Justia Trusts & Estates Opinion Summaries

After a minor collision between two vehicles in the drive-through line of a Taco Bell, Jack Morrell, the driver of one vehicle, stabbed and killed Eric Kalenka, the driver of the other vehicle. Morrell was uninsured and Kalenka’s policy provided coverage for liabilities arising out of the “ownership, maintenance, or use” of an uninsured motor vehicle. Kalenka’s automobile insurer filed an action in superior court, seeking a declaration that Kalenka’s policy did not provide coverage for Kalenka’s death. The superior court concluded that there was no general liability coverage under the policy. Appellant Uwe Kalenka, the personal representative of Eric Kalenka’s estate, appealed the denial of liability coverage. Upon review, the Supreme Court affirmed the superior court’s determination that Kalenka’s policy did not provide liability coverage.

An elderly woman requiring long-term medical care gave $120,000 to her son in February 2007. The mother believed that the gift would not prevent her from receiving Medicaid coverage if she lived long enough to exhaust her remaining assets. She relied on a provision in Alaska's Medicaid eligibility manual that suggested prospective Medicaid beneficiaries could give away a portion of their assets while retaining sufficient assets to pay for their medical care during the period of ineligibility that Medicaid imposes as a penalty for such gifts. But by the time the mother applied for Medicaid in September 2008, the Alaska legislature had enacted legislation with the retroactive effect of preventing the kind of estate planning the mother had attempted through her gift. The State temporarily denied the mother's application. The son appealed pro se on behalf of his mother, who died in 2009. Upon review, the Supreme Court found that the Alaska legislature's retroactive change to the Medicaid eligibility rules was valid. The Court thus affirmed the State's temporary denial of the mother's application.

In 2002, the superior court appointed a professional conservator for a mother suffering from dementia. Her daughter, Appellant Evelyn Foster (who also served as special advocate), resisted the appointment. From 2002 onward, Appellant engaged in wide-ranging legal challenges to the conservator’s handling of her mother’s conservatorship. In response, the conservator incurred large legal fees, paid by the estate, in defending its actions. After the mother’s death, the superior court approved the conservator’s final accounting. The court recognized flaws in the conservator’s management of the mother’s property, including a breach of fiduciary duty. But based on a "prevailing party analysis," the court approved reimbursement from the mother’s property for the full attorney’s fees the conservator expended in defending itself. Because the Supreme Court concluded that certain of the superior court’s factual findings might be inconsistent, the Court remanded the case for the superior court to clarify its findings or make them consistent. And because it was error to evaluate attorney’s fees under the prevailing party standard, The Court remanded for reconsideration of attorney’s fees. In all other respects the Court affirmed the decision of the superior court.