In re Marjorie A. Fearn Trust
2012 Ohio 1029
Ohio Ct. App.2012Background
- Marjorie A. Fearn created a revocable trust dividing assets into three equal shares for her children, with Kathy Salyers as beneficiary and Wells and Algire as co-trustees.
- Ms. Fearn died on Feb. 19, 2010; Salyers filed for declaratory relief and accounting-related relief on June 15, 2010.
- Trial court ordered an accounting within 30 days on Oct. 26, 2010; no timely accounting was provided.
- Co-trustees Wells resigned and Algire died, rendering many issues moot; the court entered summary judgment on Aug. 2, 2011, finding the accounting adequate.
- Appellant challenged the adequacy of the two trust accountings (Jan. 11, 2011 and June 23, 2011) and the allocation of attorney fees.
- This Court reversed the summary judgment, remanding for a proper accounting, inventory, and recalculation of the trust; affirmed on the fee issue to the extent described by remand.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the accounting was adequate | Salyers argued the Record Book and June 2011 accounting fell short | Wells/Algire contended the accounting met required standards | Accounting inadequate; remanded for proper accounting and inventory |
| Whether Salyers should bear 75% of fees | Salyers contested fee allocation | Trustees argued fees justified by litigation and animosity | Assignment of fees reversed; remand for proper fee allocation; not 75% to Salyers |
| Appropriate standard for summary judgment in accounting dispute | Summary judgment was improper given accounting deficiencies | Court should grant SJ if record shows one conclusion | SJ improper; remand for proper accounting and inventory |
Key Cases Cited
- State ex rel. Zimmerman v. Tompkins, 75 Ohio St.3d 447 (Ohio 1996) (Civ.R.56 standard for summary judgment)
- Parsons v. Fleming, 68 Ohio St.3d 509 (Ohio 1994) (Civ.R.56 standard and related authority)
- Smiddy v. The Wedding Party, Inc., 30 Ohio St.3d 35 (Ohio 1987) (appellate standard for reviewing summary judgments)
- Temple v. Wean United, Inc., 50 Ohio St.2d 317 (Ohio 1977) (summary judgment standards and related principles)