CALIFORNIA ASSEMBLY BILL 565
Representation of Trust Beneficiaries
What is Assembly Bill 565? California Assembly Bill 565 (AB565), enacted in July 2025, updates the Probate Code to modernize how trust beneficiaries are represented and notified. The bill clarifies that notice delivered to an authorized representative satisfies legal requirements, provided the beneficiary has given written consent. It also ensures ethical safeguards by prohibiting representatives with conflicts of interest and protecting trustees who act in good faith. AB565 defines eligible representative relationships, such as parents for minors and conservators for conservatees, creating a clear framework for trust administration. Key Components of California Assembly Bill 565 Modernizes beneficiary representation by allowing authorized representatives to receive legal notices on behalf of beneficiaries. Requires written consent from beneficiaries before representation becomes valid, ensuring transparency and control. Implements ethical safeguards by prohibiting representatives with conflicts of interest and protecting trustees acting in good faith. Clarifies eligible representative roles, such as parents for minors, conservators for conservatees, and current interest holders for future beneficiaries. Streamlines trust administration while preserving beneficiary rights, reducing complexity and liability for fiduciaries. Why it matters AB565 streamlines trust administration while preserving transparency and beneficiary rights. By requiring written consent and limiting conflicts of interest, it strengthens protections for beneficiaries and reduces liability for trustees. This law brings clarity to a previously complex process, ensuring that trust management is efficient, ethical, and legally sound—ultimately fostering confidence in California’s estate planning system.
https://www.clta.org/uploads/1/5/2/2/152207072/2025_summary.pdf As shown on page 15 of the 2025 CLTA Summary of Legislation
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Find more important Assembly Bill 565 details here: https://legiscan.com/CA/text/AB565/2025
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