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?