In In re Umth Gen. Servs., L.P., United Development Fund IV (“Trust”) was a Maryland real estate investment trust with over 12,000 shareholders. No. 24-0024, 2025 Tex. LEXIS 1029 (Tex. November 14, 2025). The Trust’s declaration of trust governed shareholder rights and designated Maryland as the exclusive forum for
Texas Supreme Court
Texas Supreme Court Addresses Informal Fiduciary Relationships and The Fiduciary Duties Owed By Accountants
By David Fowler Johnson on
Posted in Cases Decided, Texas Supreme Court
In Pitts v. Rivas, Rivas brought claims against his accountants for negligence/malpractice, fraud, breach of fiduciary duty, and breach of contract, based on alleged errors in financial statements that harmed his business. 709 S.W.3d 517 (Tex. 2025). The central legal issue involved the “anti-fracturing rule” developed by Texas courts…
Texas Supreme Court Holds That Executor Who Is Also The Sole Beneficiary Of The Estate Can Represent The Estate Pro Se
By David Fowler Johnson on
Posted in Cases Decided, Texas Supreme Court
In Suday v. Suday, the executor was also the sole beneficiary of her mother’s estate. No. 24-1009, __ Tex. LEXIS __ (Tex. June 27, 2025) (per curiam). She engaged in substantial litigation seeking to challenge her parents’ divorce decree and property distribution. While her appeal was pending in the…
Texas Supreme Court To Review Whether A Corporate Trust’s Shareholder Has Standing To Sue On Behalf Of The Trust
By David Fowler Johnson on
Posted in Texas Supreme Court
The Supreme Court granted oral argument in In re UMTH Gen. Servs., L.P., 2023 WL 8291829 (Tex. App.—Dallas 2023), wherein a real estate investment trust entered into an advisory agreement with an entity and gave it authority to manage corporate assets. One of the trust’s shareholders sued the advisor…
Texas Supreme Court Holds That Unsworn Testimony By Attorney Regarding A Lost Will Should Have Been Considered By The Appellate Court
By David Fowler Johnson on
Posted in Cases Decided, Texas Supreme Court
Texas Supreme Court Declines The Chance To Rule On Whether There Is A Right To A Jury Trial In A Trust Modification Suit
By David Fowler Johnson on
Posted in Cases Decided, Texas Supreme Court
First Appellate Decision. In In re Troy S. Poe Trust, a co-trustee of a trust filed suit to modify the trust to increase the number of trustees and change the method for trustees to vote on issues as well as other modifications, including, incredibly, directing the trustees to ignore…
Texas Supreme Court Reverses Order In Trust Dispute Granting A Constructive Trust
By David Fowler Johnson on
Posted in Cases Decided, Texas Supreme Court
In In re Trust A & Trust C, a beneficiary sued a trustee for breach of fiduciary duty and sought a constructive trust over assets that were transferred out of the trust. 690 S.W.3d 80 (Tex. 2024). The trial court granted that relief. The court of appeals reversed, holding…
Texas Supreme Court To Review Joinder Issue In A Trust Dispute
By David Fowler Johnson on
Posted in Texas Supreme Court
In In re Tr. A & Tr. C, Established Under Bernard L. & Jeannette Fenenbock Living Tr. Agreement, Dated Mar. 12, 2008, a co-trustee of a family trust transferred stock from the trust to her personal trust and then sold the stock to her sons. 651 S.W.3d 588 (Tex.
Texas Supreme Court Holds That Law Firm Could Not Redeem A Departing Partner’s Shares For No Value Under The Parties’ Shareholder Agreement
By David Fowler Johnson on
In Skeels v. Suder, a departing shareholder of a law firm sued regarding the firm’s decision to redeem his shares for no consideration. No. 21-1014, 2023 Tex. LEXIS 578 (Tex. June 23, 2023). Partners of a law firm entered into a shareholder agreement that allowed certain individuals to take…
Texas Supreme Court Holds That The Incorporation Of AAA Rules Can Delegate Scope Issues To The Arbitrator, Which May or May Not Impact Trust And Estate Disputes
By David Fowler Johnson on
Posted in Cases Decided, Texas Supreme Court
The Texas Supreme Court held that arbitration clauses in trust documents may be enforced regarding claims by beneficiaries against trustees. In Rachal v. Reitz, a beneficiary sued a trustee for failing to provide an accounting and otherwise breaching fiduciary duties. 403 S.W.3d 840 (Tex. 2013). The trustee filed a…