Planning for a Heggstad Petition

If you are a trustee of the trust and are faced with assets which were not put in a trust, you may look at a Heggstad Petition for a solution to your problem. California Inheritance laws as set forth in the Probate Code allow a trustee to pull back into the trust the assets which were not put in the trust under certain circumstances.

Here are things you need to plan for when looking to file a Heggstad Petition:

1. Is there a Pour-over will?
2. Does the asset which was left out of the living trust have a beneficiary?
3. Did the Decedent intentionally omit to transfer that asset to the trust or waive the transfer?
4. Are there other methods for its transfer to its intended recipient?
5. Is there a General Assignment?
6. Is there a Schedule which lists the assets of the Trust?
7. Do you have some evidence that the settlor or trustor of the trust intended to transfer said asset to the trust?

Lets look at some situations and certain assets which frequently lend themselves to Heggstad Petitions:

1. A bank account of a financial account which was not titled in the name of the trust.
2. Limited Partnership interests.
3. Corporate stocks.
4. Partnership interests.
5. Other joint venture or business interests.
6. A real property which was acquired after the creation of the trust.
7. A real property acquired or purchased before the creation of the trust.
8. A real es