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§ 1424.Distributing Or Vesting Clause of Judgment Or Decree Creating Trust In Favor of Unknown Or Unidentified Persons

Title 10. Unclaimed Property · Chapter 5. Escheat Proceedings · Article 3. Escheat Proceedings in Decedents' Estates · Enacted 1708 · no amendments on record · Last verified July 29, 2026

In one sentenceSection 1424 provides that when a judgment or decree distributing or vesting unclaimed property in the state also contains language creating a trust for a class of unknown or unidentified persons, the state receives both legal and equitable title, while preserving the right of those persons to later appear and claim the property.

Full Text of § 1424

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If, in any proceeding had under this title, the judgment or decree distributes or vests unclaimed property or any portion thereof to or in the State of California and the distributing or vesting clause contains words otherwise creating a trust in favor of certain unknown or unidentified persons as a class, such judgment or decree shall vest in the State of California both legal and equitable title to such property; saving, however, the right of claimants to appear and claim the property, as provided in this title.

Plain-English Summary

Estate decrees sometimes use language that, read literally, would leave the state holding only bare legal title while an unnamed class of possible beneficiaries kept the equitable interest in trust. This section closes that gap. When a judgment or decree under this title distributes or vests unclaimed property in California, and its distributing or vesting language would otherwise create a trust in favor of unknown or unidentified persons as a class, the judgment instead vests both legal and equitable title in the state.

That doesn't strip anyone of a real claim to the property; it prevents an artificial trust arrangement from complicating the state's title while the property sits unclaimed. Anyone who later turns out to belong to that unidentified class keeps the right to come forward and claim the property, on the same terms as any other claimant under this title.

Frequently Asked Questions

What problem does this section solve?

It prevents decree language creating a trust for an unknown or unidentified class of persons from leaving the state with only bare legal title instead of full ownership.

Does the state get full ownership even if the decree's wording suggests a trust for unnamed beneficiaries?

Yes. Section 1424 vests both legal and equitable title in the state in that situation.

Do potential beneficiaries lose their right to claim the property?

No. They retain the right to appear and claim the property later, as provided elsewhere in this title.

Amendment History

Added by Stats. 1951, Ch. 1708.

Source & verification. Section text is reproduced verbatim from the Deering's California Codes Annotated / vLex. Enacted by the California Legislature. Last verified July 29, 2026. · Official source
Also known as: trust unknown persons escheat decreelegal and equitable title vests in state