In RE ESTATE OF McGATHY
246 P.3d 628
| Ariz. | 2010Background
- In an unsupervised administration of Rosanne L. McGathy’s estate, Marianne Waldow petitioned for instructions on who pays estate taxes.
- The superior court ordered nonprobate transferees to pay their pro rata share of the taxes; the order was entered as a final judgment with Rule 54(b) findings.
- James M. LaPorta, a nonprobate beneficiary, timely appealed the tax-payment order.
- The court of appeals dismissed for lack of jurisdiction, citing Ivancovich and holding the tax order non-appealable until final decree distributing the estate.
- The case was granted review to determine appellate jurisdiction over judgments entered in formal probate proceedings within an unsupervised administration.
- Arizona’s Uniform Probate Code distinguishes supervised vs unsupervised administration; unsupervised proceedings permit court intervention only for formal proceedings when necessary.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether an order terminating a formal probate proceeding in an unsupervised administration is appealable under § 12-2101(J). | LaPorta contends the final disposition of a formal proceeding is appealable under § 12-2101(J). | Waldow contends Ivancovich controls, making the tax-order appealable only after a final estate decree. | Yes; § 12-2101(J) permits appeal of the final disposition of each formal proceeding in an unsupervised administration. |
Key Cases Cited
- Ivancovich v. Meier, 122 Ariz. 346 (1979) (pre-UPC decision distinguishing interlocutory tax orders in supervised administration)
- In re Estate of Kerr, 137 Ariz. 25 (App. 1983) (discussed scope of appealability under old § 12-2101(J))
- Newalla, 837 P.2d 1373 (N.M.App. 1992) (unsupervised administrations permit appeal of final disposition of a formal proceeding)
- Schmidt v. Schmidt, 540 N.W.2d 605 (N.D. 1995) (finality as to independent proceedings in unsupervised probate)
- Scott v. Scott, 136 P.3d 892 (Colo. 2006) (distinguishes supervised vs unsupervised administrations; final determination within a formal proceeding)
- Estate of Christensen v. Christensen, 655 P.2d 646 (Utah 1982) (argues against deferral of appeal until estate-wide decree)