(916) 775-8542 
Who Pays Legal Fees in a Trust Dispute? What You Should Know!
There are several circumstances that could lead to a trust dispute, from trustee mismanagement to conflicts among beneficiaries. But whether you believe the trust is invalid or the document contains unclear or vague language, you may need the assistance of a skilled trust litigation attorney from Hackard Law.
But while going to court may be the only way to resolve these conflicts, expenses could add up. So, who actually pays legal fees in a trust dispute? Stick with us to learn the answer to this common question.
Who Is Responsible for Legal Fees in California Trust Disputes?
In California trust disputes, the general rule is that each party must pay its own legal fees. But there are exceptions to this policy, including:
Trustee’s Defense
A trustee could use the trust’s assets to pay reasonable attorney’s fees to defend their actions. This concession is based on the theory that this individual is presumed to be acting properly until proven otherwise.
Losing Party
If the court finds that a party acted in bad faith or engaged in meritless litigation, they could be ordered to pay the prevailing party’s attorney’s fees, potentially out of the trust.
Challenging Beneficiary
While a challenging beneficiary usually pays for their own lawyer, they may be able to recover those costs. If they successfully prove that the trustee breached their fiduciary duties or if the court finds that the trust benefited from the action, such as removing a self-dealing trustee, the challenger may be able to recoup those fees from the trust.
Additional Trust Dispute and Legal Fee Considerations You Should Know
The trust document may contain no-contest or fee-shifting clauses, as well as provisions that influence fee awards. Just bear in mind that judges have broad discretion in deciding who pays legal fees in a trust dispute and will often consider the conduct of all parties before making a decision. So, discuss your specific situation with your Hackard Law attorney to reduce potential fee exposure and review recovery options.
Consult With Us To Learn Who Pays Legal Fees in a Trust Dispute
While it is true that each party typically pays its own legal fees in a trust dispute, you should know that it may be possible to recover those costs from the trust. Reach out to the experienced trust litigation attorneys at Hackard Law to discuss your unique situation.
Let our firm handle your trust dispute, no matter where you live in the state of California. You need experienced legal counsel, and there is no reason to hesitate to bring your concerns to us. Thanks to our standard contingency fee arrangement, you pay us nothing if we do not win.