Legal Question in Wills and Trusts in California

Re: Stock Transfer Without Will/Trust - Intestate

The delivery of the share certificates would have constituted a gift if delivered to you in negotiable form. That means that your grandmother either signed her name on the back or signed a separate stock power form.

From your description of the events it appears that no gift was made to either you or your uncle.

It appears as if your grandmother's property will pass by the intestate laws of California.

Without proper documentation you will be unable to transfer the share certificates into your name.

Re: Stock Transfer Without Will/Trust - Intestate

That is one of the more interesting questions we have seen here in a while. I believe it is likely not a completed gift and thus probate (or a probate alternative) is needed to effectively transfer the stock. If total assets were under $100k then 13100 declarations would work. Getting Uncle's cooperation would be best. If more than $100k I would start a full probate and if uncle won't play along I would try to get his shares back into the estate. Let me know if we can help. Good luck.

Re: Stock Transfer Without Will/Trust - Intestate

Since the shares were not endorsed for transfer, while your grandmother may have intended you to have them as a gift, the failure to properly arrange for the transfer might be interpreted as an incomplete gift (but see below). It appears this may also have been the case with your uncle. Thus, all shares may be a part of her "intestate estate". This merely means she has died without a Will. It would require that someone be appointed as the administrator of her estate with the Surrogate's Court of the County where she resided at her date of death. If she had no husband, her child, or children if she had more than one, would be eligible to qualify for appointment. This means you will have to deal with your uncle, like it or not. I would take the position that the handing to you of the shares expressed her desire to make this a gift and for you to have immediate possession and enjoyment (expressed by her handing the certificates to you). While unsigned, I would also take the position that her signature was merely a ministerial act, not negating the dersire to make a completed gift. Thus, either an actual or constructive gift was intended. Either way you would be entitled to the shares. You should check to see how your uncle transferred his shares. If he went through an administration (probate of an intestate estate), his appointment as administrator would allow him to arrange for the transfer of your shares under the same authority. Good Luck.

Re: Stock Transfer Without Will/Trust - Intestate

Speak with the transfer agent.