Betrayal of Trust: Suing a Trustee for Financial Elder Abuse in California

When someone establishes a Trust, they place enormous faith in their chosen Trustee. This individual or institution accepts solemn fiduciary duties—obligations to manage assets prudently, act loyally, and always prioritize the beneficiaries’ best interests. But what happens when this trust is shattered, and a trustee exploits a vulnerable senior? Sadly, Financial Elder Abuse by trustees is a grim reality, leaving victims and their families devastated.

Fortunately, California law provides powerful tools to fight back. The Elder Abuse and Dependent Adult Civil Protection Act (EADACPA), found primarily in the Welfare & Institutions Code, offers strong protections and enhanced remedies against those who financially exploit seniors (age 65+) or dependent adults. If you suspect a trustee has committed financial abuse, understanding your rights is the first step toward accountability.

When someone establishes a Trust, they place enormous faith in their chosen Trustee. This individual or institution accepts solemn fiduciary duties—obligations to manage assets prudently, act loyally, and always prioritize the beneficiaries’ best interests. But what happens when this trust is shattered, and a trustee exploits a vulnerable senior? Sadly, Financial Elder Abuse by trustees is a grim reality, leaving victims and their families devastated.

Fortunately, California law provides powerful tools to fight back. The Elder Abuse and Dependent Adult Civil Protection Act (EADACPA), found primarily in the Welfare & Institutions Code, offers strong protections and enhanced remedies against those who financially exploit seniors (age 65+) or dependent adults. If you suspect a trustee has committed financial abuse, understanding your rights is the first step toward accountability.

Under California Welfare & Institutions Code § 15610.30, financial elder abuse occurs when a person or entity does any of the following regarding the property of an elder or dependent adult:

• Takes, secretes, appropriates, obtains, or retains the property.
• Assists another in doing the same.

Crucially, this action must be done for a “wrongful use,” with intent to defraud, or through undue influence.

A trustee, holding legal control over trust assets, is uniquely positioned to commit this abuse. Examples include:

• Misappropriation: Taking trust funds for personal use.
• Self-Dealing: Engaging in transactions that benefit the trustee personally at the trust’s expense.
• Assisting a third party in looting trust assets.
• Using undue influence to pressure an elder settlor with diminished incapacity into changing the trust for the trustee’s benefit.
• Charging excessive or unwarranted trustee compensation.
• Making improper distributions contrary to the trust’s terms or the beneficiary’s best interests, especially if the trustee knows or should know it’s likely harmful (“wrongful use”).

Under California Welfare & Institutions Code § 15610.30, financial elder abuse occurs when a person or entity does any of the following regarding the property of an elder or dependent adult:

• Takes, secretes, appropriates, obtains, or retains the property.
• Assists another in doing the same.

Crucially, this action must be done for a “wrongful use,” with intent to defraud, or through undue influence.

A trustee, holding legal control over trust assets, is uniquely positioned to commit this abuse. Examples include:

• Misappropriation: Taking trust funds for personal use.
• Self-Dealing: Engaging in transactions that benefit the trustee personally at the trust’s expense.
• Assisting a third party in looting trust assets.
• Using undue influence to pressure an elder settlor with diminished incapacity into changing the trust for the trustee’s benefit.
• Charging excessive or unwarranted trustee compensation.
• Making improper distributions contrary to the trust’s terms or the beneficiary’s best interests, especially if the trustee knows or should know it’s likely harmful (“wrongful use”).

California law recognizes that the elder victim may not be able to pursue a claim themselves. Standing to sue for financial elder abuse (under WIC § 15657.3) is granted not only to the elder or their conservator but also potentially to their agent under a power of attorney, their personal representative after death, and even heirs or beneficiaries who stand to inherit the property that was wrongfully taken.

California law recognizes that the elder victim may not be able to pursue a claim themselves. Standing to sue for financial elder abuse (under WIC § 15657.3) is granted not only to the elder or their conservator but also potentially to their agent under a power of attorney, their personal representative after death, and even heirs or beneficiaries who stand to inherit the property that was wrongfully taken.

Based on EADACPA and related procedures, pursuing a claim typically involves:

1. Confirming Status: Verifying the victim qualifies as an “elder” (65+) or “dependent adult” under the law.
2. Identifying the “Taking”: Documenting precisely what property was taken, when, and how (e.g., direct trustee action, undue influence).
3. Proving Wrongful Intent/Use: Gathering evidence that the trustee acted with intent to defraud, for a wrongful use (knowing or reckless disregard of harm), or exerted undue influence. A prior criminal conviction for theft from the elder (Penal Code § 368) can sometimes establish civil liability via collateral estoppel.
4. Meeting the Deadline: Filing the claim within the Statute of Limitations, which is generally four years for financial elder abuse claims (WIC § 15657.7). Acting promptly is critical.
5. Considering Additional Claims: Financial elder abuse often occurs alongside other wrongs, like a general Breach of Fiduciary Duty, Fraud, or Conversion. These claims may be brought concurrently.
6. Demanding Return & Potential Attachment: You can demand the return of the property. If refused, California law provides procedures for seeking a pre-judgment Writ of Attachment to secure assets under certain conditions (WIC § 15657.01).

Based on EADACPA and related procedures, pursuing a claim typically involves:

1. Confirming Status: Verifying the victim qualifies as an “elder” (65+) or “dependent adult” under the law.
2. Identifying the “Taking”: Documenting precisely what property was taken, when, and how (e.g., direct trustee action, undue influence).
3. Proving Wrongful Intent/Use: Gathering evidence that the trustee acted with intent to defraud, for a wrongful use (knowing or reckless disregard of harm), or exerted undue influence. A prior criminal conviction for theft from the elder (Penal Code § 368) can sometimes establish civil liability via collateral estoppel.
4. Meeting the Deadline: Filing the claim within the Statute of Limitations, which is generally four years for financial elder abuse claims (WIC § 15657.7). Acting promptly is critical.
5. Considering Additional Claims: Financial elder abuse often occurs alongside other wrongs, like a general Breach of Fiduciary Duty, Fraud, or Conversion. These claims may be brought concurrently.
6. Demanding Return & Potential Attachment: You can demand the return of the property. If refused, California law provides procedures for seeking a pre-judgment Writ of Attachment to secure assets under certain conditions (WIC § 15657.01).

Successfully proving financial elder abuse involving bad faith, recklessness, malice, oppression, or fraud can unlock powerful remedies beyond just recovering the lost assets (under WIC § 15657.5). The court may award:

• Attorney’s Fees and Costs incurred in pursuing the claim.
• Punitive Damages (to punish the wrongdoer).
• Potentially, damages for the elder’s pain and suffering (which can survive death).

These enhanced remedies aim to make victims whole and strongly deter elder abuse.

Successfully proving financial elder abuse involving bad faith, recklessness, malice, oppression, or fraud can unlock powerful remedies beyond just recovering the lost assets (under WIC § 15657.5). The court may award:

• Attorney’s Fees and Costs incurred in pursuing the claim.
• Punitive Damages (to punish the wrongdoer).
• Potentially, damages for the elder’s pain and suffering (which can survive death).

These enhanced remedies aim to make victims whole and strongly deter elder abuse.

Asserting a financial elder abuse claim against a trustee often involves intricate litigation within the Probate Court (frequently via Petition under Probate Code § 850 or § 17200). It requires careful investigation, detailed financial tracing, potentially expert testimony on capacity or undue influence, and skilled legal advocacy.

Burrey Law Group is deeply committed to protecting elders and holding fiduciaries accountable. We have the experience and resources to investigate suspected financial abuse by trustees, build strong cases, and pursue all available remedies under California law.

If you suspect a trustee has financially exploited an elder or dependent adult, do not hesitate. Contact Burrey Law Group for a confidential consultation to understand your rights and options.

Asserting a financial elder abuse claim against a trustee often involves intricate litigation within the Probate Court (frequently via Petition under Probate Code § 850 or § 17200). It requires careful investigation, detailed financial tracing, potentially expert testimony on capacity or undue influence, and skilled legal advocacy.

Burrey Law Group is deeply committed to protecting elders and holding fiduciaries accountable. We have the experience and resources to investigate suspected financial abuse by trustees, build strong cases, and pursue all available remedies under California law.

If you suspect a trustee has financially exploited an elder or dependent adult, do not hesitate. Contact Burrey Law Group for a confidential consultation to understand your rights and options.