CALIFORNIA FAMILY CODE
BREACH OF FIDUCIARY DUTY
MANAGEMENT AND CONTROL OF MARITAL PROPERTY
Family Code Section 1101
(a) A spouse has a claim against the other spouse for any breach of the
fiduciary duty that results in impairment to the claimant spouse's
present undivided one-half interest in the community estate, including,
but not limited to, a single transaction or a pattern or series of transactions,
which transaction or transactions have caused or will cause a detrimental
impact to the claimant spouse's undivided one-half interest in the
(b) A court may order an accounting of the property and obligations of
the parties to a marriage and may determine the rights of ownership in,
the beneficial enjoyment of, or access to, community property, and the
classification of all property of the parties to a marriage.
(c) A court may order that the name of a spouse shall be added to community
property held in the name of the other spouse alone or that the title
of community property held in some other title form shall be reformed
to reflect its community character, except with respect to any of the
(1) A partnership interest held by the other spouse as a general partner.
(2) An interest in a professional corporation or professional association.
(3) An asset of an unincorporated business if the other spouse is the only
spouse involved in operating and managing the business.
(4) Any other property, if the revision would adversely affect the rights
of a third person.
(d) (1) Except as provided in paragraph (2), any action under subdivision
(a) shall be commenced within three years of the date a petitioning spouse
had actual knowledge that the transaction or event for which the remedy
is being sought occurred.
(2) An action may be commenced under this section upon the death of a spouse
or in conjunction with an action for legal separation, dissolution of
marriage, or nullity without regard to the time limitations set forth
in paragraph (1).
(3) The defense of laches may be raised in any action brought under this section.
(4) Except as to actions authorized by paragraph (2), remedies under subdivision
(a) apply only to transactions or events occurring on or after July 1, 1987.
(e) In any transaction affecting community property in which the consent
of both spouses is required, the court may, upon the motion of a spouse,
dispense with the requirement of the other spouse's consent if both
of the following requirements are met:
(1) The proposed transaction is in the best interest of the community.
(2) Consent has been arbitrarily refused or cannot be obtained due to the
physical incapacity, mental incapacity, or prolonged absence of the nonconsenting spouse.
(f) Any action may be brought under this section without filing an action
for dissolution of marriage, legal separation, or nullity, or may be brought
in conjunction with the action or upon the death of a spouse.
(g) Remedies for breach of the fiduciary duty by one spouse, including
those set out in
Sections 721 and
1100, shall include, but not be limited to, an award to the other spouse of
50 percent, or an amount equal to 50 percent, of any asset undisclosed
or transferred in breach of the fiduciary duty plus attorney's fees
and court costs.
The value of the asset shall be determined to be its highest value at the
date of the breach of the fiduciary duty, the date of the sale or disposition
of the asset, or the date of the award by the court.
(h) Remedies for the breach of the fiduciary duty by one spouse, as set
forth in Sections 721 and 1100, when the breach falls within the ambit of
Section 3294 of the Civil Code shall include, but not be limited to, an award to the
other spouse of 100 percent, or an amount equal to 100 percent, of any
asset undisclosed or transferred in breach of the fiduciary duty.