Trusts and Estates

Ca. Trs. & Estates Quarterly Volume 13, Issue 1, Spring 2007

OUT OF STATE, OUT OF MIND? NOT SO FOR CONSERVATORS SINCE HUME.

By James J. Brown, Esq.*

I. INTRODUCTION

Assume you represent a conservator. Your client knows that the conservatee owns a 50 percent interest in farm property located in Iowa. The farm generates rent, which is deposited automatically in a California bank account under the conservator’s control. With some effort and expense, the conservator might be able to increase the rental income. Additionally, the conservator believes that the owner of the other 50 percent interest might consider purchasing the conservatee’s interest in the property and that the sale would provide the conservatorship estate with needed liquidity.

Change the facts. Your client advises you that the conservatee owns 10 acres of isolated, undeveloped land 25 miles outside of Yuma, Arizona. It appears these 10 acres have no market value and that they will never produce income.

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