InnoVest Resource Management's Foreclosure Forum

Home Discussion Board "Hands-On" Training Title Holding Trust Annual Reunion Speaking Schedule Store Foreclosure Fundamentals Code References 50 State Foreclosure Basics Foreclosure Glossary Foreclosure Statistics 70+ Yrs Interest Rates Fillable Forms Archived Articles Dingbat Retirement Plan Links Contact / Map About Us Home

[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Re: Who can be a trustee of a THT? Posted by Lughead on June 15, 2009 at 9:00 PM In Reply to: Who can be a trustee of a THT? posted by Rob on June 15, 2009 at 11:26 AM Have the attorney quote the chapter and verse of the code/statue that prohibits this ... his opinion does not matter ... what the law consists of does i'd be very surprised if he is correct ... seems the title cos would know about this and not insure title if there were issues : Recently an attorney wrote this to me on who could be a trustee. : "The big "sleeper" issue that no one in the industry seems to be aware of are the California laws limiting who can serve as a trustee of a trust (or the agent under a power of attorney). In short, 1) for an individual to serve as a trustee of three or more trusts (and/or powers of attorney) for people to which s/he is not directly related, must be licensed as a "Private Fiduciary." The requirements for this license are far more difficult than a real estate broker; and, 2) for a corporation to serve as a trustee, it must be licensed under the Department of Financial Institutions as a trust company (similar to a bank); and, 3) no other kind of entity (such as a LLC) is authorized to act as a trustee in California. There is an exception for California licensed attorneys to act as a trustee, so I'm investigating whether that can be done via a law coporation corporation as well -- and then maybe jump on the business opportunity if there is one." : : For years I been using one my LLC's or a trusted friend for my trusts. Can any one advise on this issue? Follow Ups: Appears to be true Rob 3:49 PM, 06/17/09 (0) Post a Followup: Name : E-Mail : Subject : Comments: : Have the attorney quote the chapter and verse of the code/statue that prohibits this ... his opinion does not matter ... : what the law consists of does : i'd be very surprised if he is correct ... seems the title cos would know about this and not insure title if there were issues : : : Recently an attorney wrote this to me on who could be a trustee. : : "The big "sleeper" issue that no one in the industry seems to be aware of are the California laws limiting who can serve as a trustee of a trust (or the agent under a power of attorney). In short, 1) for an individual to serve as a trustee of three or more trusts (and/or powers of attorney) for people to which s/he is not directly related, must be licensed as a "Private Fiduciary." The requirements for this license are far more difficult than a real estate broker; and, 2) for a corporation to serve as a trustee, it must be licensed under the Department of Financial Institutions as a trust company (similar to a bank); and, 3) no other kind of entity (such as a LLC) is authorized to act as a trustee in California. There is an exception for California licensed attorneys to act as a trustee, so I'm investigating whether that can be done via a law coporation corporation as well -- and then maybe jump on the business opportunity if there is one." : : : : For years I been using one my LLC's or a trusted friend for my trusts. Can any one advise on this issue? [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

Information provided by this website is for informational purposes only and is not a substitute for professional advice. Please consult your investment advisor and/or attorney before entering into any transaction. Read our privacy policy.

Copyright © 1997-date("Y"), InnoVest Resource Management
http://www.foreclosureforum.com

InnoVest Resource Management, 4569-A Mission Gorge Place, San Diego CA 92120-4112
(619) 283-5444, Fax (619) 283-5455