Trust Beneficiary Rights in California: What You're Entitled To

As a trust beneficiary, you have legal rights under California law—even if the trustee doesn't tell you about them. Knowing your rights helps you ensure you receive what you're entitled to and that the trust is being administered properly.

Your Right to Information

Right to Receive Notice

When a trust becomes irrevocable (usually at the settlor's death), the trustee must notify you within 60 days. This notice must include:

• Identity of the trust and settlor
• That the trust is now irrevocable
• Trustee's contact information
• Your right to request trust terms
• The 120-day contest deadline

If you didn't receive this notice, the trustee may have violated their duties.

Right to Trust Terms

Under California Probate Code §16061, you can request a copy of the trust provisions that affect your interest.

What you can request:

• Portions of the trust that relate to your inheritance
• Amendments affecting your interest
• Information about your rights and conditions

What the trustee must provide:

The trustee must give you relevant trust terms—though they may redact portions that don't affect your interest.

Right to Information About Administration

California Probate Code §16060 requires trustees to keep beneficiaries "reasonably informed" about trust administration.

You're entitled to know:

• What assets are in the trust
• Major actions taken by the trustee
• Status of the administration
• Anticipated timeline for distributions

You don't have to sit in the dark wondering what's happening.

Right to Accounting

Under Probate Code §16062, you can request a formal accounting from the trustee. The accounting must show:

• All trust assets at beginning of period
• All receipts (income, sales proceeds, etc.)
• All disbursements (expenses, distributions, etc.)
• All assets at end of period
• Trustee compensation taken

Who can request:

• Current income beneficiaries
• Beneficiaries entitled to principal distributions
• Beneficiaries who would receive assets if the trust terminated

How often:

At least once per year, and at the end of administration.

Your Right to Timely Distribution

When Distribution Should Happen

The trustee should distribute trust assets according to the trust terms within a reasonable time after:

• The 120-day contest period expires
• Debts and taxes are paid
• The trustee knows what's available for distribution

What's "Reasonable"?

There's no fixed deadline, but trustees shouldn't delay unnecessarily. A delay of several months might be justified if:

• Real estate must be sold
• Tax issues are being resolved
• Disputes need resolution

A delay of years without good reason is likely a breach of duty.

Preliminary Distributions

Trustees can make partial distributions before final administration if:

• Sufficient funds remain for debts, taxes, and expenses
• No trust contest is pending
• The trustee is confident in remaining obligations

You can ask the trustee about preliminary distributions if you have financial needs.

Your Right to Fair Treatment

Duty of Impartiality

If there are multiple beneficiaries, the trustee must treat all of you fairly—not favoring one over another.

This means:

• Not giving better information to some beneficiaries
• Not prioritizing one beneficiary's interests
• Balancing current vs. future beneficiaries' needs
• Following trust terms equally for everyone

No Self-Dealing

The trustee cannot use their position for personal gain at your expense. Prohibited actions include:

• Buying trust assets for themselves
• Selling their property to the trust
• Using trust funds for personal benefit
• Taking excessive compensation
• Hiring themselves or family for paid services

Your Right to Prudent Management

Investment Standards

The trustee must invest and manage trust assets as a "prudent investor" would, considering:

• Risk and return objectives
• Need for diversification
• Need for liquidity
• Tax consequences
• The trust's purposes

Keeping large amounts in non-interest accounts, making speculative investments, or failing to invest at all may be breaches.

Asset Protection

The trustee must protect trust assets from:

• Theft or loss
• Physical damage (property insurance)
• Waste or deterioration
• Missed opportunities (uncollected income)

Your Right to Enforce Trust Terms

The Trust Is Binding

The trustee must follow the trust document. They cannot:

• Change distribution amounts
• Add conditions not in the trust
• Ignore mandatory distribution requirements
• Override the settlor's intent

If the trust says you get 25%, you get 25%—not less because the trustee thinks someone else deserves more.

Court Enforcement

If the trustee violates trust terms, you can petition the court to:

• Order the trustee to comply
• Compel distributions
• Require accounting
• Remove the trustee
• Award damages (surcharge)

What If the Trustee Isn't Cooperating?

Step 1: Request in Writing

Put your requests in writing:

• Send via email with read receipt, or
• Send via certified mail

Written requests create a record and often prompt action.

Step 2: Be Specific

State exactly what you want:

• "Please provide a copy of trust provisions affecting my interest"
• "Please provide an accounting for the period [date] to [date]"
• "Please provide an update on distribution timeline"

Step 3: Set a Deadline

Give the trustee a reasonable deadline:

• 30 days for most requests
• 60 days for complex accountings

Step 4: Escalate if Necessary

If the trustee still doesn't respond:

• Consult with an attorney
• Consider formal demand letter
• Petition the court if needed

Red Flags to Watch For

Be concerned if:

Communication problems:

• Trustee won't return calls or emails
• Trustee gives vague answers
• Trustee refuses to provide information
• Long periods of silence

Financial red flags:

• No distributions despite trust terms requiring them
• Trustee living in trust property rent-free
• Trust assets diminishing without explanation
• Trustee taking large fees without disclosure

Procedural problems:

• No 60-day notice received
• No accounting provided when requested
• Trustee making decisions without informing beneficiaries
• Trustee favoring certain beneficiaries

Limits on Beneficiary Rights

Your rights aren't unlimited:

Discretionary Trusts

If the trustee has discretion over distributions, they can decide when and how much to distribute. You can't demand distributions—but the trustee must exercise discretion reasonably and in good faith.

Spendthrift Provisions

Many trusts include spendthrift clauses that:

• Prevent you from assigning your interest
• Protect your inheritance from creditors
• Give the trustee control over timing

Trust Terms Control

If the trust says you receive income only (not principal), you're entitled to income only. The trust terms define your rights.

Contest Deadline

Your right to challenge the trust expires 120 days after receiving proper notice. After that, most challenges are barred.

When to Hire an Attorney

Consider legal help if:

• Trustee won't communicate or provide information
• You suspect mismanagement or self-dealing
• Distributions are unreasonably delayed
• You believe trust terms are being violated
• You want to contest the trust
• You need help understanding your rights

Protect Your Inheritance

Understanding your rights as a trust beneficiary helps you ensure proper administration. If something seems wrong, don't wait—delays can make problems harder to fix.

The Law Offices of Rozsa Gyene represents trust beneficiaries throughout Los Angeles County. We help you understand your rights and take action when trustees don't perform.

Call (818) 291-6217 for a consultation, or visit our contact page.

Serving Glendale, Burbank, Pasadena, and all of Los Angeles County.

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This article provides general information about trust beneficiary rights in California. Every trust is different. Consult an attorney for advice specific to your situation.