Many estate plans in California are created with a single goal in mind: to avoid the cost and delay of the probate process. To do this, tools such as living trusts, joint tenancy, or “payable on death” (POD) designations on bank accounts are used.
There is a misconception that because these assets do not go through the court, they are immune to legal disputes. Nothing could be further from the truth. In fact, these transfers are often more vulnerable to litigation than a traditional will.
Common reasons for challenging a transfer
The fact that an asset automatically changes ownership does not guarantee that the transfer is valid. Litigation often arises under these conditions:
Undue influence: If a caregiver or family member pressured your loved one to be added to a deed or account, California law allows the transfer to be challenged if there was unfair exploitation of the deceased’s vulnerability.
Lack of capacity: If the person suffered from dementia or cognitive impairment at the time of signing, the transfer may be declared void.
“Convenience” accounts: It is common for an elderly parent to add a child to their account just to help with monthly payments. Although California law presumes that the survivor is the owner, other heirs can litigate to prove that it was never a gift, but rather an administrative arrangement.
Also, if a house was never formally transferred to the trust’s name, the asset remains in legal limbo. In these cases, a petition under the Probate Code can be filed to recover the property for the correct beneficiaries.
Deadlines and legal actions
In California, the window for challenging an intestate transfer is surprisingly narrow. If you suspect that a trust was unfairly altered or that a bank account was manipulated, waiting could be a mistake for your case.
When a trust becomes irrevocable (usually after the owner’s death), the trustee is required by law to send formal notice to all heirs. From the moment you receive that letter, you generally have only 120 days to file a challenge lawsuit in court. If you ignore this deadline, you will lose your legal right to claim your inheritance.
Trust litigation in California is technically complex and emotionally draining. That is why you need an attorney with a deep understanding of how the law works in the state.