California 2017-2018 Regular Session

California Assembly Bill AB2426 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	Assembly Bill No. ~~2426 CHAPTER 78~~ An act to amend Section 15408 of the Probate Code, relating to trusts. ~~[ Approved by Governor July 09, 2018. Filed with Secretary of State July 09, 2018. ]~~ LEGISLATIVE COUNSEL'S DIGESTAB 2426, Maienschein. Trustee: power to terminate trust.Existing law regulates the administration of trusts by trustees on behalf of beneficiaries. Existing law authorizes, if the principal of a trust does not exceed $40,000 in value, the trustee to terminate the trust.This bill would instead authorize a trustee to terminate a trust if the principal does not exceed $50,000 in value.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 15408 of the Probate Code is amended to read:15408. (a) On petition by a trustee or beneficiary, if the court determines that the fair market value of the principal of a trust has become so low in relation to the cost of administration that continuation of the trust under its existing terms will defeat or substantially impair the accomplishment of its purposes, the court may, in its discretion and in a manner that conforms as nearly as possible to the intention of the settlor, order any of the following:(1) Termination of the trust.(2) Modification of the trust.(3) Appointment of a new trustee.(b) Notwithstanding subdivision (a), if the trust principal does not exceed fifty thousand dollars ($50,000) in value, the trustee has the power to terminate the trust.(c) The existence of a trust provision restraining transfer of the beneficiarys interest does not prevent application of this section.
	1	+	Enrolled June 27, 2018 Passed IN Senate June 25, 2018 Passed IN Assembly April 09, 2018 Amended IN Assembly March 06, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 2426Introduced by Assembly Member MaienscheinFebruary 14, 2018 An act to amend Section 15408 of the Probate Code, relating to trusts. LEGISLATIVE COUNSEL'S DIGESTAB 2426, Maienschein. Trustee: power to terminate trust.Existing law regulates the administration of trusts by trustees on behalf of beneficiaries. Existing law authorizes, if the principal of a trust does not exceed $40,000 in value, the trustee to terminate the trust.This bill would instead authorize a trustee to terminate a trust if the principal does not exceed $50,000 in value.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 15408 of the Probate Code is amended to read:15408. (a) On petition by a trustee or beneficiary, if the court determines that the fair market value of the principal of a trust has become so low in relation to the cost of administration that continuation of the trust under its existing terms will defeat or substantially impair the accomplishment of its purposes, the court may, in its discretion and in a manner that conforms as nearly as possible to the intention of the settlor, order any of the following:(1) Termination of the trust.(2) Modification of the trust.(3) Appointment of a new trustee.(b) Notwithstanding subdivision (a), if the trust principal does not exceed fifty thousand dollars ($50,000) in value, the trustee has the power to terminate the trust.(c) The existence of a trust provision restraining transfer of the beneficiarys interest does not prevent application of this section.
2	2
3		-	Assembly Bill No. 2426 CHAPTER 78 An act to amend Section 15408 of the Probate Code, relating to trusts. [ Approved by Governor July 09, 2018. Filed with Secretary of State July 09, 2018. ] LEGISLATIVE COUNSEL'S DIGESTAB 2426, Maienschein. Trustee: power to terminate trust.Existing law regulates the administration of trusts by trustees on behalf of beneficiaries. Existing law authorizes, if the principal of a trust does not exceed $40,000 in value, the trustee to terminate the trust.This bill would instead authorize a trustee to terminate a trust if the principal does not exceed $50,000 in value.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
	3	+	Enrolled June 27, 2018 Passed IN Senate June 25, 2018 Passed IN Assembly April 09, 2018 Amended IN Assembly March 06, 2018 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 2426Introduced by Assembly Member MaienscheinFebruary 14, 2018 An act to amend Section 15408 of the Probate Code, relating to trusts. LEGISLATIVE COUNSEL'S DIGESTAB 2426, Maienschein. Trustee: power to terminate trust.Existing law regulates the administration of trusts by trustees on behalf of beneficiaries. Existing law authorizes, if the principal of a trust does not exceed $40,000 in value, the trustee to terminate the trust.This bill would instead authorize a trustee to terminate a trust if the principal does not exceed $50,000 in value.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
	4	+
	5	+	Enrolled June 27, 2018 Passed IN Senate June 25, 2018 Passed IN Assembly April 09, 2018 Amended IN Assembly March 06, 2018
	6	+
	7	+	Enrolled June 27, 2018
	8	+	Passed IN Senate June 25, 2018
	9	+	Passed IN Assembly April 09, 2018
	10	+	Amended IN Assembly March 06, 2018
	11	+
	12	+	CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION
4	13
5	14		Assembly Bill No. 2426
6		-	CHAPTER 78
	15	+
	16	+	Introduced by Assembly Member MaienscheinFebruary 14, 2018
	17	+
	18	+	Introduced by Assembly Member Maienschein
	19	+	February 14, 2018
7	20
8	21		An act to amend Section 15408 of the Probate Code, relating to trusts.
9		-
10		-	[ Approved by Governor July 09, 2018. Filed with Secretary of State July 09, 2018. ]
11	22
12	23		LEGISLATIVE COUNSEL'S DIGEST
13	24
14	25		## LEGISLATIVE COUNSEL'S DIGEST
15	26
16	27		AB 2426, Maienschein. Trustee: power to terminate trust.
17	28
18	29		Existing law regulates the administration of trusts by trustees on behalf of beneficiaries. Existing law authorizes, if the principal of a trust does not exceed $40,000 in value, the trustee to terminate the trust.This bill would instead authorize a trustee to terminate a trust if the principal does not exceed $50,000 in value.
19	30
20	31		Existing law regulates the administration of trusts by trustees on behalf of beneficiaries. Existing law authorizes, if the principal of a trust does not exceed $40,000 in value, the trustee to terminate the trust.
21	32
22	33		This bill would instead authorize a trustee to terminate a trust if the principal does not exceed $50,000 in value.
23	34
24	35		## Digest Key
25	36
26	37		## Bill Text
27	38
28	39		The people of the State of California do enact as follows:SECTION 1. Section 15408 of the Probate Code is amended to read:15408. (a) On petition by a trustee or beneficiary, if the court determines that the fair market value of the principal of a trust has become so low in relation to the cost of administration that continuation of the trust under its existing terms will defeat or substantially impair the accomplishment of its purposes, the court may, in its discretion and in a manner that conforms as nearly as possible to the intention of the settlor, order any of the following:(1) Termination of the trust.(2) Modification of the trust.(3) Appointment of a new trustee.(b) Notwithstanding subdivision (a), if the trust principal does not exceed fifty thousand dollars ($50,000) in value, the trustee has the power to terminate the trust.(c) The existence of a trust provision restraining transfer of the beneficiarys interest does not prevent application of this section.
29	40
30	41		The people of the State of California do enact as follows:
31	42
32	43		## The people of the State of California do enact as follows:
33	44
34	45		SECTION 1. Section 15408 of the Probate Code is amended to read:15408. (a) On petition by a trustee or beneficiary, if the court determines that the fair market value of the principal of a trust has become so low in relation to the cost of administration that continuation of the trust under its existing terms will defeat or substantially impair the accomplishment of its purposes, the court may, in its discretion and in a manner that conforms as nearly as possible to the intention of the settlor, order any of the following:(1) Termination of the trust.(2) Modification of the trust.(3) Appointment of a new trustee.(b) Notwithstanding subdivision (a), if the trust principal does not exceed fifty thousand dollars ($50,000) in value, the trustee has the power to terminate the trust.(c) The existence of a trust provision restraining transfer of the beneficiarys interest does not prevent application of this section.
35	46
36	47		SECTION 1. Section 15408 of the Probate Code is amended to read:
37	48
38	49		### SECTION 1.
39	50
40	51		15408. (a) On petition by a trustee or beneficiary, if the court determines that the fair market value of the principal of a trust has become so low in relation to the cost of administration that continuation of the trust under its existing terms will defeat or substantially impair the accomplishment of its purposes, the court may, in its discretion and in a manner that conforms as nearly as possible to the intention of the settlor, order any of the following:(1) Termination of the trust.(2) Modification of the trust.(3) Appointment of a new trustee.(b) Notwithstanding subdivision (a), if the trust principal does not exceed fifty thousand dollars ($50,000) in value, the trustee has the power to terminate the trust.(c) The existence of a trust provision restraining transfer of the beneficiarys interest does not prevent application of this section.
41	52
42	53		15408. (a) On petition by a trustee or beneficiary, if the court determines that the fair market value of the principal of a trust has become so low in relation to the cost of administration that continuation of the trust under its existing terms will defeat or substantially impair the accomplishment of its purposes, the court may, in its discretion and in a manner that conforms as nearly as possible to the intention of the settlor, order any of the following:(1) Termination of the trust.(2) Modification of the trust.(3) Appointment of a new trustee.(b) Notwithstanding subdivision (a), if the trust principal does not exceed fifty thousand dollars ($50,000) in value, the trustee has the power to terminate the trust.(c) The existence of a trust provision restraining transfer of the beneficiarys interest does not prevent application of this section.
43	54
44	55		15408. (a) On petition by a trustee or beneficiary, if the court determines that the fair market value of the principal of a trust has become so low in relation to the cost of administration that continuation of the trust under its existing terms will defeat or substantially impair the accomplishment of its purposes, the court may, in its discretion and in a manner that conforms as nearly as possible to the intention of the settlor, order any of the following:(1) Termination of the trust.(2) Modification of the trust.(3) Appointment of a new trustee.(b) Notwithstanding subdivision (a), if the trust principal does not exceed fifty thousand dollars ($50,000) in value, the trustee has the power to terminate the trust.(c) The existence of a trust provision restraining transfer of the beneficiarys interest does not prevent application of this section.
45	56
46	57
47	58
48	59		15408. (a) On petition by a trustee or beneficiary, if the court determines that the fair market value of the principal of a trust has become so low in relation to the cost of administration that continuation of the trust under its existing terms will defeat or substantially impair the accomplishment of its purposes, the court may, in its discretion and in a manner that conforms as nearly as possible to the intention of the settlor, order any of the following:
49	60
50	61		(1) Termination of the trust.
51	62
52	63		(2) Modification of the trust.
53	64
54	65		(3) Appointment of a new trustee.
55	66
56	67		(b) Notwithstanding subdivision (a), if the trust principal does not exceed fifty thousand dollars ($50,000) in value, the trustee has the power to terminate the trust.
57	68
58	69		(c) The existence of a trust provision restraining transfer of the beneficiarys interest does not prevent application of this section.