Auburn, CA asked in Estate Planning, Real Estate Law, Elder Law and Probate for California

Q: Dad has dementia, I'm poa, trustee of his estate. He entered into a contract to sell his house behind my back is it lega

For the real estate agent to proceed with sale if the house is in a trust.

2 Lawyer Answers
Sally Bergman
Sally Bergman
Answered
  • Estate Planning Lawyer
  • San Mateo, CA
  • Licensed in California

A: If your father's dementia has progressed to a point where he lacks mental capacity, the "Incapacity" provisions of his trust take over and I assume you were the designated successor trustee, so you then take over as trustee in the place of your father. When this occurs, it is a good idea to file a document with the County Recorder's office that serves to alert anyone buying/selling property that you are the only person authorized to enter into such a transaction on behalf of the trust. You should probably take his documents to an attorney so that they can interpret all of the pertinent provisions.

Tobie B. Waxman
Tobie B. Waxman
Answered
  • Culver City, CA
  • Licensed in California

A: If the house is owned by the trust and you are trustee, then Dad, on his own, is not authorized to sell the property. Further, someone who is suffering from dementia is arguable incapable of legally entering into a contract. The issue to be resolved is whether the real estate agent is 1) aware of the dementia; and 2) aware of who the legal owner of the property is.

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