Vanderpool v. Vanderpool
442 S.W.3d 756
| Tex. App. | 2014Background
- Appellants and Barbara Vanderpool dispute distribution of estate assets after Ray Vanderpool’s life estate and Appellants’ remainder interest.
- Milton and Beulah Vanderpool’s codicils granted Ray a life estate and Appellants the remainder in the family farm and Krugerrands.
- Ray and Barbara conveyed real property (including Ray’s farm interest) to Debra and Jack King, Jr.; a King note payable to Ray and Barbara matured in 2010.
- Ray died in 2007; Barbara as executrix did not distribute note proceeds or Krugerrands to Appellants.
- Appellants filed suit in 2011 asserting conversion, breach of fiduciary duty, constructive trust, accounting, and later fraud and breach of confidential relationship.
- The trial court granted partial summary judgment on several claims; the court’s 2014 opinion reverses in part, affirms in part, and remands for further proceedings.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Limitations on conversion of King note proceeds | Appellants’ conversion claim not barred by two-year limit; genuine facts remain. | Note proceeds accrued by Oct. 3, 2007; constructive notice shown by estate inventory. | Reversed as to conversion of King note proceeds; factual issues remain. |
| Discovery rule and fiduciary duty for Krugerrands; applicability of discovery rule | Discovery rule should toll limitations due to fiduciary relationship. | No fiduciary relationship; discovery rule inapplicable to Krugerrands. | Discovery rule does not apply; no fiduciary duty; affirmed as to this claim. |
| Fraudulent concealment on Krugerrands conversion | Fraudulent concealment tolls limitations and bars summary judgment. | No fiduciary relationship and no concealment shown; elements not proven. | Fraudulent concealment does not toll limitations; affirmed. |
Key Cases Cited
- KPMG Peat Marwick v. Harrison Cnty. Hous. Fin. Corp., 988 S.W.2d 746 (Tex. 1999) (limitations on defense and need for fact issues to toll)
- City of Keller v. Wilson, 168 S.W.3d 802 (Tex. 2005) (review of summary judgment standards; standard of review)
- Shell Oil Co. v. Ross, 356 S.W.3d 924 (Tex. 2011) (discovery rule applicability; inherently undiscoverable injuries)
- S.V. v. R.V., 933 S.W.2d 1 (Tex. 1996) (principles on discovery rule and accrual)
- Via Net v. TIG Ins. Co., 211 S.W.3d 310 (Tex. 2006) (category-based analysis of discoverability)
- Conoco, Inc. v. Amarillo Nat’l Bank, 14 S.W.3d 325 (Tex. App.—Amarillo 2000) (diligence required; judge as factfinder on inquiry)
- Johnson v. Abbey, 737 S.W.2d 68 (Tex. App.—Houston [14th Dist.] 1987) (diligence standard in fiduciary-duty context)
- Thigpen v. Locke, 363 S.W.2d 247 (Tex.1962) (informal fiduciary relationships (confidential relationships))
- Meyer v. Cathey, 167 S.W.3d 327 (Tex. 2005) (existence of fiduciary relationship questions of fact unless undisputed)
- Mooney v. Harlin, 622 S.W.2d 83 (Tex. 1981) (constructive notice in probate context)
- Via Net, Inc. v. TIG Ins. Co., 211 S.W.3d 310 (Tex. 2006) (discovery rule applicability principles)
- Hofland v. Elgin-Butler Brick Co., 834 S.W.2d 409 (Tex.App.—Corpus Christi 1992) (accrual when possession and demand/REF model)
