Sample Certification of Trust Template Document

SAMPLE CERTIFICATION OF TRUST LENDERS MAY ACCEPT PURSUANT TO PURSUANT TO CALIFORNIA PROBATE CODE SECTION 18100.5

Pursuant to California Probate Code Section 18100.5, the trustee of a trust may present a certification of trust to a lender in lieu of providing a copy of the trust instrument to establish the existence or terms of the trust.  See,  California Probate Code Section 18100.5(a).  Below is a sample certification of trust lenders may accept pursuant to California Probate Code Section 18100.5(a)

CERTIFICATION OF TRUST

(PURSUANT TO CALIFORNIA PROBATE CODE SECTION 18100.5)

In accordance with California Probate Code §18100.5, I/(We) hereby make the following certifications, representations and agreements for the benefit of ___________________, a _____________ corporation (the “Bank”):

1. The (Name of Trust) (“Trust”) is currently in existence and was created on (Date of Creation of Trust) under (the “Trust Agreement”).

The Trust Agreement has been amended by amendment(s) dated:

1. The settlor(s) of the Trust are:
2. The name of each currently acting trustee(s) of the Trust and the address of the principal residence of each currently acting trustee(s) of the Trust and is (are):
3. The Trust is (a) revocable [   ]; (b) irrevocable [   ] (check the applicable box) and the following party(ies) if any, is (are) identified as having the power of to revoke the Trust:
4. The Trust (a) does [   ], (b) does not [   ] have multiple trustees (check the applicable box). 

If the Trust has multiple trustees, the signatures [__] of all the trustees or [  ] of any ______ of the trustees is required to exercise the powers of the trustee(s) (check the applicable box and fill in blank accordingly).

1. The Trust identification number is as follows:
   (Social Security Number or an Employer Identification Number).
2. Title to Trust assets shall be taken in the following fashion:
3. The Trust Agreement gives the trustee(s) the power and authority, without limitation and without the consent or approval of any other person or entity, to do all of the following:  

[a] Sell, convey and exchange Trust property. 

[b] Open and close deposit and investment account(s) on behalf of the Trust, deposit funds into, sign checks drawn upon, and withdraw funds from the account(s) established for the Trust.

[c] Borrow from the Bank from time to time on such terms and in such amounts as may be agreed with the Bank and execute and deliver documents, instruments and agreements on behalf of the Trust that evidence, secure or otherwise relate to such loan(s), and execute and deliver renewals, extensions, increases, modifications or substitutions for any and all loans.

[d] To mortgage, pledge, transfer, endorse, hypothecate, or otherwise encumber and deliver to the Bank any property now or hereafter belonging to the Trust or in which the Trust now or hereafter may have an interest, including without limitation all of the Trust’s real property and all of the Trust’s personal property (tangible or intangible), as security for the payment of any loans or credit accommodations to the Trust, the Borrower (as defined below) and/or third parties. Such property may be mortgaged, pledged, transferred, endorsed, hypothecated or encumbered at the time such loans or credit accommodations are obtained or such indebtedness is incurred, or at any other time or times, and may be either in addition to or in lieu of any property theretofore mortgaged, pledged, transferred, endorsed, hypothecated or encumbered. To execute and deliver to the Bank the forms of mortgage, deed of trust, pledge agreement, hypothecation agreement, and other security agreements and financing statements which the Bank may require and which shall evidence the terms and conditions under and pursuant to which such liens and encumbrances, or any of them, are given, and also to execute and deliver to the Bank any modifications or amendments of such documents. 

[e] Enter into or engage in derivatives transactions with the Bank, and/or its affiliates and subsidiaries, and to negotiate, execute and deliver documents, instruments and agreements in connection with such transactions.

[f] Guaranty the loan (the “Loan”) from the Bank to the Borrower as described below and execute and deliver documents, instruments and agreements in connection with such guaranty and the Loan (including hazardous materials indemnities) and grant security interests in and/or liens (including, but not limited to, lien(s) of deed(s) of trust) on real and personal Trust property to secure such guaranty and guaranty derivatives transactions as described above.  The Trust will derive substantial direct and indirect benefits from the Bank’s making the Loan to the Borrower and any such derivatives transactions, and the trustee’s (trustees’) guaranty of the Loan by the Bank to the Borrower is for a proper trust purpose.

Borrower: ___________________________________________ (“Borrower”)

Loan Amount: ________________________________________

[g] Subordinate Borrower’s obligations to and/or security interest or liens in favor of the trustee(s), to Borrower’s obligations and/or security interest or liens to Bank under the Loan.

1. The undersigned agree(s) to notify the Bank immediately if: (a) the Trust is revoked or terminated; (b) the Trust is amended, in which case upon written request of the Bank the undersigned shall also provide the Bank with (i) correct copies of excerpts from the amendment(s) which designate, evidence or pertain to the succession of the trustee(s) or confer upon the trustee(s) the power to act and/or (ii) a new certification; (c) one or more trustees change, in which case the undersigned shall also provide the Bank with (i) the name(s) and the signature exemplars of the new trustee(s), (ii) upon written request of the Bank documents evidencing or pertaining to the succession of successor trustee(s) and/or (iii) a new certification; or (d) the Trust becomes irrevocable.  I(We) understand that the occurrence of any of the events described in this paragraph may affect the rights of the trustees of the Trust to incur further obligations or to further encumber the Trust property.  The Bank shall be authorized to continue to rely on this certificate until it receives notice as provided above.  This certification shall bind the settlor(s), the current and successor trust trustees, and the current and successor beneficiaries of the Trust.  

10. The undersigned trustee(s) hereby declares (declare) that the Trust has not been revoked, modified, or amended in any manner which would cause the representations contained herein to be incorrect. This certification is being signed by all of the currently acting trustees of the Trust. 

Executed as of ___________ __, 202_

Trustee(s):

Name (Printed): Name (Printed):

[NOTE:  Signatures must be notarized.]

 

ACKNOWLEDGMENT

A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, or validity of that document.

STATE OF CALIFORNIA            }
                                                       }
COUNTY OF __________________ }

On ____________ __, 202_, before me, , personally appeared __________________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. 

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS MY HAND AND OFFICIAL SEAL



Notary Public

Above Sample Certification of Trust was drafted by Morgan T. Jones, Esq. and Lisa D. Simantob, Esq.