Detailed Answer — Understanding Your Rights Under California Law
When a parent dies, who may use money in the parent’s bank account depends on how the account is titled and whether anyone has legal authority from the probate court. Under California rules, funds in an account that were solely in the decedent’s name generally become part of the decedent’s estate and are controlled by the estate’s personal representative (sometimes called an executor or administrator) once that person has been appointed and issued letters by the court. If an account was jointly held or is payable‑on‑death (POD), other rules apply and joint owners or POD beneficiaries typically retain direct access.
Key legal principles (high level):
- If the account was only in the deceased parent’s name (no joint owner, no POD/transfer‑on‑death designation), the money is estate property. No family member may lawfully spend estate funds for personal benefit unless they are the court‑appointed personal representative or are otherwise authorized by the court.
- If the account was a joint account with the sibling (or another person), that joint owner usually has the right to continue using the funds subject to duties to the decedent’s estate in some situations.
- If the account was payable on death (POD) to a named beneficiary, the named beneficiary generally takes those funds outside of probate and can use them without probate court authority.
Practical consequences: if your sibling is taking money from a solely‑owned estate account before being appointed administrator, their actions may be unauthorized and could be challenged. Possible legal claims include conversion, theft, or a later surcharge in probate if they are appointed and failed to account properly.
Useful official resources:
- California Probate Code (full text): https://leginfo.legislature.ca.gov/faces/codes.xhtml?lawCode=PROB
- California Courts — probate self‑help and how probate works: https://www.courts.ca.gov/selfhelp-probate.htm
- Theft under California law (criminal): Penal Code § 484: https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?sectionNum=484.&lawCode=PEN
What you can do right now (step‑by‑step)
Act quickly. The faster you act, the better your chances of stopping dissipation of estate funds.
- Identify how the account is titled. Ask the bank for the account title, statements, and any POD or transfer documents. If you cannot get them directly, ask the bank whether the account is held as sole, joint, or POD.
- Preserve evidence. Save statements, messages, and any receipts showing withdrawals or mortgage payments. Note dates, amounts, and payees. This documentation will be important in court or for law enforcement.
- Contact the bank. Tell the bank the account holder has died. Banks have internal rules about handling deceased customer accounts. If the account is solely in the decedent’s name, the bank may freeze the account or require letters before permitting withdrawals. If the bank refuses to act, note who you spoke with and when.
- Consider requesting an immediate temporary court order. You (or another interested person) can petition the probate court to open a probate proceeding and ask for temporary or emergency orders to stop further withdrawals or require an accounting. Probate courts can issue short‑term orders to prevent dissipation of estate assets while the court considers appointment of a personal representative.
- File for probate or contest appointment. If no one has yet filed for appointment, you can file a petition to be appointed personal representative. If your sibling files or has filed papers claiming authority, you can contest appointment or file objections and ask the court to deny or limit their authority if you have evidence of misconduct.
- Report suspected criminal conduct. If funds were taken improperly, you may choose to speak with local law enforcement or the district attorney. California’s Penal Code § 484 defines theft and may apply if the sibling knowingly took funds without authority.
- Seek an attorney experienced in California probate. A probate attorney can help you file the right petitions and obtain emergency relief quickly. If cost is an issue, California courts offer limited self‑help resources and forms; many counties also provide free or reduced‑fee probate clinics.
Possible court remedies
- Emergency or temporary orders preventing further withdrawals or transfers.
- Appointment of a neutral or alternative personal representative if the court finds misconduct or conflict.
- Accounting and surcharge: if a personal representative (or someone acting as one) improperly used estate funds, the court can order them to repay the estate, remove them, or impose other sanctions.
- Civil claims (conversion, unjust enrichment) and criminal referral when appropriate.
Because the exact remedies and forms depend on the facts (account title, amounts involved, whether mortgage payments were required to protect secured property, bank actions, and whether anyone already petitioned the court), tailored legal advice is usually necessary.
Helpful Hints
- Do not try to grab or hide bank records: preserve them and keep copies.
- If the mortgage was actually at risk of default, a temporary use of funds to avoid foreclosure might be viewed differently by a court—but it should still be documented and later fully accounted for.
- Joint accounts can create difficult disputes. A joint tenant’s withdrawals are often lawful, but beneficiaries and heirs may still raise claims if the joint account was set up to defraud or improperly divert funds.
- Keep communication civil and document your requests to your sibling and the bank in writing (email or text) so there is a record of your concerns and the responses you received.
- Start the probate process early if significant assets are involved. Probate petitions and letters of administration establish who has lawful authority to manage estate funds.
- Check local court websites for probate forms and instructions before you go; many counties have intake clerks or self‑help centers for assistance.