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 Declines The Chance To Rule On Whether There Is A Right To A Jury Trial In A Trust Modification Suit
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
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
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
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
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
Texas Supreme Court Affirms The Release In A Family Settlement Agreement That Protected A Former Trustee’s Estate From Claims And Discusses the “Full Knowledge” Requirement For Enforcing Releases In Fiduciary Relationships
In Austin Trust Co. v. Houren, beneficiaries of a trust executed a family settlement agreement with the former trustee’s estate. No. 21-0355, 2023 Tex. LEXIS 285 (Tex. March 23, 2023). After the settlement agreement was executed, one of the parties sued the former trustee’s estate for over a $37
The Texas Supreme Court Affirms A Summary Judgment For A Fiduciary Defendant Based On The Statute Of Limitations And The Duty To Use Reasonable Diligence To Discover Claims
The Court noted that a claim generally accrues when the defendant’s wrongful conduct causes the claimant to suffer a legal injury. Id. The Court also noted that the discovery rule can defer accrual of limitations:
In Marcus & Millichap Real Est. Inv. Servs. of Nev. v. Triex Tex. Holdings, LLC, Triex purchased a gas station in 2008 from Hamilton Holdings. No. 21-0913, 2023 Tex. LEXIS 22 (Tex. January 13, 2023) (per curiam). Both the buyer and seller used Marcus & Millichap as their broker for the transaction. In 2012, the operator of the gas station defaulted on the lease. A little over three years later, Triex sued Hamilton Holdings and others for breach of contract, fraud, and related torts. After some discovery, Triex added Marcus & Millichap to the lawsuit in March 2017 and asserted claims for breach of fiduciary duty, fraud by nondisclosure, and conspiracy. Marcus & Millichap moved for summary judgment, arguing that Triex’s claims were time-barred. The trial court granted the motion, and the court of appeals reversed and remanded, concluding that a fact issue existed as to whether Triex “knew or should have known on [December 1, 2012,] that the injury was the result of wrongful acts committed by Marcus & Millichap.” The Texas Supreme Court granted review.
Texas Supreme Court Justice Authors Opinion Arguing That Claim Regarding Contingent Remainder Beneficiary Status Was Ripe
In Ackers v. Comerica Bank & Trust, N.A., a life-time beneficiary of a trust filed a claim for a declaration regarding whether certain contingent remainder beneficiaries were beneficiaries. No. 21-0233, 2022 Tex. LEXIS 997 (Tex. October 28, 2022)(Busby, J., Concurring). The trial court ruled that the claim was not