Accounting Of Trust; What Am I Entitled To See?

[stockton]

CALIFORNIA

My Trustee has submitted an accounting of the Trust.

It lists receipts and payments. It has transactions and other financial stuff.

But it is all typed out in form. There are no original statements or receipts, no original financial statements.

Q1: Am I supposed to accept whatever they type as the truth or am I entitled to see original or certified copies of all financial transactions and receipts and payments?

Q2: If the Trustee says the Trust began with $100,000, am I supposed to accept that as truth or am I entitled to see the original or certified copies of all assets?

Thank You In Advance for all replies!

[IsabellaSoriano]

Originally Posted by stockton

CALIFORNIA

My Trustee has submitted an accounting of the Trust.

It lists receipts and payments. It has transactions and other financial stuff.

But it is all typed out in form. There are no original statements or receipts, no original financial statements.

Q1: Am I supposed to accept whatever they type as the truth or am I entitled to see original or certified copies of all financial transactions and receipts and payments?

Q2: If the Trustee says the Trust began with $100,000, am I supposed to accept that as truth or am I entitled to see the original or certified copies of all assets?

Thank You In Advance for all replies!

double post.

[stockton]

sorry about the double post.

the first took so long to load, i thought i had deleted it by using the back arrow as i wanted to edit it anyway.

[Dandy Don]

You can delete your other duplicate posting by clicking on REPLY, pretending you are going to reply, but when the response box comes up there will be headings at the the top of the page, one of which is a DELETE button.

You wil be better off consulting with an actual trust attorney about this because it is not very likely that a trust attorney would be reading this message board.

You need to ask your attorney if you can also ask for a copy of the bank account statement and trust tax return.

Is this trustee bonded or does the trust exempt that requirement (and have you received a copy of the trust?)?

DANDY DON IN OKLAHOMA (tiekh@yahoo.com)

[tecate]

Do you trust the trustee? If not, be careful how you proceed. I agree with Dandy Don: ask an attorney for help. If the trustee is on the up and up, tipping your hand might become expensive for you. The only source of $$ available to pay someone to satisfy your curiosity is your trust fund. $$ come from the trustee's own pocket (a surcharge order) only if a court agrees that he or she has done something wrong.

With that in mind...

What is included in a proper accounting is detailed at Probate Code Section 1060. The trustee is charged with accounting for whatever assets he or she marshaled. If you think there are additional assets, whether marshaled or not, point them out to the trustee. Otherwise, you or your attorney can hire a private investigator on your own dime to go looking.

If you want copies of bank statements, cancelled checks, etc., then ask for them. However, the cost of the time and effort that goes into providing these to you will be charged against the trust. The trustee doesn't owe you free services, so be careful about spitting into the wind. Use your right to see what you want judiciously.

And if you accuse the trustee of wrongdoing, or even hint that you do not trust him or her, the trustee will probably hire an attorney to protect himself or herself from you, and dot every i and cross every t, which will also cost you more $$.

Good luck

[stockton]

Thanks for the replies!

tecate,

you state the trustee doesnt owe me free services like copies of financial records.

i can beleive it could get expensive if every benf wanted a set.

but please tell me how YOU will/did/would verify that your parent(s) estate beginning value was/is?

of course, you too will/would/did receive an accounting typed by the trustee or helper stating the beginning value and the end.

would/will/did you accept that document as sole truth?

dandy don,

the trustee is exempt from bond, and yes i have a copy of the trust.

Q1: do i have to petition the court to contest the final accounting or can i appear and ask to make my case at the hearing for the final accounting?

[Dandy Don]

There is no such thing as contesting a final accounting. If you are asked to agree to it you can do so or refuse to sign the waiver if you are asked to sign one.

And you can not make a case on your own at the hearing.

The information you are wanting may not easily be ascertainable unless your attorney files a separate lawsuit. If you have no specific evidence to contradict what the accounting shows, your efforts in this area will not be fruitful and will only be suspicions that you can't verify/prove. Only a forensic accountant or an auditing firm could do what you want, and they are expensive.

[stockton]

Thank you for your reply.

HYPOTHETICAL: you are a beneficiary of an estate and Trust. One and the same person is made Trustee and executor. You have asked the Trustee for copies of financial documents of all the assets but he will not give them.

Q1: how would YOU confirm the beginning value of the estate? Or Trust?

HYPOTHETICAL: you have never seen an original financial document or other pertaining to the assets of the Trust. The final accounting will be heard soon, you have a copy of the report. The Trustee will not reply to your requests for financial reports to support the final accounting.

Q2: how would YOU confirm the value of the Trust or particular aspects of it?

my interest was to see the original bank statement that showed the exact amount of my mothers account and to see the monthly reports that the investment firm provides on the trust funds.

Thanks In Advance for any replies!

[Dandy Don]

Whether you get to see bank statements regarding the mother's accounts depends on what period you are asking for and how the account is titled--what was in the account before she died or after?

You should also be asking for copy of the trust tax returns and a bank statement that proves what the current balance in the account is. But you must also be aware that the trustee may be suspicious of your motives/intent for asking and may not willingly cooperate. Unless you are willing to pursue a lawsuit for breach of fiduciary duty, don't let your curiosity get the better of you.

[stockton]

thanks for your reply.

i am not trying to be clever, i am no match for these two!

the final accounting will be heard soon and i question the figures.

Q1: is your answer toi my question: that you would simply request discovery?

i sent emails to the trustee and his atty asking for originals, copies or let me copy.

if i dont receive them i suspect i will have to file an objection at the hearing.

Any/all replies appreciated!