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Superios Court of Califomia FI
Raymond L. Sandelman
County of Butte
Attorney at Law
196 Cohasset Road, Suite 225 3/5/2024
Chico, CA 95926-2284
(530) 343-5090/ (530) 343-5091 (FAX)
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Email: Raymond@sandelmanlaw.com
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Electrons FILED
Attorney for Mary Priscilla Scott
SUPERIOR COURT OF THE STATE OF CALIFORNIA
IN AND FOR THE COUNTY OF BUTTE
In re the Matter of the Alois Scott Jr. No.: 24P ROOO88
Living Trust, U/A dated February 15, 2023
10 PETITION TO APPOINT SUCCESSOR CO-
/
11 TRUSTEES
12 Hearing Date: April 9, 2024
Time: 9:00 a.m.
13
Department: 1
14 Judge: Tamara L. Mosbarger
15
16 Mary Priscilla Scott alleges:
17 1. Alois Scott Jr., created the Alois Scott Jr. Living Trust, U/A dated February 15, 2023
18 (hereafter referred to the “Scott Trust”). A true and correct copy of the Scott Trust is attached hereto
19 marked Exhibit 1.
20 2. Alois Scott Jr., died on March 3, 2023.
21 3. Mary Priscilla Scott is the widow of Alois Scott Jr. Mary Priscilla Scott is named as
22 successor trustee of the Scott Trust. She does not want to act as successor trustee. She has filed a
23 Complaint against the successor trustee of the Scott Trust. A true and correct copy of the Complaint
24 is attached hereto marked Exhibit 2.
25 4. The names of the beneficiaries of the Scott Trust who are all over the age of 18, are:
26 (a) Psalm Michelle Lewis, 3251 W. Adkisson Street, Pahrump, NV 89060.
27 (b) Benson Manento, 6521 Stevens Ave. S, Richfield, MN 55423.
28 (c) Julian Scott, 21532 Palatka Drive, Venice, FL 34293.
1
PETITION TO APPOINT SUCCESSOR CO-TRUSTEES
5. Pursuant to Probate Code section 15660 subdivision (c) (“the vacancy of a trustee should
be filled by a trust company that has agreed to accept the trust on agreement of all adult beneficiaries
who are receiving or are entitled to receive income under the trust or to receive a distribution of
principal if the trust were terminated at the time the agreement is made”) or pursuant to Probate
Code section 15660 subdivision (d) (“on petition of . . . any person named as trustee in the trust
instrument”), the Court should fill the vacancy with either (a) a trust company selected by Psalm
Michelle Lewis, Benson Manento, and Julian Scott, or (b) Psalm Michelle Lewis, Benson Manento,
and Julian Scott without a trust company. Petitioner suggests that the court appoint Psalm Michelle
Lewis, Benson Manento, and Julian Scott as successor co-trustees unless one or more of them advise
10 the court that they do not want to act as a trustee.
3
Ae 11 6. No one has filed a request for special notice.
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12 WHEREFORE, Mary Priscilla Scott prays for an order of this court that:
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Dated: Morel 5, 20246 RUSS
18 Raymond L. Sandelman
19 Attorney for Mary Priscilla Scott
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PETITION TO APPOINT SUCCESSOR CO-TRUSTEES
[Verification]
I, Mary Priscilla Scott, declare:
lam the Petitioner in the above entitled matter.
T have read the foregoing Petition to Appoint Successor Trustee and know the contents thereof.
T am informed and believe that the matters, which are stated therein, are true and correct.
I declare under penalty of perjury under the laws of the State of California that the foregoing
is true and correct, and that this document is executed in Chico, California this 21 yy of
February 2024.
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28 mu\orig_data\work\client directories\scott, priscilla 1896\petitionsuccessor 223.docx
VERIFICATION
EXHIBIT 1
THE ALOIS SCOTT JR LIVING TRUST
THIS TRUST AGREEMENT is entered into by ALOIS SCOTT JR, as Trustor, and ALOIS
SCOTT JR, as Trustee.
ARTICLE I
RECITALS AND CONVEYANCE
WHEREAS, Trustor, ALOIS SCOTT JR, desires to establish a Trust of which, during his lifetime,
he is the sole life beneficiary and the exclusive recipient of the economic benefits;
WHEREAS, this Trust shall be initially funded with the sum of TEN DOLLARS ($10.00) in cash;
such sum and any assets later added to the trust shall be known as the “trust estate” and shall be
held, administered and distributed as provided in this document and any subsequent amendments
to this document;
NOW, THEREFORE, the Trustee acknowledges receipt of the Trust Estate and shall hold the same
in Trust under the following terms, conditions and provisions:
ARTICLE II
DECLARATIONS
2.A. Name. This Trust shall be known as THE ALOIS SCOTT JR LIVING TRUST.
2.B. Family. Trustor is a married man who is separated from MARY PRISCILLA SCOTT.
Trustor has nine children now living; namely, ANNE-MARIE SCOTT WIGHTMAN, JOHN
ALOIS SCOTT, ZACHARY BLAINE SCOTT, CHRISTOPHER HOPKINS SCOTT, JEREMY
DERANN SCOTT, BRYCE BERTON SCOTT, BRITTANY ELIZABETH SCOTT, BRETT
DONALD SCOTT, and HARRY EZEKIEL SCOTT.
Any child or children of the Trustor born or adopted after the date of this Trust shall be treated as
though such child or children was/were specifically named in this Paragraph 2.B.
Trustor has intentionally, and not as a result of any mistake or inadvertence, omitted in this Trust
to provide for any other child of Trustor and/or the issue of such child, if any and however defined
by law, presently living.
2.0. Successor Trustee. If the undersigned should cease to act as the Trustee for any reason
(including either a court or physician declared incapacity as described in Paragraph 2.E.), he shall
be succeeded by Trustor's wife with whom he is currently separated MARY PRISCILLA SCOTT,
as the successor Trustee.
2.D. Trust Estate. Trustor, and/or any other person, may add to the principal of the Trust by
deed, will, or otherwise.
exwsm__ 1
2.E Definitions. For any interpretation of this Trust, the following definitions shall apply:
qd) Beneficiary. “Beneficiary” or “beneficiaries” means any person and/or entity then
eligible to receive current income or whose right to receive assets from the Trust is
currently vested;
(2) Cease to Act. “Cease to act” means the resignation, death, incapacity or
disappearance of a Trustee;
(3) Code. When not accompanied by any other defining references, “Code” refers to
the Internal Revenue Code of 1986 (as separately published as Title 26 of the U.S. Code),
as amended, and to any regulations pertaining to the referenced sections;
(4) Descendants. “Descendants” includes a person’s lineal descendants of all
generations;
(5) Disappearance. “Disappearance” means an individual’s whereabouts remains
unknown for a period of sixty (60) days. If any beneficiary (including the Trustor) is not
seen or heard of for a period of one year and no physical remains or body has been
recovered, it is presumed that such beneficiary is not alive;
(6) Education. “Education” or “educational purposes” includes any course of study or
instruction which may, in the Trustee’s discretion, be useful in preparing a beneficiary for
any vocation consistent with the beneficiary’s abilities and interests. Distributions for
education may include tuition, fees, books, supplies, living expenses, travel and spending
money to the extent that they are reasonable and necessary, again in the Trustee’s
discretion;
%) Incapacity.
@) In the case of a question or dispute, a Trustee’s incapacity (whether the
Trustee is the Trustor or a successor) is evidenced by written opinion of two
(2) physicians that the Trustee is unable to effectively manage his or her
own property or financial affairs, whether as a result of age, illness, use of
prescription medications, drugs or other substances, or any other cause;
() If there is no question or dispute, a Trustee’s incapacity is established by
the written opinion of only one doctor;
() An individual is deemed incapacitated if a court of competent jurisdiction
has declared the individual to be incompetent or legally incapacitated. If an
individual fails to grant the court making such determination valid
authorization to disclose such individual’s protected health information
under any applicable federal and/or state statute, or if such individual
subsequently revokes such authority, the individual shall be deemed
incapacitated; and,
@) An individual is deemed restored to capacity whenever the individual’s
personal or attending physician provides a written opinion that the
individual is able to effectively manage his or her own property and
financial affairs and such individual may then resume the position of
Trustee or co-Trustee held immediately prior to the incapacitation;
(8) Issue. “Issue” refers to lineal descendants of all degrees and includes adopted
persons; provided however, that such term shall refer only to the issue of lawful marriages
and to children born outside of a lawful marriage only if a parent/child relationship (as
determined under California law) existed between such child and his or her parent, living
or deceased, who was a beneficiary hereunder. A child in gestation who is later born alive
and survives for thirty (30) days shall be considered as issue in being throughout the period
of gestation;
(9) Legal Representative or Personal Representative. “Legal representative” or
“personal representative” shall mean a person’s guardian, conservator, executor,
administrator, trustee, or any other person or entity personally representing a person or the
person’s estate;
(10) Principal and Income. The determination by the Trustee in all matters as to what
shall constitute principal of the Trust, gross income therefrom and distributable net income
under the terms of the Trust shall be governed by the provisions of the Principal and Income
Act of the State of California, except as to any of such matters as may otherwise be
provided for in this instrument. In the event and to the extent that any of such matters
relating to what constitutes principal or income of the Trust and in the allocation of receipts
and disbursements between these accounts is not provided for either in this Trust or in such
Principal and Income Act, the Trustee has full power and authority to determine such
matters;
qq) Pronouns and Gender. The feminine, masculine or neutral gender, and the singular
or plural number, is deemed to include the others whenever the context so indicates;
(12) Qualified Beneficiary. “Qualified Beneficiary” means any person and/or entity then
eligible to receive current income or whose right to receive assets from the Trust is
currently vested as well as those who could receive distributions after termination of the
interests of current beneficiaries;
(13) Request in Writing. When the Trustor is acting as the Trustee or as a co-Trustee,
the requirement of a writing to be signed by the undersigned as a Trustor and/or a
beneficiary and delivered to the undersigned as the Trustee is waived;
(14) Right of Representation. Whenever a distribution is to be made by “tight of
representation” or “per stirpes,” the assets are to be divided into as many equal shares as
there are then-living children and deceased children who left living descendants. Each
living child shall receive one share and each deceased child’s share shall be divided among
such deceased child’s then-living descendants in the same manner;
(15) Shall or May. Unless otherwise specifically provided in this agreement or by the
context in which used, Trustor uses the word “shall” in this Trust to command, direct or
require, and the word “may” to allow or permit, but not require. In the context of the
Trustee, when Trustor uses the word “may” Trustor intends that the Trustee may act in the
Trustee’s sole and absolute discretion unless otherwise stated in this Trust;
(16) Trustee. Any reference to “Trustee” shall be deemed to refer to whichever
individual, individuals (including Trustor) or corporation is then acting as the Trustee; and,
ayn Trustor. “Trustor” has the same legal meaning as “Grantor,” “Settlor,”
“Trustmaker,” or any other term referring to the creator of a Trust.
2.F. Governing Law. This Trust is intended to create a California Trust and all of the terms
and provisions hereof shall be interpreted according to the California Trust Code (Division 9 of
the California Probate Code beginning with §15000), except as shall be specifically modified
herein. Nevertheless, the Trustee may change the situs of administration of the Trust from one
jurisdiction to another, thereby allowing this Trust to be regulated and governed by the laws of
another jurisdiction. Such action may be taken for any purpose the Trustee deems appropriate
including minimization of taxes.
2.G. Restrictions. The interest of any beneficiary (whether entitled to current income or
possessing only a future interest) in either the income or principal of the Trust or any part of it
shall not be alienated or in any other manner assigned or transferred by such beneficiary; and such
interest shall be exempt from execution, attachment and other legal process which may be
instituted by or on behalf of any creditor or assignee of such beneficiary; nor shall any part of such
interest be liable for the debts or obligations (including spousal and/or child support, except as
required under California law) of any such beneficiary. This paragraph is intended to impose a
“Spendthrift Trust” on all interests held for any beneficiary. The rights of beneficiaries to withdraw
Trust property are personal and may not be exercised by a legal representative, attomey-in-fact, or
others. IT IS TRUSTOR’S INTENT THAT THE PRECEDING SPENDTHRIFT CLAUSE AND
THE PROTECTIONS IT PROVIDES BE CONSIDERED A MATERIAL PURPOSE OF THIS
TRUST AND ANY SUBSEQUENT TRUST CREATED HEREUNDER.
2.H. Maximum Duration of Trusts. Regardless of any other provision herein, the maximum
duration for any Trust created hereunder is the longest period that property may be held in Trust
under the applicable statutes of the state then governing the situs of administration of this Trust.
If, under those rules, such maximum duration of a Trust must be determined (or alternatively
determined) with reference to the death of the last survivor of a group of individuals alive upon
the death of the Trustor, or at such other time that the application of such rules limiting the duration
of a Trust is deemed to begin, those individuals shall consist of all beneficiaries (including future
and/or contingent) of this Trust (as hereinafter named) alive at the death of the Trustor. Any Trust
created hereunder must end immediately prior to such maximum duration and, thereupon, the
Trustee shall pay over the principal, free from such Trust, to the person or persons then entitled to
receive the net income.
21. No-Contest Provision. Pursuant to §21310, et seq., of the California Probate Code, in the
event any beneficiary under this Trust shall, singly or in conjunction with any other person or
persons, undertake any of the following actions then the right of that person to take any interest
given him or her by this Trust shall be determined as it would have been determined had the person
predeceased the Trustor without being survived by issue:
(1) Contests in any court the validity of this Trust and/or any Will of Trustor which
leaves assets to this Trust;
(2) Seeks to obtain adjudication in any proceeding in any court that this Trust, or any
of its provisions, and/or any Will of Trustor which leaves assets to this Trust, or any of its
provisions, are void, except to the extent permitted by §21380 of the California Probate
Code;
@) Seeks otherwise to set aside this Trust or any of its dispositive provisions;
(4) Seeks to obtain adjudication in any proceeding in any court challenging the transfer
of any property to or from this Trust on the grounds that such property was not that of the
Trustor at the time of the transfer or at the time of the death of the Trustor; and/or,
(5) Files a creditor's claim against Trustor’s estate or prosecutes an action against
Trustor’s estate or this Trust for any claim for damages or services alleged to have been
incurred during Trustor’s lifetime (this subparagraph shall not apply to a creditor’s claim
filed by a beneficiary solely for reimbursement of administrative costs, expenses, funds
advanced in the preservation of Trustor’s estate or for sums advanced for the payment of
Trustor’s last illness and/or funeral expenses).
(6) The Trustee is hereby authorized to defend, at the expense of this Trust, any contest
or other attack of any nature on this Trust or any of its provisions. A “contest” shall include
any action described above in an arbitration proceeding and shall not include any action
described above solely in a mediation not preceded by a filing of a contest with a court,
notwithstanding the foregoing; further, a “contest” shall not include a responsive pleading,
such as an objection, response, or answer, filed by a beneficiary in defense of a
characterization or transfer of property.
%) If California law governs the foregoing provisions of this Paragraph, then
California Probate Code §21311 shall apply and the foregoing provisions of this Paragraph
may only be enforced against the following types of contests:
(a) a direct contest that is brought without probable cause;
(b) a pleading to challenge a transfer of property on the grounds that it was not
the transferor’s property at the time of the transfer; and/or,
(c) the filing of a creditor’s claim or prosecution of an action based on it.
(8) The terms “direct contest” and “pleading” have the same meanings as set forth in
California Probate Code §21310. All trusts created in this agreement are “protected
instruments” as provided in California Probate Code §21310(e).
2.5. Presumptions. Any beneficiary who shall not be living thirty (30) days after the Trustor’s
death shall be deemed not to have survived the Trustor.
2.K. Special Distributions. If any income and/or principal of any trust hereunder ever vests
outright under the provisions of this Trust in a person not yet twenty-five (25), or a person who
suffers from substance abuse, or a person who the Trustee determines is incapacitated, or a person
whose financial circumstances are such that failure to delay distributions will actually reduce the
Trust benefits to such person, then the Trustee, in the Trustee’s discretion and without supervision
of any court, may hold or distribute such property (subsequently referred to in this Paragraph as
the “protected property”) in accordance with the following provisions:
(1) The Trustee may hold any protected property in a separate Trust for each such
beneficiary, exercising as the Trustee of such Trust all the administrative powers conferred
in this Trust. The Trustee may accumulate or distribute to or for such beneficiary in
accordance with subparagraph (2), as hereinbelow set forth, such amount or amounts of
income and/or principal of the Trust as the Trustee determines from time to time during
the term of the Trust to be appropriate. This separate Trust shall terminate and vest
absolutely when: (a) the beneficiary attains age twenty-five (25) and the beneficiary’s age
was the basis for the separate Trust; (b) the beneficiary dies; (c) the Trust assets are
exhausted by discretionary distributions; or, (d) the reason for the separate Trust no longer
exists in the Trustee’s discretion. At such termination, the Trustee shall distribute the
protected property then on hand in Trust to the beneficiary or to the beneficiary’s estate if
the Trust terminated at the beneficiary’s death.
2) The Trustee may distribute any protected property to or for the benefit of such
beneficiary: (a) directly to the beneficiary; (b) on behalf of the beneficiary for the
beneficiary's exclusive benefit; (c) to any account in a bank, credit union, mutual fund
and/or brokerage firm either in the name of such beneficiary or in a form reserving title,
management and custody of such account to a suitable person for the use of such
beneficiary for the maximum period permitted by the California Uniform Transfers to
Minors Act; (d) in any form of an annuity; and, (e) in all ways provided by law dealing
with gifts or distributions to or for minors or persons under incapacity. The receipt for
distributions by any such person shall fully discharge the Trustee.
(3) In determining whether to make distributions, the Trustee may consider other
resources of the beneficiary, any governmental entitlements and the future needs of the
beneficiary during the term of the Trust. The protected property shall, at all times, remain
free of all claims by any governmental agency and/or creditors of the beneficiary.
(4) Notwithstanding the provisions of the preceding subparagraphs or any other
provision of this Agreement, the Trustee shall not suspend any mandatory distributions
required for a Trust to qualify, in whole or in part, for any Federal or state marital deduction
or charitable deduction. Finally, nothing herein shall prevent a distribution mandated by
the provisions hereinabove set forth relating to the Maximum Duration of Trusts.
2.1. Conflict Resolution and Severability. In order to save the cost of court proceedings and
promote the prompt and final resolution of any dispute with regard to the interpretation of this
Trust or the administration or distribution of this Trust, the Trustor directs that any such dispute
shall be settled by arbitration administered by the American Arbitration Association under its
Arbitration Rules for Wills and Trusts then in effect. Nevertheless, the following matters shall not
be arbitral: (1) questions regarding the Trustor’s competency; or (2) attempts to remove a fiduciary.
In addition, arbitration may be waived by all sui juris parties in interest.
qd) The arbitrator(s) shall be a practicing lawyer licensed to practice law in the State of
California (or such other state whose laws then govern this Trust) and whose practice has been
devoted primarily to wills and trusts for at least ten (10) years. The arbitrator(s) shall apply the
substantive law (and the law of remedies, if applicable) of the State of California (or such other
state whose laws then govern this Trust). The arbitrator’s decision may not be appealed to any
court, but shall be final and binding on any and all persons who have or may have an interest in
this Trust, including unborn or incapacitated persons, such as minors or any person for whom a
conservator has been appointed or any other protective order has been made.
(2) Further, if any provision of this Trust is invalid, that provision shall be disregarded, and
the remainder of this Trust shall be construed as if the invalid provision had not been included.
2.M. Uneconomical Administration. No other provision of this Trust to the contrary, if at any
time a share or Trust being administered for any income beneficiary or group of income
beneficiaries has such fair market value as to make the continued administration of the share or
Trust uneconomical as determined by the Trustee, in the Trustee’s sole discretion, the Trustee may
pay the entire balance of such share or Trust to the person or persons then entitled to the income
therefrom and to the person or persons (if different persons from the income interests) then entitled
the remainder interest thereof, in proportion to their interests therein.
ARTICLE II
TRUSTEESHIP
3.A. Successor Trustees. The Trustor may appoint individuals or corporations as co-Trustees
or successor Trustees by a written instrument (other than a Will) delivered to the then-acting
Trustee. If the Trustor is incapacitated, the person whom the Trustor has nominated to serve as
successor Trustee may designate his or her successor, if there is no named successor to that
successor Trustee or if the person designated as his or her successor is unable or unwilling to serve.
3.B. Appointment of Trustee. If there is no Trustee acting hereunder, then a majority of the
adult beneficiaries shall appoint a successor Trustee or co-Trustees by an instrument in writing,
which appointment must be effective upon the date the last Trustee fails to qualify or ceases to act;
provided however, if the Trustee who is being replaced was not related or subordinate (within the
meaning of §672(c) of the Code) to the beneficiaries holding this power to appoint, the power to
appoint a new Trustee or co-Trustees shall be limited to the appointment of a Trustee (or of co-
Trustees) who is also not related or subordinate (within the meaning of §672(c) of the Code) to the
beneficiaries holding this power to appoint. For purposes of this Paragraph, “beneficiaries” shall
exclude charitable organizations.
3.C. Resignation. Any Trustee may resign at any time by giving written notice to the Trustor,
if then living, and thereafter to the other Trustees, if any, and, if not, to all the beneficiaries. Any
such notice shall become effective as agreed by the Trustor or the majority of the beneficiaries,
but no later than thirty (30) days after such written notice. Notwithstanding the foregoing, the
Trustee may, at the expense of any Trust created hereunder, secure the appointment of a successor
Trustee of such Trust by a court of competent jurisdiction.
3.D. Liability. No successor Trustee shall be under any obligation to examine the accounts of
any prior trustee, and a successor Trustee shall be exonerated from all liability arising from any
prior Trustee's acts or negligence. It is the Trustor’s intention that any Trustee serving hereunder
shall be accountable only from the date such Trustee receives the assets of the Trust.
3.E. No Bond Required. No bond shall be required of any person or institution named, or
subsequently appointed, as Trustee.
3.F. Compensation. A Trustee shall be entitled to receive, out of the income and principal of
the Trust, compensation for its services hereunder to be determined, if a corporate Trustee, by the
application of the current rates then charged by the Trustee for trusts of a similar size and character,
and, if the Trustee shall be an individual, such compensation shall be a reasonable fee based on
the time and effort of the Trustee. The Trustee shall also be entitled to reimbursement for all travel
and other necessary expenses incurred in the discharge of the Trustee's duties. The Trustee may
impose any Trustee fees or other expenses of the Trust against the principal or income of the Trust
without any duty to seek reimbursement from the interest not charged.
3.G. Reports. As the person holding the power to revoke pursuant to Probate Code $15800,
while Trustor is living and if Trustor is not acting as the Trustee or co-Trustee, the then-acting
Trustee shall report information and render an accounting, pursuant to Probate Code §§16060, et,
seq., at least annually to the Trustor unless Trustor has waived such accounting. If Trustor is
incapacitated, such accounting shall be given to Trustor’s legal conservator or, if no such
conservator has been appointed, to Trustor’s representative payee for Social Security purposes.
After the death of the Trustor, the Trustee shall render an annual accounting to each beneficiary,
except as such reporting shall be waived by such beneficiary; provided however, if the only
beneficiary then-entitled to an accounting is also the sole Trustee, the Trustee shall render an
annual accounting to each qualified beneficiary, except as such reporting shall be waived by such
qualified beneficiary.
a) If beneficiaries entitled to an accounting are minors, their accounting shall be
delivered to their parents or guardian. If beneficiaries entitled to an accounting are
incapacitated, their accounting shall be delivered to such beneficiary's legal representative;
Q) Unless the accounting is objected to in writing within one hundred and eighty (180)
days after mailing to the persons to whom the accounting is to be rendered, the account
shall be deemed final and conclusive in respect to all transactions disclosed in the
accounting. The accounting shall be binding on all persons interested in the Trust, including
beneficiaries who are not known or who are not yet born; and,
G) The records of the Trustee shall be open at all reasonable times to inspections. The
Trustee shall not be required to make any reports or accountings to the courts; however,
nothing herein stated shall be deemed to restrict the Trustee from seeking judicial approval
of the Trustee’s accounts.
3.H Payments to Beneficiaries.
Q) The Trustee shall pay the net income of any trust hereunder to the beneficiary to
whom such income is directed to be paid, at such times and in such manner as shall be
convenient to such beneficiary and agreed to by the Trustee;
Q) Any income and/or principal of any trust hereunder to which any beneficiary may
be entitled may, without regard to any order or assignment purporting to transfer the same
to any other person, be paid or distributed by the Trustee, in the Trustee’s sole discretion,
into the hands of such beneficiary, or to the guardian of the person of such beneficiary, or
be mailed to such beneficiary’s last known address, or deposited to the account of such
beneficiary in a bank or Trust company of good standing, or be applied for the benefit of
such beneficiary and his or her dependents directly by the Trustee; and the receipt for any
payment or distribution or evidence of the application of any income or principal made in
conformity with the foregoing shall discharge the Trustee from any further liability
therefore; and,
(3) Unless the Trustee shall have received actual written notice of the occurrence of an
event affecting the beneficial interests of this Trust, the Trustee shall not be liable to any
beneficiary of this Trust for distribution made as though the event had not occurred.
3.1. Division of Trust Estate. There shall be no requirement for the physical segregation or
division of any trusts created hereunder except as segregation or division may be required by the
termination of any of the trusts, but the Trustee shall keep separate accounts for the different
undivided interests.
3.J. Trustee Authority.
qd) Subject to state law, any Trustee may appoint an “Attorney-in-Fact” and delegate
to such agent the exercise of all or any of the powers conferred upon a Trustee and may at
pleasure revoke such appointment. Any such appointment shall be made by a written,
acknowledged instrument.
Q) No purchaser from or other person dealing with the Trustee shall be responsible for
the application of any purchase money or thing of value paid or delivered to the Trustee,
and the receipt by the Trustee shall be a full discharge; and no purchaser or other person
dealing with the Trustee and no issuer, or transfer agent, or other agent of any issuer of any
securities to which any dealings with the Trustee should relate, shall be under any
obligation to ascertain or inquire into the power of the Trustee to purchase, sell, exchange,
transfer, mortgage, pledge, lease, distribute or otherwise in any manner dispose of or deal
with any security or any other property held by the Trustee as assets of the Trust.
(3) Prior to delivering the Trust to a successor Trustee or to making any partial or
complete distribution of principal hereunder (other than a distribution that is made in the
exercise of the Trustee’s discretion and does not terminate the Trust), the Trustee may
require an approval of the Trustee’s accounts and a release and discharge from all
beneficiaries having an interest in the distribution. If any beneficiary or beneficiaries shall
refuse to provide a requested release and discharge, the Trustee may require court
settlement of such accounts; all of the Trustee’s fees and expenses (including attorneys’
fees) attributable to court approval of such accounts shall be paid by the Trust involved to
the extent that the accounts are approved.
(4) The certification of a Trustee and/or Attorney-in-Fact that such Trustee and/or
agent is acting according to the terms of this Trust shall fully protect all persons dealing
with such Trustee and/or agent.
6) Notwithstanding any power of individual signature contained in this Trust or
hereafter conferred on the Trustees, no one co-Trustee shall have the right, power or
authority to make any unilateral decision affecting the Trust, other than of a purely
ministerial nature.
3.K. Release of Healthcare Information, including HIPAA Authority. The Trustor intends
for the Trustee to be treated as he would regarding the use and disclosure of his individually
identifiable health information or other medical records. This release authority applies to any
information governed by the Health Insurance Portability and Accountability Act of 1996
(“HIPAA”), 42 USC 1320d and 45 CFR 160-164, and the California Confidentiality of Medical
Information Act (“CMIA”), California Civil Code §56. The Trustor authorizes any physician,
healthcare professional, dentist, health plan, hospital, clinic, laboratory, pharmacy or other covered
health provider, any insurance company and medical information bureau or other health care
clearinghouse that has provided treatment or services or that has paid for or is seeking payment
from Trustor for such services to give, disclose, and release, either orally or in writing, to the
Trustee or Trustees, without restriction, all of Trustor’s individually identifiable health information
and medical records regarding any past, present or future medical or mental health condition. For
the purpose of complying with §56.11 of the California Civil Code, Trustor has executed a form
entitled AUTHORIZATION AND WAIVER FOR THE INSPECTION AND DISCLOSURE OF
INFORMATION RELATING TO MY PHYSICAL OR MENTAL HEALTH currently herewith.
The authority given to the Trustee shall supersede any prior agreement that the Trustor has made
with his health care provider to restrict access to or disclosure of Trustor’s individually identifiable
health information. The authority given to the Trustee has no expiration date and shall expire only
in the event that the Trustor revokes the authority in writing and delivers such revocation to his
health care providers.
3.L. Life Insurance. Upon the death of the Trustor, the Trustee shall proceed immediately to
collect the net proceeds of policies, if any, on the Trustor’s life which are then payable to this Trust
and shall hold such proceeds for the purposes and upon the trusts provided in Article VI of this
Trust. Payment to the Trustee by an insurance company of the proceeds of such policies and receipt
of such proceeds by the Trustee shall be a full discharge of the liability of such insurance company
with respect to such proceeds, and no insurance company need inquire into or take notice of this
Trust or see to the application of such payments. The Trustee may prosecute and maintain any
litigation necessary to enforce payment of such policies.
3.M. Powers of Invasion. A discretionary power given to a Trustee of any Trust created
hereunder to invade or utilize the principal of such Trust for “health, support, maintenance or
education” (or a similar use of such terms) shall be considered to be in compliance with §§2041
and 2514 of the Code and any exercise of such power shall be limited by those sections.
Notwithstanding §16081(c) of the California Probate Code, any other discretionary power given
to a Trustee of any Trust created hereunder to invade or utilize the principal of such Trust for any
other purpose shall be deemed to be a broader power if a clear reading of the terms of such power
would so indicate. Further, notwithstanding §16081(c) of the California Probate Code, any
discretionary power to make distributions of income or principal of any Trust created hereunder
which is given to a current beneficiary as sole Trustee is specifically intended to be given to such
sole Trustee and the right of any other beneficiary to have another Trustee appointed for the
purpose of making such discretionary distributions is hereby specifically waived.
3.N. Release of Powers. Each Trustee shall have the power to release or to restrict the scope of
any power that such Trustee may hold in connection with any Trust created under this Trust,
whether said power is expressly granted in this Trust or implied by law. The Trustee shall exercise
this release in a written instrument specifying the powers to be released or restricted and the nature
of any such restriction. Any released power shall pass to and be exercised by the other then-acting
Trustees.
ARTICLE IV
TRUSTEE'S POWERS
Subject to the provisions and limitations set forth expressly herein, the Trustee shall have, in
general, the power to do and perform any and all necessary acts and things in relation to the Trust
in the same manner and to the same extent as an individual might or could do with respect to his
or her own property. No enumeration of specific powers made herein shall be construed as a
limitation upon the foregoing general powers, nor shall any of the powers conferred herein upon
the Trustee be exhausted by the use thereof, but each shall be continuing. In addition to the above,
the Trustee shall have all of the powers enabled by $16200, et. seq., of the California Probate Code
(as though such powers were set forth herein) and, in addition, the Trustee is specifically
authorized and empowered to exercise those powers hereinafter set forth in Exhibit “A” (attached
hereto and incorporated herein by reference as though fully set forth).
ARTICLE V
TRUSTOR’S RETAINED POWERS
5.A. Revocation. During the Trustor’s lifetime, this Trust may be revoked in whole or in part
by an acknowledged instrument in writing signed by the Trustor which shall refer to this Trust and
this specific power and which shall be delivered to the then-acting Trustee.
5.B. Amendment. Trustor may at any time during the Trustor’s lifetime amend any of the terms
of this Trust by an acknowledged instrument in writing signed by the Trustor which shall refer to
this Trust and this specific power and which shall be delivered to the then-acting Trustee.
5.C. Powers Terminate on Death. On the death of the Trustor, this Trust may not be amended,
revoked, or terminated (except as hereinafter provided in Article V1).
5.D. Powers Personal to Trustor. Trustor’s powers to revoke or amend this Trust are personal
to the Trustor and shall not be exercisable on the Trustor’s behalf by any conservator or other
person, except that revocation or amendment may be authorized, after notice to the Trustee, by the
Court that appointed the conservator and/or guardian. Notwithstanding the previous sentence, in
the event that the Trustor appoints an “Attorney-in-Fact,” the Trustor reserves the right to confer
upon such Attorney-in-Fact the power (1) to add property to the Trust with the consent of the
Trustee; (2) by written instrument delivered to the Trustee, to withdraw any property held
hereunder; and, (3) if specifically authorized in such appointment, by written instrument delivered
to the Trustee, to modify or amend the Trust (provided that the duties of the Trustee may not be
increased or the Trustee's fees reduced without the consent of the Trustee). Any such appointment
shall be made by a written, acknowledged instrument.
S.E. Tangible Personal Property. While Trustor is living, Trustor reserves the right to retain
the control, use and possession of any or all of the tangible personal property included in the Trust.
Trustor expressly limits the Trustee's responsibility with respect to the property so retained to the
Trustee’s function as the holder of legal title until Trustor surrenders his right to the use and
possession of any such property or until the death of the Trustor. In addition, Trustor shall have
the right, exercisable by written notice to the Trustee on terms specified by the Trustor, to direct
the sale, transfer, gift or other disposition of any such property, with or without consideration, and
the Trustee shall take all actions necessary to comply with the terms of such notice. In the event
Trustor surrenders any property to the Trustee, or upon the death of the Trustor, the Trustee shall
take possession, preserve and maintain such property. The Trustee shall be responsible and
accountable only for that tangible personal property which is actually in the Trustee’s possession
or control or, if retained by the Trustor, is found by application of reasonable diligence at the death
of the Trustor or at such time that the Trustee asserts control.
S.F. Residential Property. Trustor reserves the right to have complete and unlimited,
possession, use and control of any real property which may ever constitute an asset of the Trust
Estate and which is occupied by the Trustor for residential purposes, thereby retaining the requisite
beneficial interest and possessory rights in and to such real property to comply with the
“Homestead” laws of the State in which such property is located, so that such requisite beneficial
interest and possessory rights constitute in all respects “equitable title to real estate”.
Notwithstanding anything to the contrary contained in this Trust, Trustor’s interest in such real
property shall be an interest in real property and such real property shall be deemed to be the
Trustor’s homestead; such use and control shall be without rent or other accountability to the
Trustee. As part of such use and control, Trustor, and not the Trustee, shall have the responsibility
to manage such property, pay taxes, insurance, utilities and all other charges against the property,
and may, at Trustor’s option, charge such expenses to the Trust, or may request reimbursement for
any advances made for such purposes.
ARTICLE VI
DISPOSITION OF TRUST
6A. Trustee’s Basic Duties. During the term of this Trust, the Trustee shall hold, manage,
invest and reinvest the Trust, collect the income and profits from it, pay the necessary expenses of
Trust administration, and distribute the net income and principal as provided in this Article VI.
6.B. Disposition During Trustor’s Lifetime. During the Trustor’s lifetime, the Trustee shall
pay the net income of the Trust as the Trustor shall direct. The Trustee shall also pay over to the
Trustor, or to any person or entity as directed by the Trustor, so much of the principal thereof as
the Trustor shall request at any time or times during the remainder of his lifetime.
6.C. Disposition During Trustor’s Incapacity. If at any time, it is determined that Trustor has
become physically or mentally incapacitated as hereinabove defined in Paragraph 2.E., whether or
not a court of any jurisdiction has declared the Trustor in need of a conservator, the Trustee shall
pay over or apply the net income and/or the principal of the Trust to the Trustor’s support,
maintenance, comfort, and/or well-being and/or to the payment of any taxes, bills or other
obligations for which he may be liable, in such amounts and to such extent as the Trustee, in its
sole judgment and discretion, shall deem to be in the Trustor’s best interests. The Trustee shall
accumulate any of the net income not so paid over and/or applied and shall add the same to the
principal of the Trust Estate, and shall thenceforth hold, administer and distribute the same as a
part thereof.
As a guide to the Trustee, it is the Trustor’s intent that Trustor shall remain in his primary
residence as long as it is medically reasonable and, if Trustor should ever need convalescent care,
that he be able to return home as soon as it is medically reasonable; the expense of home care shall
be of secondary importance. This paragraph is for the guidance of the Trustee only and should not
be considered by any third party as a restriction or limitation on the Trustee's powers to manage
the Trust in the Trustee's absolute discretion.
6.D. Deferral of Division or Distribution. Whenever the Trustee is directed to make a
distribution of Trust assets or a division of Trust assets into separate trusts or shares on the de
Preview
Superios Court of Califomia FI Raymond L. Sandelman County of Butte Attorney at Law 196 Cohasset Road, Suite 225 3/5/2024 Chico, CA 95926-2284 (530) 343-5090/ (530) 343-5091 (FAX) Nn GF allah, Email: Raymond@sandelmanlaw.com Deput Electrons FILED Attorney for Mary Priscilla Scott SUPERIOR COURT OF THE STATE OF CALIFORNIA IN AND FOR THE COUNTY OF BUTTE In re the Matter of the Alois Scott Jr. No.: 24P ROOO88 Living Trust, U/A dated February 15, 2023 10 PETITION TO APPOINT SUCCESSOR CO- / 11 TRUSTEES 12 Hearing Date: April 9, 2024 Time: 9:00 a.m. 13 Department: 1 14 Judge: Tamara L. Mosbarger 15 16 Mary Priscilla Scott alleges: 17 1. Alois Scott Jr., created the Alois Scott Jr. Living Trust, U/A dated February 15, 2023 18 (hereafter referred to the “Scott Trust”). A true and correct copy of the Scott Trust is attached hereto 19 marked Exhibit 1. 20 2. Alois Scott Jr., died on March 3, 2023. 21 3. Mary Priscilla Scott is the widow of Alois Scott Jr. Mary Priscilla Scott is named as 22 successor trustee of the Scott Trust. She does not want to act as successor trustee. She has filed a 23 Complaint against the successor trustee of the Scott Trust. A true and correct copy of the Complaint 24 is attached hereto marked Exhibit 2. 25 4. The names of the beneficiaries of the Scott Trust who are all over the age of 18, are: 26 (a) Psalm Michelle Lewis, 3251 W. Adkisson Street, Pahrump, NV 89060. 27 (b) Benson Manento, 6521 Stevens Ave. S, Richfield, MN 55423. 28 (c) Julian Scott, 21532 Palatka Drive, Venice, FL 34293. 1 PETITION TO APPOINT SUCCESSOR CO-TRUSTEES 5. Pursuant to Probate Code section 15660 subdivision (c) (“the vacancy of a trustee should be filled by a trust company that has agreed to accept the trust on agreement of all adult beneficiaries who are receiving or are entitled to receive income under the trust or to receive a distribution of principal if the trust were terminated at the time the agreement is made”) or pursuant to Probate Code section 15660 subdivision (d) (“on petition of . . . any person named as trustee in the trust instrument”), the Court should fill the vacancy with either (a) a trust company selected by Psalm Michelle Lewis, Benson Manento, and Julian Scott, or (b) Psalm Michelle Lewis, Benson Manento, and Julian Scott without a trust company. Petitioner suggests that the court appoint Psalm Michelle Lewis, Benson Manento, and Julian Scott as successor co-trustees unless one or more of them advise 10 the court that they do not want to act as a trustee. 3 Ae 11 6. No one has filed a request for special notice. <é oF 12 WHEREFORE, Mary Priscilla Scott prays for an order of this court that: BSEa BA09 Bam aan asas 13 1, The Court appoint successor co-trustees; zee Agee Ze 14 2. That bond be set at the discretion of the Court; 6&5 38 2a6 Sh $¢ ga 15 3. The Court issue any other and further orders that the Court considers proper 5S ga geo 16 17 Dated: Morel 5, 20246 RUSS 18 Raymond L. Sandelman 19 Attorney for Mary Priscilla Scott 20 21 22 23 24 25 26 27 28 2 PETITION TO APPOINT SUCCESSOR CO-TRUSTEES [Verification] I, Mary Priscilla Scott, declare: lam the Petitioner in the above entitled matter. T have read the foregoing Petition to Appoint Successor Trustee and know the contents thereof. T am informed and believe that the matters, which are stated therein, are true and correct. I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct, and that this document is executed in Chico, California this 21 yy of February 2024. 10 11 \Mary Prisdjila Scott 12 13 ao aR sé SE 14 as es os 15 SEG Ao¢F Seas ae >a 16 Age gex BSs SE2 17 g< oa Zo 63 ga 5S 18 aR Ba go 19 20 21 22 23 24 25 26 27 28 mu\orig_data\work\client directories\scott, priscilla 1896\petitionsuccessor 223.docx VERIFICATION EXHIBIT 1 THE ALOIS SCOTT JR LIVING TRUST THIS TRUST AGREEMENT is entered into by ALOIS SCOTT JR, as Trustor, and ALOIS SCOTT JR, as Trustee. ARTICLE I RECITALS AND CONVEYANCE WHEREAS, Trustor, ALOIS SCOTT JR, desires to establish a Trust of which, during his lifetime, he is the sole life beneficiary and the exclusive recipient of the economic benefits; WHEREAS, this Trust shall be initially funded with the sum of TEN DOLLARS ($10.00) in cash; such sum and any assets later added to the trust shall be known as the “trust estate” and shall be held, administered and distributed as provided in this document and any subsequent amendments to this document; NOW, THEREFORE, the Trustee acknowledges receipt of the Trust Estate and shall hold the same in Trust under the following terms, conditions and provisions: ARTICLE II DECLARATIONS 2.A. Name. This Trust shall be known as THE ALOIS SCOTT JR LIVING TRUST. 2.B. Family. Trustor is a married man who is separated from MARY PRISCILLA SCOTT. Trustor has nine children now living; namely, ANNE-MARIE SCOTT WIGHTMAN, JOHN ALOIS SCOTT, ZACHARY BLAINE SCOTT, CHRISTOPHER HOPKINS SCOTT, JEREMY DERANN SCOTT, BRYCE BERTON SCOTT, BRITTANY ELIZABETH SCOTT, BRETT DONALD SCOTT, and HARRY EZEKIEL SCOTT. Any child or children of the Trustor born or adopted after the date of this Trust shall be treated as though such child or children was/were specifically named in this Paragraph 2.B. Trustor has intentionally, and not as a result of any mistake or inadvertence, omitted in this Trust to provide for any other child of Trustor and/or the issue of such child, if any and however defined by law, presently living. 2.0. Successor Trustee. If the undersigned should cease to act as the Trustee for any reason (including either a court or physician declared incapacity as described in Paragraph 2.E.), he shall be succeeded by Trustor's wife with whom he is currently separated MARY PRISCILLA SCOTT, as the successor Trustee. 2.D. Trust Estate. Trustor, and/or any other person, may add to the principal of the Trust by deed, will, or otherwise. exwsm__ 1 2.E Definitions. For any interpretation of this Trust, the following definitions shall apply: qd) Beneficiary. “Beneficiary” or “beneficiaries” means any person and/or entity then eligible to receive current income or whose right to receive assets from the Trust is currently vested; (2) Cease to Act. “Cease to act” means the resignation, death, incapacity or disappearance of a Trustee; (3) Code. When not accompanied by any other defining references, “Code” refers to the Internal Revenue Code of 1986 (as separately published as Title 26 of the U.S. Code), as amended, and to any regulations pertaining to the referenced sections; (4) Descendants. “Descendants” includes a person’s lineal descendants of all generations; (5) Disappearance. “Disappearance” means an individual’s whereabouts remains unknown for a period of sixty (60) days. If any beneficiary (including the Trustor) is not seen or heard of for a period of one year and no physical remains or body has been recovered, it is presumed that such beneficiary is not alive; (6) Education. “Education” or “educational purposes” includes any course of study or instruction which may, in the Trustee’s discretion, be useful in preparing a beneficiary for any vocation consistent with the beneficiary’s abilities and interests. Distributions for education may include tuition, fees, books, supplies, living expenses, travel and spending money to the extent that they are reasonable and necessary, again in the Trustee’s discretion; %) Incapacity. @) In the case of a question or dispute, a Trustee’s incapacity (whether the Trustee is the Trustor or a successor) is evidenced by written opinion of two (2) physicians that the Trustee is unable to effectively manage his or her own property or financial affairs, whether as a result of age, illness, use of prescription medications, drugs or other substances, or any other cause; () If there is no question or dispute, a Trustee’s incapacity is established by the written opinion of only one doctor; () An individual is deemed incapacitated if a court of competent jurisdiction has declared the individual to be incompetent or legally incapacitated. If an individual fails to grant the court making such determination valid authorization to disclose such individual’s protected health information under any applicable federal and/or state statute, or if such individual subsequently revokes such authority, the individual shall be deemed incapacitated; and, @) An individual is deemed restored to capacity whenever the individual’s personal or attending physician provides a written opinion that the individual is able to effectively manage his or her own property and financial affairs and such individual may then resume the position of Trustee or co-Trustee held immediately prior to the incapacitation; (8) Issue. “Issue” refers to lineal descendants of all degrees and includes adopted persons; provided however, that such term shall refer only to the issue of lawful marriages and to children born outside of a lawful marriage only if a parent/child relationship (as determined under California law) existed between such child and his or her parent, living or deceased, who was a beneficiary hereunder. A child in gestation who is later born alive and survives for thirty (30) days shall be considered as issue in being throughout the period of gestation; (9) Legal Representative or Personal Representative. “Legal representative” or “personal representative” shall mean a person’s guardian, conservator, executor, administrator, trustee, or any other person or entity personally representing a person or the person’s estate; (10) Principal and Income. The determination by the Trustee in all matters as to what shall constitute principal of the Trust, gross income therefrom and distributable net income under the terms of the Trust shall be governed by the provisions of the Principal and Income Act of the State of California, except as to any of such matters as may otherwise be provided for in this instrument. In the event and to the extent that any of such matters relating to what constitutes principal or income of the Trust and in the allocation of receipts and disbursements between these accounts is not provided for either in this Trust or in such Principal and Income Act, the Trustee has full power and authority to determine such matters; qq) Pronouns and Gender. The feminine, masculine or neutral gender, and the singular or plural number, is deemed to include the others whenever the context so indicates; (12) Qualified Beneficiary. “Qualified Beneficiary” means any person and/or entity then eligible to receive current income or whose right to receive assets from the Trust is currently vested as well as those who could receive distributions after termination of the interests of current beneficiaries; (13) Request in Writing. When the Trustor is acting as the Trustee or as a co-Trustee, the requirement of a writing to be signed by the undersigned as a Trustor and/or a beneficiary and delivered to the undersigned as the Trustee is waived; (14) Right of Representation. Whenever a distribution is to be made by “tight of representation” or “per stirpes,” the assets are to be divided into as many equal shares as there are then-living children and deceased children who left living descendants. Each living child shall receive one share and each deceased child’s share shall be divided among such deceased child’s then-living descendants in the same manner; (15) Shall or May. Unless otherwise specifically provided in this agreement or by the context in which used, Trustor uses the word “shall” in this Trust to command, direct or require, and the word “may” to allow or permit, but not require. In the context of the Trustee, when Trustor uses the word “may” Trustor intends that the Trustee may act in the Trustee’s sole and absolute discretion unless otherwise stated in this Trust; (16) Trustee. Any reference to “Trustee” shall be deemed to refer to whichever individual, individuals (including Trustor) or corporation is then acting as the Trustee; and, ayn Trustor. “Trustor” has the same legal meaning as “Grantor,” “Settlor,” “Trustmaker,” or any other term referring to the creator of a Trust. 2.F. Governing Law. This Trust is intended to create a California Trust and all of the terms and provisions hereof shall be interpreted according to the California Trust Code (Division 9 of the California Probate Code beginning with §15000), except as shall be specifically modified herein. Nevertheless, the Trustee may change the situs of administration of the Trust from one jurisdiction to another, thereby allowing this Trust to be regulated and governed by the laws of another jurisdiction. Such action may be taken for any purpose the Trustee deems appropriate including minimization of taxes. 2.G. Restrictions. The interest of any beneficiary (whether entitled to current income or possessing only a future interest) in either the income or principal of the Trust or any part of it shall not be alienated or in any other manner assigned or transferred by such beneficiary; and such interest shall be exempt from execution, attachment and other legal process which may be instituted by or on behalf of any creditor or assignee of such beneficiary; nor shall any part of such interest be liable for the debts or obligations (including spousal and/or child support, except as required under California law) of any such beneficiary. This paragraph is intended to impose a “Spendthrift Trust” on all interests held for any beneficiary. The rights of beneficiaries to withdraw Trust property are personal and may not be exercised by a legal representative, attomey-in-fact, or others. IT IS TRUSTOR’S INTENT THAT THE PRECEDING SPENDTHRIFT CLAUSE AND THE PROTECTIONS IT PROVIDES BE CONSIDERED A MATERIAL PURPOSE OF THIS TRUST AND ANY SUBSEQUENT TRUST CREATED HEREUNDER. 2.H. Maximum Duration of Trusts. Regardless of any other provision herein, the maximum duration for any Trust created hereunder is the longest period that property may be held in Trust under the applicable statutes of the state then governing the situs of administration of this Trust. If, under those rules, such maximum duration of a Trust must be determined (or alternatively determined) with reference to the death of the last survivor of a group of individuals alive upon the death of the Trustor, or at such other time that the application of such rules limiting the duration of a Trust is deemed to begin, those individuals shall consist of all beneficiaries (including future and/or contingent) of this Trust (as hereinafter named) alive at the death of the Trustor. Any Trust created hereunder must end immediately prior to such maximum duration and, thereupon, the Trustee shall pay over the principal, free from such Trust, to the person or persons then entitled to receive the net income. 21. No-Contest Provision. Pursuant to §21310, et seq., of the California Probate Code, in the event any beneficiary under this Trust shall, singly or in conjunction with any other person or persons, undertake any of the following actions then the right of that person to take any interest given him or her by this Trust shall be determined as it would have been determined had the person predeceased the Trustor without being survived by issue: (1) Contests in any court the validity of this Trust and/or any Will of Trustor which leaves assets to this Trust; (2) Seeks to obtain adjudication in any proceeding in any court that this Trust, or any of its provisions, and/or any Will of Trustor which leaves assets to this Trust, or any of its provisions, are void, except to the extent permitted by §21380 of the California Probate Code; @) Seeks otherwise to set aside this Trust or any of its dispositive provisions; (4) Seeks to obtain adjudication in any proceeding in any court challenging the transfer of any property to or from this Trust on the grounds that such property was not that of the Trustor at the time of the transfer or at the time of the death of the Trustor; and/or, (5) Files a creditor's claim against Trustor’s estate or prosecutes an action against Trustor’s estate or this Trust for any claim for damages or services alleged to have been incurred during Trustor’s lifetime (this subparagraph shall not apply to a creditor’s claim filed by a beneficiary solely for reimbursement of administrative costs, expenses, funds advanced in the preservation of Trustor’s estate or for sums advanced for the payment of Trustor’s last illness and/or funeral expenses). (6) The Trustee is hereby authorized to defend, at the expense of this Trust, any contest or other attack of any nature on this Trust or any of its provisions. A “contest” shall include any action described above in an arbitration proceeding and shall not include any action described above solely in a mediation not preceded by a filing of a contest with a court, notwithstanding the foregoing; further, a “contest” shall not include a responsive pleading, such as an objection, response, or answer, filed by a beneficiary in defense of a characterization or transfer of property. %) If California law governs the foregoing provisions of this Paragraph, then California Probate Code §21311 shall apply and the foregoing provisions of this Paragraph may only be enforced against the following types of contests: (a) a direct contest that is brought without probable cause; (b) a pleading to challenge a transfer of property on the grounds that it was not the transferor’s property at the time of the transfer; and/or, (c) the filing of a creditor’s claim or prosecution of an action based on it. (8) The terms “direct contest” and “pleading” have the same meanings as set forth in California Probate Code §21310. All trusts created in this agreement are “protected instruments” as provided in California Probate Code §21310(e). 2.5. Presumptions. Any beneficiary who shall not be living thirty (30) days after the Trustor’s death shall be deemed not to have survived the Trustor. 2.K. Special Distributions. If any income and/or principal of any trust hereunder ever vests outright under the provisions of this Trust in a person not yet twenty-five (25), or a person who suffers from substance abuse, or a person who the Trustee determines is incapacitated, or a person whose financial circumstances are such that failure to delay distributions will actually reduce the Trust benefits to such person, then the Trustee, in the Trustee’s discretion and without supervision of any court, may hold or distribute such property (subsequently referred to in this Paragraph as the “protected property”) in accordance with the following provisions: (1) The Trustee may hold any protected property in a separate Trust for each such beneficiary, exercising as the Trustee of such Trust all the administrative powers conferred in this Trust. The Trustee may accumulate or distribute to or for such beneficiary in accordance with subparagraph (2), as hereinbelow set forth, such amount or amounts of income and/or principal of the Trust as the Trustee determines from time to time during the term of the Trust to be appropriate. This separate Trust shall terminate and vest absolutely when: (a) the beneficiary attains age twenty-five (25) and the beneficiary’s age was the basis for the separate Trust; (b) the beneficiary dies; (c) the Trust assets are exhausted by discretionary distributions; or, (d) the reason for the separate Trust no longer exists in the Trustee’s discretion. At such termination, the Trustee shall distribute the protected property then on hand in Trust to the beneficiary or to the beneficiary’s estate if the Trust terminated at the beneficiary’s death. 2) The Trustee may distribute any protected property to or for the benefit of such beneficiary: (a) directly to the beneficiary; (b) on behalf of the beneficiary for the beneficiary's exclusive benefit; (c) to any account in a bank, credit union, mutual fund and/or brokerage firm either in the name of such beneficiary or in a form reserving title, management and custody of such account to a suitable person for the use of such beneficiary for the maximum period permitted by the California Uniform Transfers to Minors Act; (d) in any form of an annuity; and, (e) in all ways provided by law dealing with gifts or distributions to or for minors or persons under incapacity. The receipt for distributions by any such person shall fully discharge the Trustee. (3) In determining whether to make distributions, the Trustee may consider other resources of the beneficiary, any governmental entitlements and the future needs of the beneficiary during the term of the Trust. The protected property shall, at all times, remain free of all claims by any governmental agency and/or creditors of the beneficiary. (4) Notwithstanding the provisions of the preceding subparagraphs or any other provision of this Agreement, the Trustee shall not suspend any mandatory distributions required for a Trust to qualify, in whole or in part, for any Federal or state marital deduction or charitable deduction. Finally, nothing herein shall prevent a distribution mandated by the provisions hereinabove set forth relating to the Maximum Duration of Trusts. 2.1. Conflict Resolution and Severability. In order to save the cost of court proceedings and promote the prompt and final resolution of any dispute with regard to the interpretation of this Trust or the administration or distribution of this Trust, the Trustor directs that any such dispute shall be settled by arbitration administered by the American Arbitration Association under its Arbitration Rules for Wills and Trusts then in effect. Nevertheless, the following matters shall not be arbitral: (1) questions regarding the Trustor’s competency; or (2) attempts to remove a fiduciary. In addition, arbitration may be waived by all sui juris parties in interest. qd) The arbitrator(s) shall be a practicing lawyer licensed to practice law in the State of California (or such other state whose laws then govern this Trust) and whose practice has been devoted primarily to wills and trusts for at least ten (10) years. The arbitrator(s) shall apply the substantive law (and the law of remedies, if applicable) of the State of California (or such other state whose laws then govern this Trust). The arbitrator’s decision may not be appealed to any court, but shall be final and binding on any and all persons who have or may have an interest in this Trust, including unborn or incapacitated persons, such as minors or any person for whom a conservator has been appointed or any other protective order has been made. (2) Further, if any provision of this Trust is invalid, that provision shall be disregarded, and the remainder of this Trust shall be construed as if the invalid provision had not been included. 2.M. Uneconomical Administration. No other provision of this Trust to the contrary, if at any time a share or Trust being administered for any income beneficiary or group of income beneficiaries has such fair market value as to make the continued administration of the share or Trust uneconomical as determined by the Trustee, in the Trustee’s sole discretion, the Trustee may pay the entire balance of such share or Trust to the person or persons then entitled to the income therefrom and to the person or persons (if different persons from the income interests) then entitled the remainder interest thereof, in proportion to their interests therein. ARTICLE II TRUSTEESHIP 3.A. Successor Trustees. The Trustor may appoint individuals or corporations as co-Trustees or successor Trustees by a written instrument (other than a Will) delivered to the then-acting Trustee. If the Trustor is incapacitated, the person whom the Trustor has nominated to serve as successor Trustee may designate his or her successor, if there is no named successor to that successor Trustee or if the person designated as his or her successor is unable or unwilling to serve. 3.B. Appointment of Trustee. If there is no Trustee acting hereunder, then a majority of the adult beneficiaries shall appoint a successor Trustee or co-Trustees by an instrument in writing, which appointment must be effective upon the date the last Trustee fails to qualify or ceases to act; provided however, if the Trustee who is being replaced was not related or subordinate (within the meaning of §672(c) of the Code) to the beneficiaries holding this power to appoint, the power to appoint a new Trustee or co-Trustees shall be limited to the appointment of a Trustee (or of co- Trustees) who is also not related or subordinate (within the meaning of §672(c) of the Code) to the beneficiaries holding this power to appoint. For purposes of this Paragraph, “beneficiaries” shall exclude charitable organizations. 3.C. Resignation. Any Trustee may resign at any time by giving written notice to the Trustor, if then living, and thereafter to the other Trustees, if any, and, if not, to all the beneficiaries. Any such notice shall become effective as agreed by the Trustor or the majority of the beneficiaries, but no later than thirty (30) days after such written notice. Notwithstanding the foregoing, the Trustee may, at the expense of any Trust created hereunder, secure the appointment of a successor Trustee of such Trust by a court of competent jurisdiction. 3.D. Liability. No successor Trustee shall be under any obligation to examine the accounts of any prior trustee, and a successor Trustee shall be exonerated from all liability arising from any prior Trustee's acts or negligence. It is the Trustor’s intention that any Trustee serving hereunder shall be accountable only from the date such Trustee receives the assets of the Trust. 3.E. No Bond Required. No bond shall be required of any person or institution named, or subsequently appointed, as Trustee. 3.F. Compensation. A Trustee shall be entitled to receive, out of the income and principal of the Trust, compensation for its services hereunder to be determined, if a corporate Trustee, by the application of the current rates then charged by the Trustee for trusts of a similar size and character, and, if the Trustee shall be an individual, such compensation shall be a reasonable fee based on the time and effort of the Trustee. The Trustee shall also be entitled to reimbursement for all travel and other necessary expenses incurred in the discharge of the Trustee's duties. The Trustee may impose any Trustee fees or other expenses of the Trust against the principal or income of the Trust without any duty to seek reimbursement from the interest not charged. 3.G. Reports. As the person holding the power to revoke pursuant to Probate Code $15800, while Trustor is living and if Trustor is not acting as the Trustee or co-Trustee, the then-acting Trustee shall report information and render an accounting, pursuant to Probate Code §§16060, et, seq., at least annually to the Trustor unless Trustor has waived such accounting. If Trustor is incapacitated, such accounting shall be given to Trustor’s legal conservator or, if no such conservator has been appointed, to Trustor’s representative payee for Social Security purposes. After the death of the Trustor, the Trustee shall render an annual accounting to each beneficiary, except as such reporting shall be waived by such beneficiary; provided however, if the only beneficiary then-entitled to an accounting is also the sole Trustee, the Trustee shall render an annual accounting to each qualified beneficiary, except as such reporting shall be waived by such qualified beneficiary. a) If beneficiaries entitled to an accounting are minors, their accounting shall be delivered to their parents or guardian. If beneficiaries entitled to an accounting are incapacitated, their accounting shall be delivered to such beneficiary's legal representative; Q) Unless the accounting is objected to in writing within one hundred and eighty (180) days after mailing to the persons to whom the accounting is to be rendered, the account shall be deemed final and conclusive in respect to all transactions disclosed in the accounting. The accounting shall be binding on all persons interested in the Trust, including beneficiaries who are not known or who are not yet born; and, G) The records of the Trustee shall be open at all reasonable times to inspections. The Trustee shall not be required to make any reports or accountings to the courts; however, nothing herein stated shall be deemed to restrict the Trustee from seeking judicial approval of the Trustee’s accounts. 3.H Payments to Beneficiaries. Q) The Trustee shall pay the net income of any trust hereunder to the beneficiary to whom such income is directed to be paid, at such times and in such manner as shall be convenient to such beneficiary and agreed to by the Trustee; Q) Any income and/or principal of any trust hereunder to which any beneficiary may be entitled may, without regard to any order or assignment purporting to transfer the same to any other person, be paid or distributed by the Trustee, in the Trustee’s sole discretion, into the hands of such beneficiary, or to the guardian of the person of such beneficiary, or be mailed to such beneficiary’s last known address, or deposited to the account of such beneficiary in a bank or Trust company of good standing, or be applied for the benefit of such beneficiary and his or her dependents directly by the Trustee; and the receipt for any payment or distribution or evidence of the application of any income or principal made in conformity with the foregoing shall discharge the Trustee from any further liability therefore; and, (3) Unless the Trustee shall have received actual written notice of the occurrence of an event affecting the beneficial interests of this Trust, the Trustee shall not be liable to any beneficiary of this Trust for distribution made as though the event had not occurred. 3.1. Division of Trust Estate. There shall be no requirement for the physical segregation or division of any trusts created hereunder except as segregation or division may be required by the termination of any of the trusts, but the Trustee shall keep separate accounts for the different undivided interests. 3.J. Trustee Authority. qd) Subject to state law, any Trustee may appoint an “Attorney-in-Fact” and delegate to such agent the exercise of all or any of the powers conferred upon a Trustee and may at pleasure revoke such appointment. Any such appointment shall be made by a written, acknowledged instrument. Q) No purchaser from or other person dealing with the Trustee shall be responsible for the application of any purchase money or thing of value paid or delivered to the Trustee, and the receipt by the Trustee shall be a full discharge; and no purchaser or other person dealing with the Trustee and no issuer, or transfer agent, or other agent of any issuer of any securities to which any dealings with the Trustee should relate, shall be under any obligation to ascertain or inquire into the power of the Trustee to purchase, sell, exchange, transfer, mortgage, pledge, lease, distribute or otherwise in any manner dispose of or deal with any security or any other property held by the Trustee as assets of the Trust. (3) Prior to delivering the Trust to a successor Trustee or to making any partial or complete distribution of principal hereunder (other than a distribution that is made in the exercise of the Trustee’s discretion and does not terminate the Trust), the Trustee may require an approval of the Trustee’s accounts and a release and discharge from all beneficiaries having an interest in the distribution. If any beneficiary or beneficiaries shall refuse to provide a requested release and discharge, the Trustee may require court settlement of such accounts; all of the Trustee’s fees and expenses (including attorneys’ fees) attributable to court approval of such accounts shall be paid by the Trust involved to the extent that the accounts are approved. (4) The certification of a Trustee and/or Attorney-in-Fact that such Trustee and/or agent is acting according to the terms of this Trust shall fully protect all persons dealing with such Trustee and/or agent. 6) Notwithstanding any power of individual signature contained in this Trust or hereafter conferred on the Trustees, no one co-Trustee shall have the right, power or authority to make any unilateral decision affecting the Trust, other than of a purely ministerial nature. 3.K. Release of Healthcare Information, including HIPAA Authority. The Trustor intends for the Trustee to be treated as he would regarding the use and disclosure of his individually identifiable health information or other medical records. This release authority applies to any information governed by the Health Insurance Portability and Accountability Act of 1996 (“HIPAA”), 42 USC 1320d and 45 CFR 160-164, and the California Confidentiality of Medical Information Act (“CMIA”), California Civil Code §56. The Trustor authorizes any physician, healthcare professional, dentist, health plan, hospital, clinic, laboratory, pharmacy or other covered health provider, any insurance company and medical information bureau or other health care clearinghouse that has provided treatment or services or that has paid for or is seeking payment from Trustor for such services to give, disclose, and release, either orally or in writing, to the Trustee or Trustees, without restriction, all of Trustor’s individually identifiable health information and medical records regarding any past, present or future medical or mental health condition. For the purpose of complying with §56.11 of the California Civil Code, Trustor has executed a form entitled AUTHORIZATION AND WAIVER FOR THE INSPECTION AND DISCLOSURE OF INFORMATION RELATING TO MY PHYSICAL OR MENTAL HEALTH currently herewith. The authority given to the Trustee shall supersede any prior agreement that the Trustor has made with his health care provider to restrict access to or disclosure of Trustor’s individually identifiable health information. The authority given to the Trustee has no expiration date and shall expire only in the event that the Trustor revokes the authority in writing and delivers such revocation to his health care providers. 3.L. Life Insurance. Upon the death of the Trustor, the Trustee shall proceed immediately to collect the net proceeds of policies, if any, on the Trustor’s life which are then payable to this Trust and shall hold such proceeds for the purposes and upon the trusts provided in Article VI of this Trust. Payment to the Trustee by an insurance company of the proceeds of such policies and receipt of such proceeds by the Trustee shall be a full discharge of the liability of such insurance company with respect to such proceeds, and no insurance company need inquire into or take notice of this Trust or see to the application of such payments. The Trustee may prosecute and maintain any litigation necessary to enforce payment of such policies. 3.M. Powers of Invasion. A discretionary power given to a Trustee of any Trust created hereunder to invade or utilize the principal of such Trust for “health, support, maintenance or education” (or a similar use of such terms) shall be considered to be in compliance with §§2041 and 2514 of the Code and any exercise of such power shall be limited by those sections. Notwithstanding §16081(c) of the California Probate Code, any other discretionary power given to a Trustee of any Trust created hereunder to invade or utilize the principal of such Trust for any other purpose shall be deemed to be a broader power if a clear reading of the terms of such power would so indicate. Further, notwithstanding §16081(c) of the California Probate Code, any discretionary power to make distributions of income or principal of any Trust created hereunder which is given to a current beneficiary as sole Trustee is specifically intended to be given to such sole Trustee and the right of any other beneficiary to have another Trustee appointed for the purpose of making such discretionary distributions is hereby specifically waived. 3.N. Release of Powers. Each Trustee shall have the power to release or to restrict the scope of any power that such Trustee may hold in connection with any Trust created under this Trust, whether said power is expressly granted in this Trust or implied by law. The Trustee shall exercise this release in a written instrument specifying the powers to be released or restricted and the nature of any such restriction. Any released power shall pass to and be exercised by the other then-acting Trustees. ARTICLE IV TRUSTEE'S POWERS Subject to the provisions and limitations set forth expressly herein, the Trustee shall have, in general, the power to do and perform any and all necessary acts and things in relation to the Trust in the same manner and to the same extent as an individual might or could do with respect to his or her own property. No enumeration of specific powers made herein shall be construed as a limitation upon the foregoing general powers, nor shall any of the powers conferred herein upon the Trustee be exhausted by the use thereof, but each shall be continuing. In addition to the above, the Trustee shall have all of the powers enabled by $16200, et. seq., of the California Probate Code (as though such powers were set forth herein) and, in addition, the Trustee is specifically authorized and empowered to exercise those powers hereinafter set forth in Exhibit “A” (attached hereto and incorporated herein by reference as though fully set forth). ARTICLE V TRUSTOR’S RETAINED POWERS 5.A. Revocation. During the Trustor’s lifetime, this Trust may be revoked in whole or in part by an acknowledged instrument in writing signed by the Trustor which shall refer to this Trust and this specific power and which shall be delivered to the then-acting Trustee. 5.B. Amendment. Trustor may at any time during the Trustor’s lifetime amend any of the terms of this Trust by an acknowledged instrument in writing signed by the Trustor which shall refer to this Trust and this specific power and which shall be delivered to the then-acting Trustee. 5.C. Powers Terminate on Death. On the death of the Trustor, this Trust may not be amended, revoked, or terminated (except as hereinafter provided in Article V1). 5.D. Powers Personal to Trustor. Trustor’s powers to revoke or amend this Trust are personal to the Trustor and shall not be exercisable on the Trustor’s behalf by any conservator or other person, except that revocation or amendment may be authorized, after notice to the Trustee, by the Court that appointed the conservator and/or guardian. Notwithstanding the previous sentence, in the event that the Trustor appoints an “Attorney-in-Fact,” the Trustor reserves the right to confer upon such Attorney-in-Fact the power (1) to add property to the Trust with the consent of the Trustee; (2) by written instrument delivered to the Trustee, to withdraw any property held hereunder; and, (3) if specifically authorized in such appointment, by written instrument delivered to the Trustee, to modify or amend the Trust (provided that the duties of the Trustee may not be increased or the Trustee's fees reduced without the consent of the Trustee). Any such appointment shall be made by a written, acknowledged instrument. S.E. Tangible Personal Property. While Trustor is living, Trustor reserves the right to retain the control, use and possession of any or all of the tangible personal property included in the Trust. Trustor expressly limits the Trustee's responsibility with respect to the property so retained to the Trustee’s function as the holder of legal title until Trustor surrenders his right to the use and possession of any such property or until the death of the Trustor. In addition, Trustor shall have the right, exercisable by written notice to the Trustee on terms specified by the Trustor, to direct the sale, transfer, gift or other disposition of any such property, with or without consideration, and the Trustee shall take all actions necessary to comply with the terms of such notice. In the event Trustor surrenders any property to the Trustee, or upon the death of the Trustor, the Trustee shall take possession, preserve and maintain such property. The Trustee shall be responsible and accountable only for that tangible personal property which is actually in the Trustee’s possession or control or, if retained by the Trustor, is found by application of reasonable diligence at the death of the Trustor or at such time that the Trustee asserts control. S.F. Residential Property. Trustor reserves the right to have complete and unlimited, possession, use and control of any real property which may ever constitute an asset of the Trust Estate and which is occupied by the Trustor for residential purposes, thereby retaining the requisite beneficial interest and possessory rights in and to such real property to comply with the “Homestead” laws of the State in which such property is located, so that such requisite beneficial interest and possessory rights constitute in all respects “equitable title to real estate”. Notwithstanding anything to the contrary contained in this Trust, Trustor’s interest in such real property shall be an interest in real property and such real property shall be deemed to be the Trustor’s homestead; such use and control shall be without rent or other accountability to the Trustee. As part of such use and control, Trustor, and not the Trustee, shall have the responsibility to manage such property, pay taxes, insurance, utilities and all other charges against the property, and may, at Trustor’s option, charge such expenses to the Trust, or may request reimbursement for any advances made for such purposes. ARTICLE VI DISPOSITION OF TRUST 6A. Trustee’s Basic Duties. During the term of this Trust, the Trustee shall hold, manage, invest and reinvest the Trust, collect the income and profits from it, pay the necessary expenses of Trust administration, and distribute the net income and principal as provided in this Article VI. 6.B. Disposition During Trustor’s Lifetime. During the Trustor’s lifetime, the Trustee shall pay the net income of the Trust as the Trustor shall direct. The Trustee shall also pay over to the Trustor, or to any person or entity as directed by the Trustor, so much of the principal thereof as the Trustor shall request at any time or times during the remainder of his lifetime. 6.C. Disposition During Trustor’s Incapacity. If at any time, it is determined that Trustor has become physically or mentally incapacitated as hereinabove defined in Paragraph 2.E., whether or not a court of any jurisdiction has declared the Trustor in need of a conservator, the Trustee shall pay over or apply the net income and/or the principal of the Trust to the Trustor’s support, maintenance, comfort, and/or well-being and/or to the payment of any taxes, bills or other obligations for which he may be liable, in such amounts and to such extent as the Trustee, in its sole judgment and discretion, shall deem to be in the Trustor’s best interests. The Trustee shall accumulate any of the net income not so paid over and/or applied and shall add the same to the principal of the Trust Estate, and shall thenceforth hold, administer and distribute the same as a part thereof. As a guide to the Trustee, it is the Trustor’s intent that Trustor shall remain in his primary residence as long as it is medically reasonable and, if Trustor should ever need convalescent care, that he be able to return home as soon as it is medically reasonable; the expense of home care shall be of secondary importance. This paragraph is for the guidance of the Trustee only and should not be considered by any third party as a restriction or limitation on the Trustee's powers to manage the Trust in the Trustee's absolute discretion. 6.D. Deferral of Division or Distribution. Whenever the Trustee is directed to make a distribution of Trust assets or a division of Trust assets into separate trusts or shares on the de