Law Offices of Alice A. Salvo
Start Your Solution. Schedule a Free Consultation Today.

Determining a trustee's liability

Being party to a trust in Woodland Hills can be a nerve-wracking proposition given that your interest in it are wholly impacted by the actions of another. While you of course want to trust that the settlor of the trust chose a trustee that he or she believed and had faith in, the idea of the trustee working with absolute impunity may seem unsettling to you. Several in your position have come to us here at The Law Offices of Alice A. Salvo with the same concerns, wanting to know what standard of accountability a trustee is held to and what liability he or she assumes in he or she fails in his or her duties. 

The trustee of your trust is expected to take all reasonable care in executing the purpose of the trust as set forth by the settlor in the trust instrument. He or she is liable to you and other beneficiaries if he or she does not meet that fiduciary duty. The details of that liability are given in Section 16440 of the California Probate Code. It states that in the event of a breach of trust, a trustee is liable to you (as a beneficiary) for: 

  • Any loss or depreciation of value of the trust estate occurring as a result of his or her actions (including interest)
  • Any profit the trust estate would have earned without his or her breach of duty 
  • Any profits he or she made individually from his or her actions

Keep in mind, however, that if it is shown that the trustee was acting in good faith, he or she may be absolved of liability. More information detailing trustee liability can be found here on our site. 

No Comments

Leave a comment
Comment Information
Email Us For a Response

Contact Us

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Office Location:

Law Offices of Alice A. Salvo
20350 Ventura Boulevard
Suite 110
Woodland Hills, CA 91364

Phone: 818-676-9572
Fax: 818-716-9275
Map & Directions

  • Super Lawyers
  • Peer Review Rated