The Court of Appeal recently handed down a new case law regarding the mechanics of the transfer of personal property to a trust. Below is a summary of California’s newest law in 2019 regarding personal property and trusts:
Trusts and Transfer of Personal Property in California A trust can be created through the transfer of property by the owner during the owner’s lifetime to another person as trustee. The effectiveness of a transfer for the purposes of establishing an inter vivos trust is determined by the rules that govern the making of gifts. The transfer of personal property necessary to perfect a gift can be made by the actual delivery of the personal property at issue to the intended donee or through the use of a document of donative transfer. Since a trust document can be sufficient to effectuate the valid transfer of real property from a settlor to a trustee, despite the failure of the decedent to complete the usual formalities required to transfer title to land, a trust document can similarly effectuate the valid transfer of intangible personal property in the form of a life insurance policy from a settlor to a trustee, even absent the settlor’s completion of the otherwise usual formalities associated with transferring ownership of a life insurance policy vis-à-vis a life insurance company’s records. Dudek v. Dudek – filed April 10, 2019, Fourth District, Div. One Cite as 2019 S.O.S. 1742 Full text click here > #personal #property #trusts #california Call Sirkin Law Trust Attorneys regarding transfers of personal property to your California Trust. Call 818.340.4479 |
