Arvizu

Orange Catholic Found. v. Arvizu

Good Law
239 Cal. Rptr. 3d 60·28 Cal. App. 5th 283
Court of Appeal of CaliforniaOctober 17, 2018G055189California5,441 words

Opinion

Lead Opinion

Moore, J.

*285 Probate Code section 16440, subdivision (b) (16440(b) ) provides that if a "trustee has acted reasonably and in good faith under the circumstances as known to the trustee," a court has discretion to excuse him or her from liability for a breach of trust if it would be equitable to do so. 1 (Italics added.) Acting under this express authority, the trial court denied a petition brought by Orange Catholic Foundation 2 and Kevin W. Vann, the Roman Catholic Bishop of Orange (collectively, the Church) to *286 remove Rosie Mary Arvizu from her position as trustee of the Josephine Kennedy Trust (Trust) and for damages. Finding no abuse of discretion, we affirm the judgment.

The Trust gave a life estate in Kennedy's house (the Residence) to Paul Senez, her very dear family friend of over 60 years, provided that he pay for certain expenses related to the Residence. The Trust further provided that upon Senez's death, the Residence was to be sold and the proceeds were to be given to the Church for the benefit of the needy elderly and abused children. The Church alleged that Arvizu (Kennedy's niece and the successor trustee) breached her duties as trustee by: (1) improperly using Trust…

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