, you may be able to bypass the traditional, multi-year probate process entirely.

1. The 2026 "Primary Residence" Exception

The most significant change in 2026 probate law (per Probate Code § 13151) is the specialized treatment of a decedent’s primary residence.

• The Rule: If the gross value of the real...

When a property enters probate in California, one of the most common challenges executors and administrators face is dealing with liens and outstanding debts. These may include mortgages, property tax liens, IRS liens, judgment liens, or unpaid contractor bills, all of which must be addressed before the property can be sold. A preliminary title report is typically ordered to uncover these issues early in the process. In competitive markets like Los Angeles and across Southern California, identifying and resolving these liens quickly is essential to avoid delays and ensure the estate...

What Happens When a Loved One Passes Away?

When a loved one passes away, their estate usually must go through the probate process before any inheritance can be distributed. Probate is a legal procedure designed to ensure that the deceased's debts are paid and their assets are properly transferred to the rightful beneficiaries. However, this process can be lengthy, often taking several months or even more than a year, particularly in states like California and cities such as Los Angeles. During probate, beneficiaries are generally unable to access their inheritance because creditors...

When a trustor passes away, the responsibility of managing the estate shifts to the successor trustee, beginning the process known as trust administration in Los Angeles. This involves identifying and securing all trust assets, notifying beneficiaries, paying debts, and distributing property according to the trust’s instructions. Because Los Angeles real estate often represents a significant portion of the estate, properly handling property titles, maintenance, and timelines is critical to avoid delays, legal issues, or unnecessary probate. While trust administration is typically faster...

Vacant Los Angeles properties, especially unattended probate homes with out-of-town administrators, are at high risk for squatters, vandalism, and liability if not secured.  When a property sits unoccupied during the probate process, it can quickly attract unauthorized occupants who may be difficult and costly to remove under California law.

Protecting a vacant probate property starts with proactive security measures, including installing reinforced locks, securing all entry points, boarding accessible windows if necessary, and maintaining the exterior to avoid the appearance of...