Legal Question in Wills and Trusts in California

My father recently passed and had severe mental illness for many years, especially the past several years before he died. There are 4 kids still surviving. We found current CDs where my father named other relatives as beneficiaries, however, to our knowledge there is no will or living trust that exists.

From what we understand, California law states that if no will or trust exists then the children are the sole heirs of the estate. Would this then mean that the CDs would transfer to the children or would the indicated beneficiaries still inherit the CDs, especially with the consideration that our father was not of sound mind for many years, which can be proven via doctors who treated him and multiple medications he was taking, as well as the living conditions in his place of residence.


Asked on 2/23/11, 4:37 am

1 Answer from Attorneys
Frankie Woo Fiducia Legal

CDs would transfer to the named beneficiaries. The CDs are almost like a trust in which the bank takes serves "like a trustee" and the beneficiaries forms is part of the "agreement" that designates where the money is to go upon the death of the CD holder. Since this is based on contract between the bank and your father, the CDs are not controlled by intestate succession laws which govern which heirs take if there is no will or trust.

Are you saying you believe that your dad was not of sound mind when he designated the beneficiaries? First, you would have to determine when he filled out the beneficiary form or opened the CD accounts. Secondly, that he was not of sound mind when entered this contract agreement with the bank in order to void the contract. Those two are hard to prove. If the beneficiary forms were filled out at the bank when the CDs were opened in front of the bank account rep, it will be hard to prove that he was not of sound mind, as the bank rep was there. You could try to void this contract, but it will be difficult.

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Answered on 2/23/11, 8:42 am


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