Thomas

Devereaux and Marie Lynch, husband and wife, created the Lynch Family Living Trust. When Devereaux died, leaving Marie as a surviving spouse, the trust, by its terms, became a survivor’s trust and a residual trust. The survivor’s trust was composed of Marie’s separate property and her share of community property. The residual trust was composed of Devereaux’s separate property and his share of the community property. Upon Marie’s death, what is left in the survivor’s trust (which, as will be explained, will most likely be nothing as it is currently entirely or mostly depleted) will go to Marie’s daughter from a prior marriage, Karen Thomas (who is also the trustee of the survivor’s trust, Marie’s guardian ad litem, and the plaintiff in this case). What is left in the residual trust will go to Devereaux’s nieces and nephews (he had no children). While she lives, however, Marie is entitled to support from the income of the survivor’s trust and the residual trust. The trust document provided that, if the income of the two trusts is insufficient for Marie’s support, the principal of, first, the survivor’s trust and, second, the residual trust would be used for her support.…