We are three siblings and co-trustees of our parents' estate. One member refuses to negotiate. How can we move forward?

The estate is a collection of business and residential rental properties, some needing much repair. One of the co-trustees can be very stubborn. We had a tentative verbal deal to buy him out of the trust by offering a collection of buildings. Upon further investigation, I realized the deal would leave the remaining two of us with a negative cash-flow business (we'd be creating a non-viable trust). Although I explained why I couldn't proceed with the tentative deal, he was mad. Now he refuses to negotiate on ANYTHING. We are at a miserable standstill. Is there a way to force this person to come to the table and talk?
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Janet Lee Brewer

Janet Lee Brewer Avvo Pro

Contributor Level 7
This is a classic reason for not appointing family members to be trustees - and certainly for not creating a "committee" to run things!

Your sibling owes a "fiduciary" duty to act in good faith. If he can't act in good faith, then you may need to go to court and have him removed as a trustee of the trust. I suspect that if he were to be served with a petition for removal of trustee, a lawyer would set him straight on his duties and how much it might cost him if he fails to fulfill them.

Good luck.

The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for individual advice regarding your own situation.
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Additional Answers (2)

Keenan M. Post

Keenan M. Post Avvo Pro

Contributor Level 7
I agree with the first answer and would add that mosts trusts naming multiple trustees have specfic provisions related to making decisions by majority (or unanimously). If not, CA law related t trusts would be the default if the trust is silent on deadlocks between trustees. California law provides as follows:

16002. (a) The trustee has a duty to administer the trust solely in
the interest of the beneficiaries.
(b) It is not a violation of the duty provided in subdivision (a)
for a trustee who administers two trusts to sell, exchange, or
participate in the sale or exchange of trust property between the
trusts, if both of the following requirements are met:
(1) The sale or exchange is fair and reasonable with respect to
the beneficiaries of both trusts.
(2) The trustee gives to the beneficiaries of both trusts notice
of all material facts related to the sale or exchange that the
trustee knows or should know.

and

16013. If a trust has more than one trustee, each trustee has a
duty to do the following:
(a) To participate in the administration of the trust.
(b) To take reasonable steps to prevent a cotrustee from
committing a breach of trust or to compel a cotrustee to redress a
breach of trust.

Good luck

LEGAL DISCLAIMER
Mr. Post is licensed to practice law in KS and MO. The response herein is not legal advice and does not create an attorney/ client relationship. The response is in the form of legal education and is intended to provide general information about the matter within the question. Oftentimes the question does not include significant and important facts and timelines that if known could significantly change the reply unsuitable. Mr. Post strongly advises the questioner to confer with an attorney in their state in order to ensure proper advice is received.
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Maryclare Lawrence

Maryclare Lawrence

Contributor Level 2
I am a Santa Rosa attorney who deals with these situations frequently. My first suggestion would be to get all three of you in one room and try to work it out. You personally should consult with an attorney to find out what all of the options are and what your rights are. The lawyer will need to read the trust carefully and see what (if anything) it says about making decisions.

In general, naming three siblings as cotrustees is a very, very, poor idea.
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