Cal Bar Cheat Sheet (Wills and Trusts)

Dependent Relative Revocation

The doctrine of DRR applies when a testator revokes his will upon the mistaken belief that another disposition of her property would be effective; and but for this mistake would not have revoked the will.

DRR is not applied when the subsequent instrument revoking the will and making the alternative dispositions is defectively executed or if applying DRR would defeat the testator's intent.

Formal Wills

CA Probate Code requires that a formal will must: (1) be in writing; (2) signed by the T (or someone in T's presence at his direction); (3) the T's signing or acknowledgment of his signature or will must occur in the joint presence of at least two witnesses; and (4) the witnesses must understand that the instrument being witnessed is T's will.

Revocation by Subsequent Will

A will may be revoked by executing a subsequent will, coupled with an intent o revoke the prior will.

Trust Formalities

A valid trust requires: (1) a trustee; (2) trust res; (3) a beneficiary; (4) a trust purpose; and (5) settlor and his intent to create a trust.

Charitable Trust

Charitable trust must have indefinite beneficiaries and must have a purpose that benefits the public.

Cy Pres

If the specific charitable purpose indicated by the settlor is accomplished or becomes impractical, the court may direct the trust property to be applied to another charitable purpose if the testator is deemed to have had a general charitable purpose.

Trustee Duties and Powers

Trustee Powers
A trustee can only exercise express or implied powers.

Standard of Care Required of Trustee
A trustee must exercise that degree of care a reasonably prudent person would exercise in managing her own property.

Duty of Loyalty
A trustee owes a duty of undivided loyalty to the trust and all its beneficiaries.

Duty to Preserve Trust Property

Implied in the duty to preserve the trust property is a duty to make the property productive and to invest with reasonable care.