In the evolving field of California trust and estate litigation, the recent case of Newell v. Superior Court has clarified a key issue in how litigants can use lis pendens in trust disputes that involve real property. At Trust Law Partners, we are often asked whether recording a lis pendens is a good strategy in contested trust proceedings. The case of Newell has helped give beneficiaries and litigators a more predictable path forward.
The Facts in Newell
Arthur and Julia Mancini created a family trust in 2002. After Julia passed, Arthur amended the trust to name his caregiver, Neneth Rollins, as both the successor trustee and the sole beneficiary. Following Arthur’s death, Rollins used trust funds to purchase a home in Van Nuys and titled it under her name as trustee of the Mancini Trust.
One of the Mancinis’ children, Lucy Newell, filed a petition contesting the trust amendments and Rollins’ appointment as trustee. Newell’s legal claims included undue influence, fraud, and violations of Probate Code section 21380, which creates a presumption of invalidity when a care custodian is named as a beneficiary. Newell also recorded a lis pendens against the Van Nuys property, seeking to stop any sale or encumbrance during the litigation.
Rollins responded by filing a motion to expunge the lis pendens, arguing that Newell’s petition did not include a valid real property claim. The probate court agreed and ordered the lis pendens removed. Newell then petitioned the California Court of Appeal for relief.
What the Appellate Court Held
The appellate court reversed. It found that Newell’s claims did indeed affect title to real property, because if she succeeded, Rollins would be removed as trustee and a new trustee would be appointed. That change in trustee would result in a change in title ownership for the Van Nuys property. The court emphasized that even though the property was held in trust, it was the trustee—not the trust itself—that owned legal title.
This distinction was critical. California law allows a lis pendens when the underlying legal action affects title or the right to possession of real property. The appellate court held that Newell’s petition, by seeking to invalidate trust amendments and remove Rollins as trustee, qualified as a real property claim. Therefore, her lis pendens was appropriate and should not have been expunged.
Why the Case Matters
The Newell case has immediate implications for trust and estate litigation, especially in cases involving real property transfers to caregivers or other non-family members. In the past, some courts have been reluctant to uphold a lis pendens in cases involving trust contests, reasoning that these disputes were more about trust administration than property rights. Newell changes that.
Now, when a trust dispute could result in the removal of a trustee or a reversal of a transfer, and real estate is involved, recording a lis pendens is a valid and strategic step. This helps prevent the wrongful trustee from selling or refinancing the property before the court can rule.
It also gives beneficiaries a stronger legal footing. By asserting a lis pendens, they create a public notice of their claim, which can discourage third-party buyers, lenders, or others from dealing with the property while litigation is pending.
When to Consider Using a Lis Pendens
While Newell has expanded the availability of lis pendens in trust cases, it’s not a one-size-fits-all tool. It should only be used when the outcome of your case would result in a change to legal ownership or possessory rights in real property.
For example, consider using a lis pendens when any of the following circumstances arise:
- The trust holds real estate, and the current trustee is accused of fraud or undue influence.
- A beneficiary challenges the validity of a trust amendment that diverts property to someone else.
- A beneficiary has asserted a claim for a constructive trust over the disputed real property.
- There is evidence that the trustee plans to sell, encumber, or transfer real property before the litigation concludes.
The Limits of Lis Pendens
It’s also important to understand what a lis pendens can’t do. It won’t stop a trustee from transferring non-real estate assets, nor will it prevent trust administration unrelated to the property. Courts may still expunge a lis pendens if it appears that the petitioner does not have a valid claim affecting title.
Moreover, lis pendens carries its own risks. If the court later determines that the lis pendens was improper, the party who recorded it may be liable for damages. That’s why it’s important to consult with experienced trust litigation counsel before recording one.
How Trust Law Partners Uses This Tool
At Trust Law Partners, we assess lis pendens on a case-by-case basis. We don’t use them casually or reflexively. But when real estate is central to the dispute and the evidence supports a change in ownership or trustee control, we act quickly to protect our clients’ interests.
What Beneficiaries Need to Know
If you are the beneficiary of a trust and discover that trust property is at risk of being sold, gifted, or otherwise moved under questionable circumstances, the lis pendens may be your best legal tool to hit pause.
Too often, family members find out too late that a trustee has transferred away valuable real estate. The courts can reverse those transfers in some situations, but it’s harder when the property has passed into the hands of an innocent third party.
By filing a lis pendens early, you may prevent those transactions before they happen. The public notice also serves as a deterrent to potential buyers and lenders. It signals that there’s active litigation, and the property’s title may not be clean.
Final Takeaway
Newell v. Superior Court confirms what experienced trust litigators have long argued: that trust disputes involving control over real property can and often do affect title in ways that support a lis pendens. This ruling gives beneficiaries and their counsel more confidence to use lis pendens as part of a broader litigation strategy.
But like any powerful tool, it should be used responsibly. At Trust Law Partners, we know how to navigate these high-stakes issues. If your family trust includes real estate and you suspect wrongdoing, don’t wait. Legal options like lis pendens exist for a reason. Let us help you use them wisely and effectively.
For trusted, contingency-based trust litigation support throughout California, contact Trust Law Partners, LLP at 833-982-2079. We know how to hold trustees accountable, and we get results.