Legal Question in Elder Law in California

Protecting assets in a living trust

My sister and I set up in a living trust with my mother. We would both equally inherit upon mother's death. There is quite a bit of money held in CD's and stocks, as well as a paid-for house. My sister has suddenly indicated a desire to quit her job and move in with my recently widowed mother to help care for her. My mother is growing progressively senile.

My sister's also indicated a wish to me to be allowed to stay in the house forever and ''pay rent.'' I told her that upon mother's death that the house would have to be sold, that I wanted my share of the cash from it as well. So this is all causing me a lot of concern. I'm afraid she'll pilfer all the liquid assets while living with my mother.

Could I petition the court to set up a conservatorship at this point, and what would the legal costs be? Is there some other way to protect the money from theft if my sister gets my mother to place her name on joint bank accounts? What about setting up the accounts so that three signatures are required to withdraw anything over a certain amount?

I just really feel there needs to be a watchdog and an accounting as to what's happening to all the money.


Asked on 12/06/04, 9:41 pm

2 Answers from Attorneys
Terry A. Nelson Nelson & Lawless

Re: Protecting assets in a living trust

A conservatorship solves most of the issues you raise, at a cost of attorney and conservator fees paid from the estate assets per court order every year. Fees are a percentage of the assets managed. If only the bank accounts are really the issue, have the joint signatures required for all checks. Don't include the mother in that, if she is becoming incompetent. You probably need legal help getting this all set up correctly. Contact me if interested.

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Answered on 12/08/04, 2:02 pm
Scott Schomer Schomer Law Group

Re: Protecting assets in a living trust

You need to investigate the possible use of a conservatorship. The facts you are describing are the classic precursors to potential elder abuse. Investigate this sooner rather than later before your sister gets your mother to change the trust, commingle funds or spend her money.

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Answered on 12/07/04, 12:41 pm


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