A recent legislative change could impact individuals who haven’t established a Living Trust and estate plan or those who pass away without one.
On August 29, 2024, a new Assembly Bill was finalized, introducing amendments to six sections of the California Probate Code (Cal. Prob. Code §§ 13100-13101, 13150-13152, 13154) and repealing one section (Prob. Code § 13158). These updates apply only to deaths occurring after April 1, 2025.
This law may streamline estate management for successors—or it may add complexities. The growing number of Californians without estate plans has led to significant probate court delays, with proceedings typically lasting at least 12 to 15 months.
For estates where the decedent’s primary residence is valued under $750,000 and no additional assets need collection, a summary probate proceeding may offer a quicker alternative. Successors can file a petition 40 days after the decedent’s passing to transfer real property to heirs.
Advantages of Summary Probate Proceedings:
- Requires only one petition and one hearing, reducing costs compared to full probate.
- A straightforward process for estates with a single heir.
- Shorter duration than traditional probate.
Limitations of Summary Probate Proceedings:
- Excludes investment properties and properties held in joint tenancy.
- All heirs must agree and sign court documents.
- If even one heir contests the petition, the estate must go through full probate.
Why a Living Trust Remains the Best Option Despite these updates, a Living Trust continues to offer the most reliable protection against probate, eliminating the need for court involvement. With a Living Trust, you can:
- Appoint a trusted successor to manage your estate.
- Tailor asset distributions to meet your beneficiaries’ specific needs.
- Ensure a seamless transfer of assets without probate-related delays.