How do you remove Trustee of Revocable Trust in California?
Question comes up now due to Covid-19. I currently, AT HIS REQUEST, serve as POA for Health AND financial, and as TRUSTEE of his revocable trust . I take care of all matters, pay bills for him, and etc.
Now, if I die, and my partner (who, like me is pushing 80) lives, my partner can help my brother handle everything, including getting his documents to him in his own city (half a state away).
However, in this doomsday scenario we are going to pretend that both my partner and I fall sick in one week and die.
Now my brother, 85, and of sound mind, living in Assisted living will have to take over management of his own affairs.
HOW DOES HE DO THIS in California? Anyone know? I assume that it is as simple as saying, given this is a revocable trust, that he wishes to resume his role as trustee of his trust and remove me (does he need a death certificate? If so, why?).
My thinking is that my brother needs only the copy of the trust that resides in the office of the lawyer who made me trustee, in his own town. Is this correct?
My question on re reading sounds so convoluted, but is really as simple as asking how does my brother regain Trustee powers on his own revocable Living trust after having made me Trustee, if I should die.
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Another option is to change both the Trust and POAs so that you and your brother CAN jointly act together, with either making decisions. That would bring your brother into play in trust management now as opposed to an event which hopefully won't occur for some time.
First, the Trust: Your brother is the Settlor, who created the Trust, appointing you Trustee, and your partner as Successor Trustee if you die first. If both of you are deceased, simultaneously or successively, your brother has not yet been appointed Successor Trustee, right? And there is no one else named as ST, also right?
If both assumptions are correct, the Trust needs to be amended (or Restated as sometimes called) to add your brother as Successor Trustee if BOTH of you have passed. And it should be done now, in writing, through an Amendment or Restatement.
The attorney presumably would have a copy in his/her records.
Certified copies of the Death Certificate of you and your partner would come into play when your brother actually assumes and has retitled the accounts or other assets presumably titled in the Trust name. E.g., say there are stocks, titled in the Trust's name with you as Trustee and your partner as Successor Trustee, then your brother as Successor Trustee after both of you pass (after the Trust is amended).
He would need to provide a Death Cert for each of you, to the mutual fund, or stock, for which title needs to be transferred. There probably would be other forms to complete as well. I had a stack of them to go through after Dad died and I had to retitle his assets.
Certified copies of the Death Cert. would be sent along with the forms (sometimes signature medallion guaranteed) to entities in which he has invested, etc. and assets retitled in your brother's name, as Successor Trustee.
I'm assuming that he doesn't have any real property (home)?
Second, as to the POAs, essentially the same procedure would need to occur. Each needs to be amended to add your brother's name as successor proxy upon the death of the latter of you and/or your partner.
Depending on how any bank account is titled, (a) if it's already titled in your name (and your partner's) as well as your brother, then he already rights to access it, and doesn't need to provide a Death Certificate. (b) If, however, your brother's name is NOT on the accounts, then he would need to provide a Death Certificate to have the accounts retitled in his name.
Clear as mud, right?
Another question arises, given that your brother is 85. W/o being coarse, at some point he too will pass. Who would handle his affairs then? Are there any adult children, nieces, nephews, or other relatives?
Since the Trust has to be amended or restated, and new POAs drawn up, if there is someone else to handle your brother's affairs after all 3 of you have passed, it makes sense to do it now.
Again, I emphasize that this is the way it would be handled in Michigan, and I'm sharing it just to provide some background on the process. Only a CA attorney would know for sure, and that's the only way to handle it to make sure everything is done properly. Attorneys keep up on changes in trust law and in my opinion they're the only ones who should be handling Trust changes or amendments.
I've read and reread this and hope it makes sense. Sometimes it's hard to project about these kinds of situations.
Right now quite impossible for me to get there, our state on lockdown and he cannot leave and come back to assisted living.
I only worry about my partner leaving with me as he could walk my daughter through what had to be done in emergency.
Thanks Garden Artist. I am California. And yes, the attorney where HE lives has the trust in his office (his copy) and that is where the bro would go were I to die. I mean given this is his money I am certain SOMEWHERE along the line if my daughter and I spontaneously combusted on the same day, it would still be his money and his revocable trust
You brother should have an addendum done that makes him and possibly a legal fudiciary as successor trustees.
It is actually really simple for revocable trusts, it gets confusing when there is not a contingency plan for a trustee potentially not be able to serve.
Stay well and speak with the attorney that created the current trust docs.