Can she appoint me as power of attorney to do all of this trust?
Full Question:
Answer:
We are assuming the purpose behind the change is to name you and your sister as trustees. If you revoke the trust, it will be necessary to create a new trust appointing the two of you as trustees. The answer will also depend on whether it was a revocable trust. A trust may not be modified or revoked by an attorney in fact under a power of attorney unless it is expressly permitted by the trust instrument. The answer for terminating the trust may require a petition to the court.
Please see the following CA statute:
15407. (a) A trust terminates when any of the following occurs:
(1) The term of the trust expires.
(2) The trust purpose is fulfilled.
(3) The trust purpose becomes unlawful.
(4) The trust purpose becomes impossible to fulfill.
(5) The trust is revoked.
(b) On termination of the trust, the trustee continues to have the
powers reasonably necessary under the circumstances to wind up the
affairs of the trust.
Except as provided in subdivision (b), if all
beneficiaries of an irrevocable trust consent, they may compel
modification or termination of the trust upon petition to the court.
(b) If the continuance of the trust is necessary to carry out a
material purpose of the trust, the trust cannot be modified or
terminated unless the court, in its discretion, determines that the
reason for doing so under the circumstances outweighs the interest in
accomplishing a material purpose of the trust. Under this section
the court does not have discretion to permit termination of a trust
that is subject to a valid restraint on transfer of the beneficiary's
interest.
If the settlor and all beneficiaries of a trust consent,
they may compel the modification or termination of the trust.
(b) If any beneficiary does not consent to the modification or
termination of the trust, upon petition to the court, the other
beneficiaries, with the consent of the settlor, may compel a
modification or a partial termination of the trust if the interests
of the beneficiaries who do not consent are not substantially
impaired.
(c) If the trust provides for the disposition of principal to a
class of persons described only as "heirs" or "next of kin" of the
settlor, or using other words that describe the class of all persons
who would take under the rules of intestacy, the court may limit the
class of beneficiaries whose consent is needed to compel the
modification or termination of the trust to the beneficiaries who are
reasonably likely to take under the circumstances.
15402. Unless the trust instrument provides otherwise, if a trust
is revocable by the settlor, the settlor may modify the trust by the
procedure for revocation.