Many people choose to include at least one trust agreement within their comprehensive estate plan. If you are among them, you will need to decide what type of trust to create, a decision that should only be made with the advice and guidance of your estate planning attorney. If you ultimately decide to establish an irrevocable living trust, you need to understand what that means. To explain better, the Los Angeles trust attorneys at Schomer Estate & Wealth Advisors explain whether an irrevocable trust can be modified or terminated in California.
Trust Basics
After a Last Will and Testament, a trust agreement is among the most common additions to the average estate plan due in large part to the versatile nature of a trust. At its core, a trust is a legal agreement that obligates one person (or entity) to manage and invest assets for the benefit of a third-party. The person or entity managing the assets is the Trustee and the third party is the beneficiary. The person who creates a trust is known as the Settlor, Trustor, or Grantor. A trust can be a living trust or a testamentary trust. A living trust is administered during the life of the Settlor (and beyond if the terms dictate) while a testamentary trust is created using a provision in the Settlor’s Will, meaning it only activates after the death of the Settlor.
Revocable vs. Irrevocable Trusts
A living trust can also be revocable or irrevocable while a testamentary trust, once activated, is irrevocable. A revocable living trust can be modified, revoked, or terminated at any time by the Settlor without the need to seek court approval or provide a reason. It is best to think of an irrevocable trust as a trust that cannot be modified, revoked, or terminated for any reason once it becomes active; however, that is not completely accurate as you will find if you read on.
Modifying or Terminating an Irrevocable Trust in California
While it is true that the Settlor of an irrevocable trust cannot make changes to or terminate the trust once the trust is established, it may be possible for the beneficiaries, Trustee, or a court to modify or terminate an irrevocable trust in California.
California law makes it clear that unless a trust is expressly made irrevocable by the trust instrument, the trust is revocable by the Settlor. California law also allows the beneficiaries to modify or terminate an irrevocable trust, stating as follows:
In addition, a court always has the power to modify or terminate a trust if the court is persuaded that allowing the requested modification or terminating the trust is in the best interest of the beneficiaries.
Do You Have Questions about an Irrevocable Trust in California?
For more information, please join us for an upcoming FREE seminar. If you have additional questions or concerns about an irrevocable trust in California, contact the experienced Los Angeles trust attorneys at Schomer Estate & Wealth Advisors by calling (310) 337-7696 to schedule an appointment.
- Reasons to Incorporate a Living Trust into My California Estate Plan - August 16, 2026
- What You Need to Know about Funding a Trust in California - August 15, 2026
- Estate Planning for Real Estate Owners in California - August 14, 2026
