Murrieta Trust Litigation Lawyer

Murrieta Trust Litigation Attorney

If you are a business owner, it may be important to establish a trust that includes your business interests. Creating a trust is an aspect of estate planning. It allows you to protect your assets and transfer your wealth and business ownership as you see fit. However, disputes regarding trusts are possible among the beneficiaries, the trustee, or a third party. Such a dispute may lead to trust litigation, in which Murrieta trust litigation lawyer from Lockhart Law Firm can assist you.

At Lockhart Law Firm, our attorneys are experienced in business and estate law, and they can guide you through any disputes related to your trust, ensuring your business interests are well protected. They can employ their knowledge of California’s business and estate laws to represent you in your trust litigation case.

What Is Trust Litigation?

To understand trust litigation, you must know that a trust is a legal agreement between an entity or person (the guarantor) and a third party (the trustee), in which the guarantor allows the trustee to manage their assets and property for their beneficiaries. The trustee is responsible for the distribution of these assets to all beneficiaries listed in the trust.

Trust litigation is a legal conflict that arises in relation to a trust. The process of trust litigation often involves a court case in which arguments and evidence are presented by both parties to resolve the dispute. The main objective is to resolve all issues and address the interests and concerns of the parties. In the end, the court has the ability to make a decision on how to resolve the dispute based on the arguments and evidence presented.

There are many reasons why trust litigation can occur. Below are a few common cases:

1. Asset Mismanagement – If, for whatever reason, the beneficiary of a trust believes that the assets within the trust are being mismanaged by the trustee, this can create a dispute. This is why it is important to choose a trustee who is trustworthy and has the experience needed to manage your assets correctly.
2. Beneficiary Disputes – Beneficiaries of a trust may not agree on how the assets or business interests are to be distributed. This could be because of claims of favoritism, differences in how the trust document is interpreted, or unfair distribution. In this case, it may be necessary for the guarantor, if living, to become involved in the litigation to clear up any confusion and explain their intent.
3. Trust Modifications – When a trustee or beneficiary wants to modify a trust in some way, like changing certain language or terminating the document completely, they may pursue litigation to get approval from the court.
4. Violation of Trustee Duties – It is the trustee’s responsibility to take care of all assets in the trust, administer the assets in the best interest of all beneficiaries, be impartial, and keep beneficiaries informed. If the trustee does not fulfill these duties, beneficiaries can claim a breach of duty.
5. Trust Validity – There may be a case in which an individual believes the trust document is not valid. They may claim that the guarantor was excessively influenced or did not have the ability to set up the trust.

At What Net Worth Should You Consider a Trust?

It is recommended that you should consider creating a revocable living trust if you have a net worth of at least $100,000. The decision to establish a trust, however, is not only based on your net worth. Other factors to consider include your familial relationships, your goals for your business, and the type of assets you have.

Whether you are an entrepreneur or business owner, a trust can be vital in ensuring your business, large or small, continues running when you are gone. Seeking the help of a qualified estate planning lawyer to create your trust can reduce your chances of trust litigation in the future.

Is a Trust Better Than a Will in California?

Whether a trust is better than a will depends on your specific circumstances. The purpose of a will and a trust are similar: to protect and distribute assets to beneficiaries. However, wills and trusts work somewhat differently. Creating a trust can be more complicated and expensive than setting up a will, but you typically have more control over your assets.

In Murrieta, California, a will often must go through probate in order for property and assets to be distributed. The probate process could take several months to years, requiring payment of court fees and possibly a probate lawyer. The public probate process could potentially make disputes among beneficiaries more likely, meaning litigation involving wills is just as likely, if not more so, than that involving trusts.

A trust is normally not required to go through the probate court. Therefore, a trust offers more direct control over your estate than a will.

By creating a trust, you can also protect your assets while you are still alive, which is especially important for business owners. A will may not provide the same protection for your property. Therefore, if you need an estate planning tool to protect your estate, a trust may be the better option. However, having both a will and a trust is also a useful option, particularly for business owners.

A will may include any property and assets that are not mentioned in the trust document, appoint a guardian for children, and be a general contingency plan. A trust can manage more business-related interests, such as the transition of management and ownership.

Choosing between a trust and a will, or choosing both, is ultimately dependent on the specifics of your situation. You should discuss your options with an experienced business estate planning attorney.

Consult With Lockhart Law Firm, an Experienced Litigation Firm in Murrieta, CA

When faced with a trust litigation case, it is crucial to hire an experienced and skilled litigation attorney who can help you navigate the difficulties of estate law. If you are a business owner or entrepreneur in Murrieta who is involved in trust litigation, contact our team at Lockhart Law Firm for a consultation. We are dedicated to serving individuals and businesses with legal guidance and representation related to their business and estate planning needs.