919 N.W.2d 356
S.D.2018Background
- Dale Jarman owned a large ranch and, at his urging, his daughter June Huston conveyed large tracts of land to him (2011) and to her nephew Vance Martin (2013); Huston claims Jarman threatened disinheritance and promised to "make things right" by leaving her half his estate.
- Jarman revised his estate plan to leave nearly all assets to Martin and, by his 2014 will, left Huston only $30,000; Jarman had transferred millions to Martin during his lifetime.
- The estate published notice to creditors in July 2014; Huston sued the estate and Martin in July 2015 for breach of contract, fraud, promissory estoppel, and unjust enrichment.
- Defendants moved for summary judgment, arguing (1) breach-of-contract claims to devise must be in writing under SDCL 29A-2-514 (no partial-performance exception), and (2) SDCL 29A-3-803 barred claims that arose before decedent’s death if not presented within four months of published notice.
- The circuit court granted summary judgment without detailed findings. Huston appealed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Breach of contract to devise | Huston: an oral promise by Jarman (to leave her half the estate) is enforceable due to her partial performance (conveying land) / equitable estoppel | Martin & Estate: SDCL 29A-2-514 requires a writing; statute bars oral contract to make a will and contains no partial-performance exception | Court: Affirmed dismissal — SDCL 29A-2-514 limits proof of such contracts to the statute’s written methods; oral agreement cannot be enforced |
| Fraud | Huston: fraud is tort-based and survives even if contract fails; factual issues (letters, transfers) preclude summary judgment | Martin & Estate: Fraud/claims arose during decedent’s life and are barred by nonclaim statute SDCL 29A-3-803 if not presented within four months of published notice | Court: Affirmed dismissal — the fraud claim was a contingent claim that arose during Jarman’s lifetime and was not timely presented, so SDCL 29A-3-803 bars it |
| Unjust enrichment against Martin | Huston: Martin received and knew of the benefit; equity requires restitution; fact issues exist on Martin’s knowledge and inequity | Martin: No wrongful or inequitable conduct; no basis for restitution absent misconduct | Court: Reversed dismissal as to Martin — genuine factual disputes about knowledge and inequity preclude summary judgment on unjust enrichment |
Key Cases Cited
- Niesche v. Wilkinson, 841 N.W.2d 250 (S.D. 2013) (statutory writing requirement under SDCL 29A-2-514 bars unwritten contracts to devise)
- Spohr v. Berryman, 589 So. 2d 225 (Fla. 1991) (claims based on pre-death agreements characterized as contingent and barred by nonclaim statute when not timely filed)
- In re Estate of Green, 516 N.W.2d 326 (S.D. 1994) (prior South Dakota decision distinguishing when nonclaim statutes apply to contract-to-devise claims)
- Cragle v. Gray, 206 P.3d 446 (Alaska 2009) (adopting UPC-style restriction that contracts to devise require specified written proof; rejects part-performance exception)
- Commercial Trust & Savings Bank v. Christensen, 535 N.W.2d 853 (S.D. 1995) (discussing unjust enrichment and contexts where equitable restitution is unavailable)
