SECTIONS 17350-17354 - California Statutes

PROBATE CODE

SECTION 17350-17354

17350. This article applies only to trusts created by will executed
before July 1, 1977, and not incorporated by reference in a will on
or after July 1, 1977.

17351. (a) If any of the trustees of a trust described in Section
17350 is a trust company, the trust shall be removed from continuing
court jurisdiction as provided in this section. Within six months
after the initial funding of the trust, the trustee shall give a
notice of removal of the trust from continuing court jurisdiction to
each beneficiary. Notice of removal shall be sent by registered or
certified mail or by first-class mail, but notice sent by first-class
mail is effective only if an acknowledgment of receipt of notice is
signed by the beneficiary and returned to the trustee.
(b) The notice of removal of the trust from continuing court
jurisdiction shall contain the following:
(1) A statement that as of January 1, 1983, the law was changed to
remove the necessity for continuing court jurisdiction over the
trust.
(2) A statement that Section 17200 of the Probate Code gives any
beneficiary the right to petition a court to determine important
matters relating to the administration of the trust.
(3) A copy of the text of Sections 17200 and 17201.
(4) A statement that each income beneficiary, as defined in
Section 16325, is entitled to an annual statement of the principal
and income receipts and disbursements of the trust and that any other
beneficiary is entitled to such information upon written request to
the trustee.
(5) The name and location of the court in the county in which it
is appropriate to file a petition pursuant to Section 17200, the name
and location of the court that had jurisdiction over the
administration of the decedent's estate, and a statement that it is
appropriate to file a petition pursuant to Section 17200 with either
court.
(c) The trustee shall file with the court that had jurisdiction
over the administration of the decedent's estate proof of giving
notice under this section within seven months after the initial
funding of the trust.

17352. (a) If none of the trustees of a trust described in Section
17350 is a trust company, the trust may be removed from continuing
court jurisdiction only with approval of the court. The trustee may
petition for court approval at any time, and from time to time, in
the trustee's discretion.
(b) The petition for removal shall set forth the trust accounts in
detail, report the trustee's acts, and show the condition of the
trust estate. A copy of the trust instrument shall be attached to the
petition.
(c) At the hearing the court may receive testimony from any
interested person and may grant or deny the petition, or may grant
the petition on such conditions as the court in its discretion deems
proper.
(d) If the petition is granted, the trustee shall send the notice
of removal of the trust provided in subdivision (b) of Section 17351
and file proof of service as required by subdivision (c) of Section
17351 within six months and seven months, respectively, from the date
the petition is granted. A copy of the court order granting the
petition shall be attached to the notice.
(e) If the petition is not granted, the trust shall continue to be
administered under Article 1 (commencing with Section 17300) as if
the settlor had provided in the will that the court does not lose
jurisdiction of the estate by final distribution.

17353. If a trust company is appointed as a successor trustee of a
trust which, at the time of the appointment, is subject to continuing
court jurisdiction because it was not removed pursuant to Section
17352, the successor trustee shall comply with Section 17351. For the
purpose of complying with Section 17351, the date of appointment of
the successor trustee shall be treated as the date of initial funding
of the trust.

17354. After a trust is removed from continuing court jurisdiction
pursuant to this article, neither a change in trustees nor any other
event causes the trust to be subject to continuing court jurisdiction
under Article 1 (commencing with Section 17300).