Arnold J. Webre Jr. and Jo Kathryn Gross v. Ray Black, Jr., Guardian of the Estate of Arnold J. Webre, Sr.
458 S.W.3d 113
Tex. App.2015Background
- guardianship of Arnold J. Webre, Sr.; guardian Ray Black sought approval of a mediated settlement affecting asset characterization and fiduciary claims; trial court approved the settlement over objections; district court relied on ward’s alleged lack of personal benefit and its ability to care for him; appellants argued trial court failed to analyze whether settlement served the ward’s estate interests; this court reverses and remands.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Was the settlement approval decision properly analyzed under the guardian-duty standard? | Arnold, Jr. and Jo Kathryn | Black | No; trial court failed to properly apply fiduciary-law standards. |
Key Cases Cited
- Moore v. Texas Bank & Trust Co., 595 S.W.2d 502 (Tex. 1980) (presumes unfairness in fiduciary transactions and requires proof of fairness)
- Lee v. Hasson, 286 S.W.3d 1 (Tex. App.—Houston [14th Dist.] 2007) (fiduciary must show good faith and fairness)
- Collins v. Smith, 53 S.W.3d 832 (Tex. App.—Houston [1st Dist.] 2001) (burden on fiduciary to prove fairness of transactions)
- Jelinek v. Casas, 328 S.W.3d 526 (Tex. 2010) (abuse of discretion if court misapplies law or acts arbitrarily)
- In re Tex. Dept. of Health Servs., 278 S.W.3d 1 (Tex. App.—Austin 2008) (court must properly analyze and apply the law in guardianship matters)
- Crouch v. Tenneco, Inc., 853 S.W.2d 643 (Tex. App.—Waco 1993) (abuse standard for settlement approvals in complex contexts)
