State: California My grandmother is 97 and my father and I…

Here are my questions:1) Is there a simple go-to source that would show us all the necessary steps that California would require that we do in closing out her estate?

No this is not a simple situation there are two trusts here.If eithe had income fo example over the past years California has state trust returns that are due here.Thats in addition ot personal returns.If you didn't understand that then trustee is going to need CPA here to file old returns.

Reference

https://www.ftb.ca.gov/individuals/fileRtn/estates-and-trusts.shtml

2) Would you agree this is something that can be done without involving huge attorney costs? It seems like a pretty simple estate. I'm trying to figure out how much we can do ourselves and what we need to pay an attorney for.

I wouldn't try this without lawyer.Wondering if there are past returns that haven't been filed, there may be trust contests. and probate may be needed if there are assets outside the trust.I just don't see you being able to do this without a lawyer and CPA to do the necessary returns.

3) Does that savings account that is not in the name of her trust cause any issues? I do see an assignment clause but I wasn't sure if having my Dad on the account causes any problems. They set that up so that he could access some funds for funeral, etc before having the estate fully closed out.

It is part of estate if he deceases without beneficary or POD on the account.

4) It appears we have to notify beneficiaries and heirs. Again, my Dad, my brother and I are the only beneficiaries of Trust A. We and the three other grandchildren are all beneficiaries of the Trust Bs. I'm thinking we will need to follow the notification procedure for Trust A and Bs to all of us since the other 3 grandchildren are "heirs" even if they aren't in Trust A. Correct? Or do they just get notified about Trust Bs?

All beneficiaries have right to notice and copy of trust upon death fo trustee.

WHEN A LEGAL NOTICE IS REQUIRED. Upon the death of a Trustor, a trust typically becomes irrevocable (i.e. it cannot be changed) and at that point there is a change of Trustee. The Trust document typically names a Successor Trustee, who is the person responsible for administering the Trust at that point. The Successor Trustee then must within 60 days of (i) when the trust becomes irrevocable or (ii) when there is a change of trustee of an irrevocable trust, send out a legal notice giving specific information.

INFORMATION REQUIRED IN NOTICE. The information to be provided is:

1. The identity of the Trustors and date of trust creation;
2. The name, mailing address and telephone number of each Trustee;
3. The address of the principal place of administration of the trust;
4. Other information if required by the terms of the trust
5. A notification that the recipient is entitled to receive a true and complete copy of the terms of the trust if the recipient requests it;
6. A warning that there is a 120 day time limit from the date of the notification or a 60 day limit from the date of actual notification to bring legal action contesting the terms of the trust.

WHO THE NOTICE IS TO BE SENT TO. The notification must be sent to (i) each trust beneficiary; (ii) each heir of a deceased Trustor; and (iii) the California Attorney General if the trust is a charitable trust. Some people are under the wrong impression that you only have to notify people who are named trust beneficiaries. That is simply not that case. The law recognizes that people who are heirs at law (i.e. various relatives such as surviving spouses, parents, brothers and sisters, children and grandchildren) may have a legitimate need to be aware of the Trust and what it says. One key reason might be where a trust improperly cuts out and omits to name a child of a Trustor a beneficiary. I have seen many situations where a Trust is created or amended to cut out and eliminate certain of the Trustor’s children and the children live out of the area and are not even aware of the Trustor’s death. If the law didn’t require a notification to them they would never know what was going on and would not have a chance to assert claims which they might have. I have had various cases involving this scenario: Trust starts out as benefitting the Trustor’s children 50/50. Then one child moves out of the area and the other child moves in with the Trustor and becomes closer. Then, the child who moves in with the Trustor gets a lawyer to draw up a trust amendment to change the trust to benefit only the child who has moved in. The other child is then left out and unless the law required a legal notice of the Trustor’s death the other child would have no way of finding out what the situation is.

Cal Prob Code § 16061.7. Trustee's duty to serve notification of changes; Contents; Damages

1. A trustee shall serve a notification by the trustee as described in this section in the following events:

   1. When a revocable trust or any portion thereof becomes irrevocable because of the death of one or more of the settlors of the trust, or because, by the express terms of the trust, the trust becomes irrevocable within one year of the death of a settlor because of a contingency related to the death of one or more of the settlors of the trust.

   2. Whenever there is a change of trustee of an irrevocable trust.

   3. Whenever a power of appointment retained by a settlor is effective or lapses upon death of the settlor with respect to an inter vivos trust which was, or was purported to be, irrevocable upon its creation. This paragraph shall not apply to a charitable remainder trust. For purposes of this paragraph, "charitable remainder trust" means a charitable remainder annuity trust or charitable remainder unitrust as defined in Section 664(d) of the Internal Revenue Code.

   4. The duty to serve the notification by the trustee pursuant to this subdivision is the duty of the continuing or successor trustee, and any one cotrustee may serve the notification.

2. The notification by the trustee required by subdivision (a) shall be served on each of the following:

   1. Each beneficiary of the irrevocable trust or irrevocable portion of the trust, subject to the limitations of Section 15804.

   2. Each heir of the deceased settlor, if the event that requires notification is the death of a settlor or irrevocability within one year of the death of the settlor of the trust by the express terms of the trust because of a contingency related to the death of a settlor.

   3. If the trust is a charitable trust subject to the supervision of the Attorney General, to the Attorney General.

3. A trustee shall, for purposes of this section, rely upon any final judicial determination of heirship, known to the trustee, but the trustee shall have discretion to make a good faith determination by any reasonable means of the heirs of a deceased settlor in the absence of a final judicial determination of heirship known to the trustee.

4. The trustee need not provide a copy of the notification by trustee to any beneficiary or heir (1) known to the trustee but who cannot be located by the trustee after reasonable diligence or (2) unknown to the trustee.

5. The notification by trustee shall be served by mail to the last known address, pursuant to Section 1215, or by personal delivery.

6. The notification by trustee shall be served not later than 60 days following the occurrence of the event requiring service of the notification by trustee, or 60 days after the trustee became aware of the existence of a person entitled to receive notification by trustee, if that person was not known to the trustee on the occurrence of the event requiring service of the notification. If there is a vacancy in the office of the trustee on the date of the occurrence of the event requiring service of the notification by trustee, or if that event causes a vacancy, then the 60-day period for service of the notification by trustee commences on the date the new trustee commences to serve as trustee.

7. The notification by trustee shall contain the following information:

   1. The identity of the settlor or settlors of the trust and the date of execution of the trust instrument.

   2. The name, mailing address and telephone number of each trustee of the trust.

   3. The address of the physical location where the principal place of administration of the trust is located, pursuant to Section 17002.

   4. Any additional information that may be expressly required by the terms of the trust instrument.

   5. A notification that the recipient is entitled, upon reasonable request to the trustee, to receive from the trustee a true and complete copy of the terms of the trust.

8. If the notification by the trustee is served because a revocable trust or any portion of it has become irrevocable because of the death of one or more settlors of the trust, or because, by the express terms of the trust, the trust becomes irrevocable within one year of the death of a settlor because of a contingency related to the death of one or more of the settlors of the trust, the notification by the trustee shall also include a warning, set out in a separate paragraph in not less than 10-point boldface type, or a reasonable equivalent thereof, that states as follows:

   "You may not bring an action to contest the trust more than 120 days from the date this notification by the trustee is served upon you or 60 days from the date on which a copy of the terms of the trust is mailed or personally delivered to you during that 120-day period, whichever is later."

9. Any waiver by a settlor of the requirement of serving the notification by trustee required by this section is against public policy and shall be void.

10. A trustee may serve a notification by trustee in the form required by this section on any person in addition to those on whom the notification by trustee is required to be served. A trustee is not liable to any person for serving or for not serving the notice on any person in addition to those on whom the notice is required to be served. A trustee is not required to serve a notification by trustee if the event that otherwise requires service of the notification by trustee occurs before January 1, 1998.

Cal Prob Code § 16069. Exceptions to duty to account, provide terms of the trust or requested information The trustee is not required to account to the beneficiary, provide the terms of the trust to a beneficiary, or provide requested information to the beneficiary pursuant to Section 16061, in any of the following circumstances: (a) In the case of a beneficiary of a revocable trust, as provided in Section 15800, for the period when the trust may be revoked. (b) If the beneficiary and the trustee are the same person.

So we look at my grandmother's trust as just 1 trust even though it is comprised of a Trust A and two Trust Bs right? Therefore, even though 3 grandchildren are beneficiaries of the Trust Bs, they would have a right to know the disposition of Trust A just because they are heirs, correct? This is what I have been trying to explain to my Dad.

Yes that correct.

My thoughts were that my Dad and I would handle all the closing of estate issues, do the proper notifications, have the CPA continue to finalize the returns and then we would get an attorney involved if there seemed to be a contest of any sort. But you disagree with that, right?

5 Apr 2019, 1:44 PM

Thats fine you can wait and see if there is a trust contest.

She has will attached for personal effects so I think we are good in that regard.

You would have to probate the will if you want it to control here.

Yes make sure you understand a trust has trustee for those assets, will has a personal representative, they are two different hats can be sme person or different persons.

https://www.nolo.com/legal-encyclopedia/executor-estate-checklist-29458.html

Fine for probate and personal representative(executor)

For the will

https://www.courts.ca.gov/documents/de111.pdf

If you put bank account or any other assets in the trust then you have no reason for will to be probated.

Most people who do trusts have a pour over will that if necessary is probated pouring the left overs into the trust.It is rare that people have nothing to probate because you have bank accounts, personal effects, cars , and you ned up having to probate the will.Sometimes the person gets refunds or other money they didn't anticipate and that causes probate too.

Honestly as far as personal effects if there is time give them as gifts while they are alive avoid probate.

He would have it assuming there is right of survivorship ,a sk the bank here.

She can disburse the effects here avoid probate.

Or you quietly give it away to whoever here.