Rent From Parking Space Pocketed By Niece

A

Agent Gibbs

New Member
Jurisdiction
California
My parents owned 2 condo units in the same building in SF and they also come with 2 parking spaces.

In 2016, my niece moved here and my mom let her stayed in one of the condo and used the parking space for free. The other parking space was rented out to another tenant in the building.

Later that year my mom passed away and i became the trustee of the family trust. The same week my mom passed away the renter of the other parking space moved out. During that time i didnt have the mood to handle the business of finding another renter, so i asked my niece to take care of that.

Eventually someone rented the space. Between October 2016 and October 2018, when the grant deeds of both properties were still under my mom's name, my niece kept the rent from the parking space to herself. During those 2 years, i did raise the question of getting those rent back in front of other family members during a family gathering but she just ignored it and throwing a fit because from her standpoint i was humiliating her.

I guess the question is do i have a case trying to recover those 2 years' of rent money, not for myself, but for the trust? When it comes to real estate property, she is not a beneficiary according to the trust.
And i know in CA, the maximum amount i can ask for is $5000.
 
The trust would be the plaintiff. As trustee, I believe you would be permitted to represent the trust.

The statute of limitations for breach of an oral contract (what you had with your niece) is two years so any rents that were collected more than two years prior to the date of a lawsuit would be excluded from the lawsuit.

The maximum amount in CA small claims court is $10,000 for non-business entities:

Basics - small_claims_selfhelp

I think estates may fall into that. You'll have to check.

CA requires you to make a demand for payment of the specific amount before suing.

Criminal prosecution may be an option if you want to report the theft/conversion/embezzlement of the money.
 
That you allowed her to handle the matter for two years with no clear direction or requirements will likely work against you a bit. Certainly she will present a different point of view of the agreement that was made.
 
adjusterjack said:
The trust would be the plaintiff. As trustee, I believe you would be permitted to represent the trust.

The statute of limitations for breach of an oral contract (what you had with your niece) is two years so any rents that were collected more than two years prior to the date of a lawsuit would be excluded from the lawsuit.

The maximum amount in CA small claims court is $10,000 for non-business entities:

Basics - small_claims_selfhelp

I think estates may fall into that. You'll have to check.

CA requires you to make a demand for payment of the specific amount before suing.

Criminal prosecution may be an option if you want to report the theft/conversion/embezzlement of the money.
Click to expand...


To whom?
 
And I'm going to have to disagree. While a trustee can certainly start a claim, California case law is pretty clear. Non-attorney trustees cannot represent the trust in court.
 
Agent Gibbs said:
Later that year my mom passed away and i became the trustee of the family trust.
Click to expand...

I'm not sure why this is relevant given that you said the title to the properties was "under [your] mom's name."

Agent Gibbs said:
The same week my mom passed away the renter of the other parking space moved out.
Click to expand...

"Renter of the other parking space"? Are you saying that someone rented the parking space by itself? Or did this person also rent the other condo (the one your niece wasn't living in)?

Agent Gibbs said:
Eventually someone rented the space. Between October 2016 and October 2018, when the grant deeds of both properties were still under my mom's name, my niece kept the rent from the parking space to herself.
Click to expand...

Again, are we talking about only rent for a parking space? Or rent for the other condo and the parking space? Also, are you sure title was in your mother's name (by herself), and not in the trust's name?

Agent Gibbs said:
I guess the question is do i have a case trying to recover those 2 years' of rent money, not for myself, but for the trust?
Click to expand...

If the trust owns the properties (which your post seems to indicate is not the case), yes. However, one problem you'll have is that your post indicates rather unequivocally that you have breached your fiduciary duties as trustee. If your niece was withholding the rental payments, this should have been addressed immediately, not two years down the road.

Agent Gibbs said:
And i know in CA, the maximum amount i can ask for is $5000.
Click to expand...

I have to imagine that two years' worth of rent on a condo in California is going to be at least $25-30,000, which is well beyond the jurisdictional limit of small claims court (to get within the $5k small claims limit, the rent would have to be barely over $200 per month). This would be handled in the unlimited division of the superior court (maybe the limited division if the place is a real dump and not in a desirable area such that the rent for two years would be under $25k).

You need to retain an attorney, and not just for purposes of suing your niece.

flyingron said:
While a trustee can certainly start a claim, California case law is pretty clear. Non-attorney trustees cannot represent the trust in court.
Click to expand...

Concur.
 
No, she actually never rented the space out.

Instead, i recently found out she has a roommate all these time without my knowledge and permission.
 

Share this page

Get a free case review from a lawyer
Back
Top