Can You Sue a Trustee for Negligence? | RMO Lawyers скачать в хорошем качестве

Can You Sue a Trustee for Negligence? | RMO Lawyers

Trustees are considered to be fiduciaries, so they are held to the highest legal standard. Given the duties and responsibilities that fiduciaries must satisfy, there are various grounds for filing a lawsuit against a trustee. Negligent behavior that constitutes a breach of their fiduciary duty is one of these reasons. FULL ARTICLE: https://rmolawyers.com/can-you-sue-a-... 0:00 Introduction 0:01 Can You Sue a Trustee for Negligence? 0:30 What are the most common reasons to sue a trustee? 1:47 What is negligence or breach of fiduciary duty? 3:30 What happens when a trustee violates the trust? At RMO, the most common reasons we see trustees being sued include: Failing to comply with trust instructions. Being unable to perform their duties. Exposing trust property to foolish and unnecessary risks. Wasting trust property. Commingling personal assets with trust assets. Benefiting personally from trust assets. Making questionable gifts using trust funds. Fraud, coercion, forgery, or duress. Embezzlement or theft of trust property. If you believe you may have reason to sue a trustee, you should consult with a reputable trust litigation attorney to determine the best course of action for your situation. Even if a lawsuit to recover damages is not a possibility, you may be able to petition the probate court to have the trustee removed and order them to pay money damages. What is negligence or breach of fiduciary duty? Negligence can constitute a breach of fiduciary duty because trustee misconduct can include a range of conduct, both intentional and unintentional (or negligent), committed by a trustee that results in loss to trust assets. Trustee malfeasance can be grounds for removing a trustee or filing a suit against them. Breach of Fiduciary Duty A breach of fiduciary duty occurs when a person who is acting in a position of trust and confidence, such as a trustee or attorney, violates the duties they owe to the principal, in this case the trust. The law states that trustees must act solely in the trust beneficiaries’ best interests. As fiduciaries, the legal duties of trustees include: Prioritizing the interests of the beneficiaries over their own. Acting in good faith towards the beneficiaries. Treating all beneficiaries fairly and with care and respect. Managing trust assets reasonably. Being honest and open about pertinent information. A trustee can breach their fiduciary duty by failing to fulfill any of the legal obligations they owe. Negligence Trustee negligence is a type of breach of fiduciary duty that stems from a lack of attention, ability, or care, as opposed to an intentional breach. While offenses such as fraud or embezzlement involve malicious, self-serving behavior on the trustee’s part, negligence usually occurs because a trustee was simply careless or potentially even unaware of their duties as a trustee. However, an unintentional breach of fiduciary duty is still an actionable breach, and beneficiaries can sue a negligent trustee for any damages suffered because of a failure. What happens when a trustee violates the trust? If a trustee violates the terms of a trust, California Probate Code §15642 permits them to be removed as allowed by the trust document or by the probate court. Examples of removal trustee violations include: Failing to administer the trust according to the trust document. Failing to act in the beneficiaries’ best interest. Failing to treat all beneficiaries fairly. Failing to keep beneficiaries informed. Using trust assets for the trustee’s own benefit. Wasting trust assets. Commingling trust property with personal assets. Failing to enforce claims or defend against legal actions involving the trust. Looking for legal representation? At RMO, we protect people like you everyday. Learn more at: https://rmolawyers.com/services/trust... Call (424) 320-9444 or email hello@rmolawyers.com Connect With RMO Lawyers:   / rmo-rahn-muntz-o'grady-llp     / rmolawyers     / probateandtrustlitigators   About RMO Lawyers: RMO LLP serves clients throughout California and Texas, with offices in Los Angeles, Orange County, San Diego, Fresno, Pasadena, the Bay Area, Dallas, and Houston. We are laser-focused on guiding our trustee, executor, beneficiary, heir, conservator, and guardian clients through some of the most complex and emotionally charged issues life can throw them. Our commitment to helping our clients achieve results that not only add to their bottom line but to their peace of mind is at the core of everything we do. That’s RMO.