An irrevocable trust means it cannot be changed, right? Well, yes and no. There are situations where an irrevocable trust can be changed. There are even situations where that irrevocable California trust can be changed AFTER DEATH.
Probably the simplest to petition the Court after getting all the beneficiaries to agree to the change. However, this is often a problem due to minor beneficiaries or even un-ascertained beneficiaries (that is, not yet born heirs!).
Another common situation is if it’s uneconomical to continue the trust. This number is generally set at $20,000. If the trust is less than $20,000 then it can likely be changed or ended.
A great tool is the change in circumstances argument. For example a trust was set up primarily for tax savings purposes back when the estate exemption was $600,000 and now the exemption is $5.12m. A lot has changed!
These are just some of the ways an irrevocable California trust can be changed. Contact me to discuss if the irrevocable trust can be changed in your case! -John