March 22, 2017

Spendthrift trust, Prop. 47 opinions filing tomorrow

Tomorrow morning, the Supreme Court will file opinions in Carmack v. Reynolds and People v. Gonzales, which were both argued on the January calendar.

At the Ninth Circuit’s request, the court will decide in Carmack whether Probate Code section 15306.5 imposes an absolute cap of 25 percent on a bankruptcy estate’s access to a beneficiary’s interest in a spendthrift trust that consists entirely of payments from principal, or whether the bankruptcy estate may reach more than 25 percent under other sections of the Probate Code.  When it asked for an answer to the question, the Ninth Circuit said that resolution of the appeal before it “could transform the terrain of California trust law” and that the appeal “hinges on the interpretation of opaque sections of the Probate Code.”

Gonzales is one of the many Proposition 47 cases that is or was on the court’s docket.  (It’s one of two that were argued in January.)  The issue is:  Was defendant entitled to resentencing under Penal Code section 1170.18 on his conviction for second degree burglary either on the ground that it met the definition of misdemeanor shoplifting (Pen. Code, § 459.5) or on the ground that section 1170.18 impliedly includes any second degree burglary involving property valued at $950 or less?

The opinions can be viewed tomorrow starting at 10:00 a.m.

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