California Probate Code 15602 – (a) A trustee is not required to give a bond to secure …
(a) A trustee is not required to give a bond to secure performance of the trustee‘s duties, unless any of the following circumstances occurs:
(1) A bond is required by the trust instrument.
Terms Used In California Probate Code 15602
- Instrument: means a will, a document establishing or modifying a trust, a deed, or any other writing that designates a beneficiary or makes a donative transfer of property. See California Probate Code 45
- Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
- Trust: includes the following:
California Probate Code 82
- Trust company: means an entity that has qualified to engage in and conduct a trust business in this state. See California Probate Code 83
- Trustee: A person or institution holding and administering property in trust.
- Trustee: includes an original, additional, or successor trustee, whether or not appointed or confirmed by a court. See California Probate Code 84
(2) Notwithstanding a waiver of a bond in the trust instrument, a bond is found by the court to be necessary to protect the interests of beneficiaries or other persons having an interest in the trust.
(3) An individual who is not named as a trustee in the trust instrument is appointed as a trustee by the court.
(b) Notwithstanding paragraphs (1) and (3) of subdivision (a), the court may excuse a requirement of a bond, reduce or increase the amount of a bond, release a surety, or permit the substitution of another bond with the same or different sureties. The court may not, however, excuse the requirement of a bond for an individual described in paragraph (3) of subdivision (a), except under compelling circumstances. For the purposes of this section, a request by all the adult beneficiaries of a trust that bond be waived for an individual described in paragraph (3) of subdivision (a) for their trust is deemed to constitute a compelling circumstance.
(c) If a bond is required, it shall be filed or served and shall be in the amount and with sureties and liabilities ordered by the court.
(d) Except as otherwise provided in the trust instrument or ordered by the court, the cost of the bond shall be charged against the trust.
(e) A trust company may not be required to give a bond, notwithstanding a contrary provision in the trust instrument.
(Amended by Stats. 2004, Ch. 75, Sec. 1. Effective January 1, 2005.)