California is a community property state, and in that respect it differs from others like Illinois and Florida. Illinois has land trust case law and Florida has land trust statute law. California has neither but recognizes the validity of the Land Trust nonetheless.
California land trust property is not subject to Dower Rights, community property or other marital rights of beneficiaries. As a result, instruments dealing with title to property held in trust need NOT be signed by both spouses, only by the trustee. In a state where divorce is more popular than marriage, being able to continue to operate a property despite ongoing marital strife can be a real benefit to both parties. Any property division will only apply to beneficial interests in trust, not in the assets of the trust, so the trust can continue to generate income while the spouses argue over who get it!
We love your feedback and welcome your comments.
Please post below: