Mark A. Filer and Julie J. Filer - Page 10

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          person as trustee.”  Cal. Prob. Code sec. 15200(c) (West 1991).             
               Our findings in this case are based in part on the testimony           
          of petitioners.  Here, we found petitioners to be honest,                   
          sincere, and credible witnesses.                                            
               In the instant case, Phyllis designated Julie as the                   
          successor owner of the annuity contract.  Phyllis had a very                
          close relationship with Julie, which evidently reassured Phyllis            
          that, by naming Julie as the successor owner, Julie would ensure            
          that the annuity proceeds were distributed for the benefit of the           
          children consistent with Phyllis’s intent.  At the time that                
          Julie learned about Phyllis’s intent, Julie clearly understood              
          that the funds were for the benefit of the children.  Indeed,               
          upon Phyllis’s death, Julie immediately cashed the check from               
          Anchor and distributed the proceeds equally to the children.  On            
          the basis of the record before us, we conclude that Phyllis                 
          designated Julie as the successor owner pursuant to an oral trust           
          wherein Julie would distribute the annuity proceeds for the                 
          benefit of the children.                                                    
               Respondent contends, however, that Phyllis’s oral statement            
          to Julie is not sufficient evidence of the creation of a trust.             
          We disagree.  The California Law Revision Commission Comment to             
          California Probate Code section 15207(b) states that for purposes           
          of this section:                                                            
               [the] delivery of personal property to another person                  
               accompanied by an oral declaration by the transferor that              





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