[SeattleMan]

My question involves collection proceedings in the State of: California

My sister passed away after a lengthy bout with cancer. She had a Living Trust and my father is the successor trustee. My father and I didn't know it at the time of her death but my sister owed approximately $9,000 on a credit card. We paid approximately $1,000 on the card but after paying other bills there were no funds left to pay the rest of the balance to the credit card company.

The credit card company just filed a complaint saying that my father, "did receive, following DECEDENT'S death, as beneficiary, payment, delivery, or transfer of trust assets." They have named my father as a defendent and states he in now "indebted to Plaintiff...."

I assume that if the trust has the assets, the debt must be paid. If the trust doesn't have the assets does this complaint even have merit? I'm asking because my attorney is saying that it will cost more that $8,000 to fight this complaint. I'm assuming that if it doesn't have merit, the case shouldn't take more than a few hours to deal with.

Is it true that my father, as successor trustee, can be held liable for the debts of the trust/estate?

[Antigone]

My question involves collection proceedings in the State of: California

How about a few more details. Whose name was the account in? Who is being sued?

[SeattleMan]

The account was in my sister's name only. My father is being sued for Breach of Contract both as an individual and as trustee of my sister's trust.

[Mr. Knowitall]

If the attorney is going to charge $8,000 to figure out if the trust had assets, fire him and hire somebody competent and ethical. But really, your dad knows if the trust had assets, doesn't he.

Did you probate the estate or not? If not, why not? If so, dad was the personal representative? The $8,000 lawyer was lawyer for the estate?

[SeattleMan]

She did the living trust to avoid probate. She wasn't married and she wanted to avoid going through the probate process and wanted to make the transfer of assets more easy for my father. She had a house which might have been an asset were it not for the downturn in the real estate market. I think she owes $425k but the market value is around $400,000.

With respect to your other questions...no probate, so no personal representative (I'm assuming that...). Yes, the $8,000 is the lawyer my father is using to work out the details of my sister's estate. I'm in Seattle and I've only talked to him by telephone. I'm not impressed by him! That's why I turned to this board...just to see if I was thinking about this situation correctly (or at least reasonably...)