News & Analysis as of

Trusts Attorney's Fees Trustees

Charles E. Rounds, Jr. - Suffolk University...

Liability of Trust Beneficiary Who Litigates Vexatiously or Participates in a Breach of Trust

The Restatement (Third) of Trusts, specifically §104, lists four general areas in which the beneficiary’s actions may lead to an assumption of internal liability to the trust estate: (1) A loan or advance to the beneficiary...more

McManis Faulkner

May a Trustee use Trust Funds in Beneficiary Disputes?

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In California, trustees have a fiduciary duty to act impartially and in the interest of all beneficiaries. But what happens when a trustee uses trust funds to finance litigation that benefits only certain beneficiaries—or...more

Gordon Rees Scully Mansukhani

Kositzka v. Fick: Key Lessons on Trustee Fiduciary Duty in Virginia Trusts

In a recent decision, the Court of Appeals of Virginia upheld a lower court’s ruling that Kositzka, Wicks and Company (KWC) breached its fiduciary duty to Edward Joseph Ryan, awarding his estate $999,050 in damages, attorney...more

Charles E. Rounds, Jr. - Suffolk University...

Equity’s maxims have many jurisprudential functions, one critical function being to sinew the equitable principles that regulate...

Equity’s maxims have many jurisprudential functions, one critical function being to sinew the equitable principles that regulate the law of trusts. A court that is saddled with sorting out the rights, duties and obligations...more

Warner Norcross + Judd

How Solid is the Stipulated Order for Paying Litigation-related Attorney Fees from a Trust?

The Michigan Court of Appeals recently issued an interesting ruling regarding the ability of a litigant in probate litigation to recover attorney fees from the trust in dispute, even if all parties agree to such payment. In...more

Winstead PC

Trustee’s Ability To Retain And Compensate Attorneys In Texas - Presentation

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David F. Johnson presented his paper titled “Trustee’s Ability To Retain And Compensate Attorneys In Texas” to the Texas State Bar’s 48th Annual Advanced Estate Planning and Probate Course on June 13, 2024, in Houston, Texas....more

Winstead PC

Court Affirmed Award Of Damages And Punitive Damages Against A Trustee Due To A Breach Of The Duty To Disclose, Held That A Trust...

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In Mendell v. Scott, a decedent had a trust that named him as primary beneficiary, and upon his death, the trust would continue for a niece provided that she did not commit a prohibited act. No. 01-20-00578-CV, 2023 Tex. App....more

Robins Kaplan LLP

Who Pays When You Fight Over a Trust?

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Litigation is often expensive. When a client considers filing a lawsuit or must decide how to handle a lawsuit someone else started, one of the most fundamental questions to ask is: Who pays the lawyers? Under the American...more

Winstead PC

[Webinar] Fiduciary Litigation Update 2022-2023 - December 19th, 10:00 am - 11:00 am CT

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This update will address the following issues: whether a party has a right to jury trial in trust modification and other similar actions, what are the standards for pretrial receivership and injunctive relief in trust...more

Robins Kaplan LLP

Wearing the Right Hat

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As demonstrated in our Gold Medal Bakery case, with corporate fiduciary claims, there can be thought-provoking challenges and issues presented by the question of whether a claim is direct or derivative. Probate and trust...more

Winstead PC

Court Holds That Trust Was Not Ambiguous And Provided The Trustee Discretion In Making Income Distributions

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In Wells Fargo, N.A. v. Clower, a trustee filed suit for declaratory relief regarding its discretion to make income distributions. No. 02-20-00058-CV, 2021 Tex. App. LEXIS 7675 (Tex. App.—Fort Worth September 16, 2021, no...more

Lathrop GPM

Minnesota Court of Appeals Upholds Settlor’s Intent, Rejects Beneficiary’s Petition to Modify Trust and Receive Attorney Fees

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In an opinion released last week, the Minnesota Court of Appeals rejected a petition to modify the terms of a trust to allow for the early distribution of trust assets to the beneficiaries. The court also denied the...more

Shutts & Bowen LLP

Written Disclosure Requirements for Attorney Fees in Trust and Estate Administrations

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House Bill 625 (2021), sponsored by Representative Clay Yarborough, R–Jacksonville, amends Sections 733.6167 and 736.1007 of the Florida Statutes to provide that if an attorney intends to charge a fee for an estate or initial...more

Downey Brand LLP

When Can California Trustees Use Trust Funds to Hire Lawyers?

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Many family member trustees are uncertain about whether and to what extent they can use trust assets to obtain legal representation. For example, when two parents choose their daughter, upon their incapacity or death, to...more

Holland & Hart LLP

Trustees Beware: Provide Timely Information to Beneficiaries

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Individual trustees often fail to fulfill the duties imposed on trustees, not only by the trust instrument, by also by the trust statutes applicable in the jurisdiction. It is often the case that the individual trustee is a...more

Winstead PC

Trustee Compensation in Texas - Presentation

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Areas of Discussion: - In this Presentation, we will discuss the following: - Duty of loyalty; - Authority for trustee compensation; - Factors for reasonable compensation; - Other issues arising from trustee...more

Downey Brand LLP

Free Rider No More — When Can a California Trust Beneficiary Shift Legal Fees to Other Beneficiaries?

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American courts (including our California state courts), in contrast to courts in England, do not typically award attorneys’ fees to a lawsuit’s “victor.” There are, of course, exceptions to this so-called “American Rule.”...more

Winstead PC

Court Reversed A Summary Judgment For Trustee And Found That A Contingent Remainder Beneficiary Had Standing And Potentially Had A...

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In In the Interest of K.K.W., an ex-wife sued an ex-husband and the trustee of a trust that they created for breaches of fiduciary duty and sought to remove the trustee, among other claims, arising out of the trustee’s...more

Winstead PC

Court Denied Mandamus Relief To Review Order Denying Trustee’s Request To Pay His Attorney’s Fees In The Interim

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In In re Cousins, a trustee filed a mandamus proceeding to challenge a trial court’s order denying his motion to pay his attorney’s fees from the trust. No. 12-18-00104-CV, 2018 Tex. App. LEXIS 3930 (Tex. App.—Tyler May 31,...more

Winstead PC

Court Discusses The Texas Rules For Superseding Declaratory Relief In A Trust Dispute

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In In the Interest of K.K.W., a father and mother, who were settlors, filed competing claims regarding the interpretation of a trust for their son. No. 05-16-00795-CV, 2018 Tex. App. LEXIS 2174 (Tex. App.—Dallas March 27,...more

Downey Brand LLP

Co-Trustee Conflict Fuels California Trust Litigation

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California trust litigation often stems from disagreements and hostility among family member co-trustees. Rather than picking one of their kids to serve as sole successor trustee when they die or become incapacitated, Mom and...more

Pullman & Comley, LLC

Appellate Court Notes

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Supreme Court Advance Release Opinions: SC19384 - State v. Carter - SC19282 - State v. Peeler - Appellate Court Advance Release Opinions: AC37262 - Dumbauld v. Dumbauld - AC37262 Concurrence -...more

McGuireWoods LLP

Recent Cases of Interest to Fiduciaries

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In re Estate of House, 2014 Wash. App. LEXIS 3006 (Wash. Ct. App. 2014) - A release waiving any and all claims that the parties may have or may acquire, bars recovery for unknown claims existing at the time the release...more

Winstead PC

C. Court Did Not Abuse Discretion In Denying Attorney's Fees To Successful Beneficiary In Declaratory Judgment Action

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In Estate of Richardson, a remainder beneficiary of a trust filed a declaratory judgment action to declare that the trust would terminate five years after its creation. No. 14-12-00516-CV, 2013 Tex. App. LEXIS 2664 (Tex....more

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