I have provided below a pdf of select California directed trustee and trustee director liability Probate Code sections for the new California directed trust statutes. The Probate Code sections that I have provided below are select color-coded sections from a longer document. Thus, for example, I have not included any of the green color-coded sections.

The first part of the below pdf pertains to the California directed trustee liability sections. The second part of the below pdf pertains to the California trustee director liability sections.

The legislation became effective January 1, 2024; however, the legislation specifies that it also applies to directed trusts that were created or formed prior to January 1, 2024.

Although the sections make reference to directed trustee and trustee director liability in circumstances of willful misconduct, liability variously depends on or can depend on the wording of the specific trust in question, the reasonableness of the directed trustee’s or trustee director’s actions, the knowledge that the directed trustee or the trustee director has or should have about the situation, applicable law(s), and/or “willful” misconduct as that conduct is defined and determined by the trier of fact. Probate Code §16630 further provides that in applying and construing this chapter, consideration shall be given to the need to promote uniformity of the law with respect to its subject matter among states that enact it – i.e., reference to the Uniform Directed Trust Act.

The following are select color-coded California directed trustee and trustee director liability Probate Code sections for the new California directed trust statutes. Please see also my other posts discussing the new California Uniform Directed Trust Act and statutes.

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Thank you for viewing this discussion. Please do pass this blog and blog post and information to other people who would be interested as it is only through collaboration and sharing that great things and success are more quickly achieved. If you are interested in discussing anything that I have said in the discussion above or in either of my two blogs (see blog addresses below), or if you simply want to reach out or are seeking assistance, it is best to reach me by email at dave@tateattorney.com.

David Tate, Esq. (and inactive CPA)

• Business litigation and disputes – business, breach of contract/commercial, co-owners, shareholders, investors, founders, workplace and employment, environmental, D&O, governance, boards and committees.
• Trust, estate and probate court litigation and disputes – trust, estate, probate, elder and dependent abuse, conservatorship, POA, real property, mental health and care, mental capacity, undue influence, conflicts of interest, and contentious administrations.
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  • Other: workplace and employment, environmental, trade secret.

Remember, every case and situation is different. It is important to obtain and evaluate all of the evidence that is available, and to apply that evidence to the applicable standards and laws. You do need to consult with an attorney and other professionals about your particular situation. This post is not a solicitation for legal or other services inside of or outside of California, and, of course, this post only is a summary of information that changes from time to time, and does not apply to any particular situation or to your specific situation. So . . . you cannot rely on this post for your situation or as legal or other professional advice or representation, or as or for my opinions and views on the subject matter.

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http://tateattorney.com – business, D&O, audit committee, governance, compliance, etc. – previously at http://auditcommitteeupdate.com

Trust, estate, conservatorship, elder and elder abuse, etc. litigation and contentious administrations http://californiaestatetrust.com

David Tate, Esq. (and inactive California CPA) – practicing only as an attorney in California.