Elliott v. Weatherman, 396 S.W.3d 224

1997: Glen L. and Mildred Weatherman create a revocable living trust with themselves as co-trustees.
2008 amendment names three adult children as joint successor trustees upon death, resignation, or incapacity.
2010: Weatherman parents die; trust assets ≈ $1.2 million, including two McCulloch County real properties and two bank accounts.
March 9, 2012: daughters Elliot and Clem sue Jerald G. Weatherman for breach, fiduciary duty violations, and misappropriation; seek declaratory relief, damages, fees, and a temporary injunction to limit control and permit management decisions.
April 28, 2012: evidentiary hearing on requested injunctions; closing arguments discuss majority-rule management under Tex. Prop. Code § 113.085 vs. appointment of a receiver; trial court ultimately appoints a receiver over certain trust assets.
May 19, 2012: trial court makes findings of death, amendment, and unworkable unanimous decision management, and concludes appointing a neutral receiver is just and equitable; order authorizes receiver to control bank accounts, manage sale of real property, and distribute sale proceeds by court orders.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether the receiver appointment was properly noticed.	Elliot and Clem were not given proper notice.	Weatherman sought relief; court could appoint receiver if justified.	Abuse of discretion due to lack of proper notice.
Whether a receiver could be appointed without statutory authority or breach findings.	Appointment exceeds statutory authority and requires a breach finding.	Receiver is authorized to remedy potential breach under statute.	Not reached; issue sustained is sufficient to reverse.
Whether other remedies were available before appointing a receiver.	Less drastic remedies could maintain status quo.	Receiver justified to preserve trust assets.	Insufficient record to justify lack of alternative remedies.

Benefield v. State, 266 S.W.3d 25 (Tex.App.-Houston [1st Dist.] 2008) (review for abuse of discretion; receivership extraordinary remedy; need for adequate alternatives)
Krumnow v. Krumnow, 174 S.W.3d 820 (Tex.App.-Waco 2005) (appointment without notice only where necessary to protect property; caution)
Whirley v. Best Inv. Co., 536 S.W.2d 578 (Tex.Civ.App.-Dallas 1976) (appointment without notice; no compelling reason shown)
O&G Carriers, Inc. v. Smith Energy 1986-A P’ship, 826 S.W.2d 703 (Tex.App.-Houston [1st Dist.] 1992) (oral/implicit applications require hearing with notice)
Marion v. Marion, 205 S.W.2d 426 (Tex.Civ.App.-San Antonio 1947) (receivership over real property requires proper notice)