Hello and welcome.
I am sorry to hear of your family's difficult situation. My goal is to provide you with excellent service. First, I have some questions for you so I can determine what information to provide you.
When you say your sister was added to the trust, was she added as a beneficiary? If so, who added her?
Hello, sorry, had to call my brother to ask. He says she was added as the executor of the trust if and when my Mom passed away. My Mom is the beneficiary.
I see. Thank you for the additional information, Richard.Yes, if your sister was the trustee and your mother the beneficiary, but your sister dissipated the trust assets for her own benefit, that would typically constitute fraud and breach of her fiduciary obligations.She could be prosecuted criminally if this is reported to and investigated by the local prosecutor, and she could be sued on your mother's behalf for damages sustained due to her wrongful conduct.Trustees can be compensated for their time in administering the trust, but this does not normally involve diverting trust assets for their own use or benefit and that is a serious allegation.Here is a link that discusses fiduciary obligations:http://www.californiaestatelawyerblog.com/breach_of_fiduciary_duty/The statute of limitations for bringing a breach of fiduciary duty claim is typically 4 years from the date the wrongful conduct was reasonably discovered, so there would still be time to pursue legal action against your sister for her conduct.The SOL for fraud is normally 3 years, so that should be a viable claim as well. I'm so sorry this has happened to your mother. It is truly a shame and precisely what a trust is meant to guard against normally.
I hope this helps clarify the situation for you.
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