Legal Question in Wills and Trusts in California

Re: substitution of trustee

The words "substitution of trustee" are usually used in a real estate context, where the trustee in your deed of trust (mortgage) is substituted by another one.

The idea is the same in the estate planning context, where a successor trustee replaces the previous trustee. Sometimes it may refer to a special trustee who makes decisions when the normal trustee can't due to a conflict of interest.

Re: substitution of trustee

If one trustee no longer can or does not want to continue as trustee, you need to substitute someone (either a person or a corporate trustee) into that position.

Re: substitution of trustee

Generally, a subsitution of trustee is a provision in a trust that allows for replacement of a trustee by operation of law for a number of different reasons. Additionally, a substitution is often confused with a removal which falls under Section 15642 of the California Probate Code. Depending on all the facts and circumstances you could be looking at either of these situations.

Re: substitution of trustee

In a Real Estate context, a substitution of trustee is used in conjunction with an assignment of deed of trust. (i.e., When the person who is owed the money will change the person who is in charge of collecting the money in the event the debtor fails to pay.)

In the trusts and Estates context, a substitution of trustee provision is intended to provide for replacement of a trustee (or successor trustee).