FVT procedure for minors or adult persons with disability

By Doug Teeter Butte County Supervisor, District 5

Through discussions with those who have children with Fire Victim Trust (FVT) claims, I am concerned that legal guardians, such as parents, are not being informed by their attorneys of the process the Trust is following. And the options the legal guardian may have. The below link to the Bankruptcy Judge’s order describes the procedure for minor and adult persons with a disability: https://www.firevictimtrust.com/Docs/ Filed%20Special%20Master%20Order%20 For%20Procedures%20For%20Approval%20of%20Compromises%20For%20 Protected%20Persons.pdf

On page 5 of the document (found in the link above) is a copy of the petition To Approve Compromise for Protected Persons to be sent to the Special Master by the Legal Guardian. Other notable sections are: Disposition of balance of proceeds of settlement or judgment at section 19.b (if there is no court ordered conservatorship or guardianship)

Claimant’s attorney’s fees at section 14 California court rules determine a reasonable fee standard for minors and adults with disabilities. The link to the 2020 California Rules of Court is here: https://www. courts.ca.gov/cms/rules/index.cfm?title=s even&linkid=rule7_955

Note (a)(2) “must evaluate the agreement based on the facts and circumstances exist- ing at the time the agreement was made, except where the attorney and the representative of the minor or person with a disability contemplated that the attorney’s fee would be affected by later events.”

The Trustee of the Fire Victim’s Trust stated that the Special Master has instituted a 25% upper limit on attorney fee awards. However, the Trust also will only pay up to 25% attorney fees for inverse condemnation of real and personal property. I believe most minor claimants have much simpler claims than a real or personal property claim, and minor attorney fees should reflect that. I am not an attorney, but I’m willing to share my thoughts on the minor claim process. Feel free to contact me at dteeter@buttecounty.net