Legal Question in Credit and Debt Law in California

If judgment is rendered against party (and he does NOT file bk) and he is the trustee and beneficiary of a trust that has not yet ripened, (but most likely will within a year or two) can a writ of attachment be issued to the trust so that when the trust does ripen, he will have to pay out?


Asked on 5/10/10, 12:25 pm

1 Answer from Attorneys

David Gibbs The Gibbs Law Firm, APC

Most likely the answer is that yes, when you are eligible to draw down from the trust as a beneficiary, the creditor can attach whatever interest you have in the trust. The only type of trust that might be protected from a creditor is a spendthrift trust which contains certain language regarding protection from creditors AND the debtor (the person who owes money) is not acting as Trustee and beneficiary.

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Answered on 5/17/10, 9:47 am


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