Appeal of Estate of Beatrice Jakobiec

Claimant Edmund Hibbard, Esq., Administrator of the Estate of Beatrice Jakobiec (Estate), appealed a New Hampshire Bar Association Public Protection Fund Committee (PPFC) decision finding that the Estate was entitled to reimbursement from the Public Protection Fund (PPF) in an amount significantly less than that which the Estate claimed was stolen by former attorney Thomas Tessier. Beatrice Jakobiec passed away in 2001, leaving two sons, Frederick Jakobiec, M.D. and Thaddeus Jakobiec, Jr., as heirs. In 2002, Tessier was appointed to administer the Estate. The value of the Estate for probate purposes, as determined by an ADO auditor was $576,074.03. The auditor concluded that “[t]he assets included in the Estate by Attorney Tessier were valid and belonged in the Estate valuation,” but that Tessier failed to include additional assets owned by Beatrice at the time of her death. The auditor concluded that it appeared Tessier took the proceeds from certain certificates of deposit and other checks “for his own purposes.” In addition, the auditor detailed Tessier’s misappropriation, using fraudulent powers of attorney, of funds belonging to Frederick individually or held in trust for Thaddeus, who has been blind since birth. In 2009, the Estate filed a claim alleging a loss consisting of $208,798.95 in stolen assets (the Stolen Assets), $96,500.00 in stolen legal fees, and $99,531.81 in lost income, but the PPFC only reimbursed the Estate half of the total amount. The Estate argued the PPFC erred by: (1) reducing the amount of its claim based upon an “earlier finding that Thaddeus Jakobiec . . . had received his full distribution from the Estate”; (2) reducing the Estate’s claim for stolen legal fees by the amounts of certain excluded checks; (3) finding that the Estate’s claim against the PPF included a claim for lost income; and (4) “applying credits for prior recoveries by the Estate for the gross amount of those recoveries rather than the net amount of the recoveries.” The New Hampshire Supreme Court found "nothing prohibiting a claimant from being made whole, if other sources allow it, and we can think of no persuasive policy reason for preventing a claimant from utilizing other sources to obtain a full recovery." Though the Court found no abuse of discretion with respect to the exclusion of expenses of recovery, the Court reversed as to the other amounts lost. View "Appeal of Estate of Beatrice Jakobiec" on Justia Law