Representation of trust beneficiaries.

Assembly Member Dixon's trust administration reform measure would modify California's notice requirements for trust-related actions by establishing a new framework for representation and binding authority. The legislation replaces existing indirect notice provisions with a system allowing authorized representatives to receive notices on behalf of trust beneficiaries and interested parties, provided specific conditions are met.

The bill outlines permissible representative relationships, including parents representing minor children, conservators binding conservatees, and trustees acting for beneficiaries. Representatives must obtain written consent and avoid conflicts of interest regarding the matters at hand. The measure prohibits settlors from representing beneficiaries in decisions about irrevocable trust modifications. Fiduciaries who rely on proper representations receive liability protection except in cases of intentional misconduct, gross negligence, or bad faith.

For future interests and successive beneficiaries, the legislation permits representation by individuals holding substantially identical current interests. The bill preserves existing requirements for special notices in court proceedings and maintains the availability of guardians ad litem. Court actions taken under these provisions would bind represented persons, while the definition of notice expands to encompass various legal papers beyond formal notifications.