Trustee Change Notification Rules

Summary

In California, if there is a change in trustee, all beneficiaries, including contingent ones, must be notified. A Power of Attorney allows you to manage your moms assets but does not grant control over trust assets unless specified. Selling property in a trust generally requires trustee authority. If your mom resigns as trustee and appoints you, notarization is not mandatory but recommended for authenticity. Consult a legal professional for detailed guidance.

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I currently am listed as the sole beneficiary of a trust in California. There are contingent beneficiaries in case I pass away. My Mom who is the current trustee wants me to take over as trustee. Do I need to notify the contingent beneficiaries?
Hello ****, in California:
- If there is a change in trustee, beneficiaries must be notified.
- The new trustee must send a "Notice of Change of Trustee" to all beneficiaries.
- This includes current, contingent, and potential beneficiaries.
I should clarify that that my mom gave me power of attorney as opposed to just resigning as trustee
Hello ****,
If your mom gave you "power of attorney", it does not necessarily make you a trustee. However, as a power of attorney holder, you're allowed to perform certain activities on your mom's behalf. You are not required to notify the contingent beneficiaries for this.
Since all of my moms assets are in the trust, I am still able to help manage them with power of attorney?
Hello ****,
As someone with Power of Attorney, you can manage your mom's affairs, including her assets. However, you do not have control over assets in a trust unless you're also named as a trustee.
Does that mean that I am unable to for example sell the house on my mom's behalf if it is in the trust?
Hello ****,
As a holder of a Power of Attorney, you generally cannot sell property that is held in a trust, unless the trust document or your mom, as trustee, specifically grants you this power.
The power of attorney paper she signed does list the following powers: Real property transactions, tangible personal property transactions, stock and bond transactions, commodity and option transactions, banking and other financial institution transactions, business operating transactions, insurance and annuity transactions, estate, trust, and other beneficiary transactions, etc.
Hello ****,
If the Power of Attorney document specifically lists the ability to handle real property transactions, it may enable you to sell the house, even if it's in the trust. However, this can be complex and it's recommended to consult with a professional.
If I have my mom resign as trustee and name me as trustee, does that require a notary or can two people sign it?
Hello ****,
In California, if your mom resigns as trustee and appoints you as trustee, it doesn't necessarily require a notary. However, getting the document notarized can help prove its authenticity if ever questioned. It's advisable to consult with a legal professional to ensure all steps are correctly followed.