In Schmidt v. JP Morgan Chase Bank, N.A., the plaintiff’s employee opened credit cards in the employer’s name, used those credit cards for the employee’s own personal use, and paid those credit card bills with funds from the employer’s operating account and/or through advances from the employer’s line of
David Fowler Johnson
Court Affirmed Summary Judgment For A Trustee Due To An Exculpatory Clause
By David Fowler Johnson on
Posted in Cases Decided, Texas Court of Appeals
In Kohlhausen v. Baxendale, the court affirmed a summary judgment for a trustee on the basis of an exculpatory clause in a trust document. No. 01-15-00901-CV, 2018 Tex. App. LEXIS 1828 (Tex. App.—Houston [1st Dist.] March 13, 2018, no pet. history). A mother created a testamentary trust for the…
Court Holds That Laches Did Not Bar A Will Contest
By David Fowler Johnson on
Posted in Cases Decided, Texas Court of Appeals
In In re Estate of Perez-Muzza, two days before the statute of limitations period ended, a contestant filed a will contest seeking to have a court set aside an order admitting a will to probate. No. 04-16-00755-CV, 2018 Tex. App. LEXIS 1859 (Tex. App.—San Antonio March 14, 2018, no…
Court Enforced Forum-Selection Clause In Trust Document
By David Fowler Johnson on
Posted in Cases Decided, Texas Court of Appeals
In In re JP Morgan Chase Bank, N.A., trust beneficiaries sued the trustee for alleged breaches of fiduciary duty in Dallas, Texas. No. 05-17-01174-CV, 2018 Tex. App. LEXIS 1883 (Tex. App.—Dallas March 14, 2018, original proceeding). The settlor executed the trust agreement in New York, and it included the…
Court Reversed Order Removing Trustee Where Trustee Did Not Receive Notice Of The Hearing
By David Fowler Johnson on
Posted in Cases Decided, Texas Court of Appeals
In In re Estate of Moore, the court of appeals addressed the proper procedure for removing an acting trustee and appointing a successor trustee. No. 08-14-00298-CV, 2018 Tex. App. LEXIS 1950 (Tex. App.—El Paso March 15, 2018, no pet. history). A beneficiary filed a motion to remove a trustee,…
Texas Supreme Court Rules That Trustee Is Not Liable For Fraud In Leasing Minerals Due To “Red Flags” And Express Contradictory Language That Negated Justifiable Reliance
By David Fowler Johnson on
Posted in Cases Decided, Texas Supreme Court
In JPMorgan Chase Bank, N.A. v. Orca Assets G.P., a trustee leased minerals to a leasee. No. 15-0712, 2018 Tex. LEXIS 250 (Tex. March 23, 2018). That leasee did not immediately record the lease. The trustee’s agent then signed a letter of intent to lease tracts from the same…
Texas Supreme Court Holds That Testator Devised Property As A Life Estate
By David Fowler Johnson on
Posted in Cases Decided, Texas Supreme Court
In Knopf v. Gray, the will disposed of the testator’s entire estate, specifically including a tract of land. No. 17-0262, 2018 Tex. LEXIS 249 (Tex. March 23, 2018). The provision through which the testator devised the land stated: “NOW BOBBY I leave the rest to you, everything, certificates of…
Court Affirmed Judgment Against Trust Settlor Who Raised Fraud And Other Related Claims Against An Insurance Agent
By David Fowler Johnson on
Posted in Cases Decided, Texas Court of Appeals
In Jessen v. Duvall, an investor who established trusts to purchase life insurance policies sued an insurance agent for tort claims, including fraud, conspiracy, and aiding and abetting breach of fiduciary duty based on the insurance policies not being good investments and the investor losing more than $3.2 million…
Court Affirms Punitive Damages In A Breach-Of-Fiduciary-Duty/Partnership Dispute
By David Fowler Johnson on
Posted in Cases Decided, Texas Court of Appeals
In Home Comfortable Supplies, Inc. v. Cooper, the defendant induced others to start a new limited partnership with his corporation. No. 14-16-00906-CV, 2018 Tex. App. LEXIS 1381 (Tex. App.—Houston [14th Dist.] February 22, 2018, no pet. history). Among other things, he then seized the new business’s tangible assets and…
Court Held That Estate Beneficiary Did Not Have Standing To Assert Forfeiture Or Breach Claim Against Executrix’s Attorneys, That An Executrix Had No Authority To Pay Her Attorney’s Fees From The Estate In The Interim In Defending A Removal Action, And That The Trial Court Erred In Refusing A Motion To Compel Distribution Of The Estate
By David Fowler Johnson on
Posted in Cases Decided, Texas Court of Appeals
In re Nunu, an estate beneficiary sued the executrix to have her removed due to alleged breaches of fiduciary duty and also sought to have the court refuse to pay her attorneys in representing her in a removal action and/or sought to have those fees forfeited. No. 14-16-00394-CV, 2017 Tex.…