Justia Trusts & Estates Opinion Summaries

Corbin Damjanovich died in February 2024, leaving two adult children, Nicolette and Derek. After his death, Corbin’s sister, Tracy Barlow, and cousin, Carl Openshaw, petitioned for informal appointment as co-personal representatives of his estate in Yellowstone County, Montana. Subsequently, Nicolette and Derek discovered a handwritten, signed document dated December 9, 2015, which appeared to be Corbin’s will. Barlow and Openshaw then sought formal probate of this document, asserting it was a valid holographic will that named Barlow as executor and sole devisee, and expressed Corbin’s wish to establish a trust. The document gave Barlow discretion over the disbursement of funds and assets. The parties stipulated to the authenticity of the handwriting and signature, and that Corbin had capacity. Nicolette objected, arguing the document lacked testamentary intent and did not create a trust or mechanism for distributing the estate, so the estate should pass by intestacy.The Montana Thirteenth Judicial District Court admitted the 2015 document to probate as a valid holographic will, found it created a power of appointment in Barlow, confirmed her as personal representative, and ended Openshaw’s co-appointment. Nicolette appealed, disputing the legal effect of the 2015 writing.The Supreme Court of the State of Montana reviewed the case de novo. It held that the 2015 document was a valid holographic will only for the limited purpose of appointing Barlow as personal representative. The court reversed the lower court’s conclusion that the document created a power of appointment or trust, finding it did not effectively dispose of Corbin’s estate. As a result, the undisposed portion of the estate must pass by intestacy to Corbin’s descendants. The case was remanded for entry of an order of partial intestacy and further administration consistent with Montana’s intestate succession laws. View "In re Estate of Damjanovich" on Justia Law

A married couple established a family trust in 2003, which, after the husband’s death in 2013, split into three sub-trusts. The Potter Exemption Trust (PET) became the owner of approximately 4,000 acres of land and a minority interest in E Bar L Ranch, LLP, which operates a guest ranch on both its own land and land leased from the PET. The wife, Betty, is the income beneficiary of the PET, while the husband’s children from a prior marriage are remainder beneficiaries. The PET’s trustees were initially three friends of the deceased husband, who later appointed successors, including Caitlin Wall and James Stone. Wall is also an employee of E Bar L, and Stone has performed contract work for E Bar L. In 2022, the PET and E Bar L entered into a new five-year lease for the PET land, with Wall participating as both PET trustee and E Bar L employee.Betty filed a petition in the Montana Fourth Judicial District Court seeking Wall’s removal as trustee, alleging a conflict of interest due to Wall’s dual roles, and requesting access to E Bar L’s financial records to investigate potential breaches of trust. She also challenged the validity of the 2022 lease. The PET, E Bar L, and other interested parties countered, seeking declaratory judgment affirming the trustees’ authority and the lease’s validity. The District Court granted summary judgment against Betty on all but one issue, finding no conflict of interest, denying her access to E Bar L’s financials, upholding the lease, and ruling that the trust instrument did not require three trustees or allow Betty to appoint successors.The Supreme Court of the State of Montana reversed the District Court’s summary judgment on the issues of conflict of interest, the validity of the lease, access to financial information, and Wall’s removal as trustee, holding that genuine issues of material fact precluded summary judgment. The Court affirmed the District Court’s ruling that the trust instrument did not mandate three trustees or permit Betty to appoint successors. The case was remanded for further proceedings. View "In re Potter Exemption Trust" on Justia Law

Carol Hudson died in 2018, leaving most of her estate to her sons through her will and a revocable trust. Her long-term partner, Doug Nail, claimed entitlement to an elective spousal share of her estate, asserting that he and Carol were common-law spouses under Montana law. Carol’s son, Alan Johnson (AJ), disputed this claim, arguing that Carol did not consider Doug her husband and had consistently identified herself as single on official documents. The couple had lived together in Montana for nearly a decade, shared a home, and were viewed by many friends and family as married, though Carol kept her own name and filed taxes as single.The Eighteenth Judicial District Court of Gallatin County consolidated probate and declaratory relief actions and held a bench trial. After hearing conflicting testimony from friends, family, and the parties themselves, the District Court found that Doug and Carol were common-law spouses. The court credited testimony that Carol and Doug had mutually consented to a marital relationship and held themselves out as married to their community, despite evidence that Carol identified as single on financial and medical documents. The District Court concluded that Doug was entitled to seek an elective share of Carol’s estate.The Supreme Court of the State of Montana reviewed the District Court’s findings for clear error and its legal conclusions for correctness. The Supreme Court held that substantial credible evidence supported the District Court’s findings that Doug and Carol mutually consented to marriage and confirmed their marriage by public repute. The Supreme Court affirmed the District Court’s ruling, holding that Doug and Carol were common-law spouses at the time of Carol’s death, and Doug was entitled to pursue an elective share of the estate. View "In re Estate of Hudson" on Justia Law

David Wolfe owned property in Columbia Falls, Montana. In 2000, he executed a will leaving the property to his daughter, Wendy Rae Wolfe. In 2018, David signed a beneficiary deed transferring the property to his brother, Philip M. Wolfe. David passed away in 2023, and Wendy began residing on the property, believing it was hers per the will. Philip, however, claimed ownership based on the 2018 deed and issued a notice for Wendy to vacate.Wendy filed a pro se quiet title action in December 2023, alleging that the will conveyed the property to her and that Philip obtained the deed fraudulently, either by forging David’s signature or through undue influence. Philip counterclaimed for declaratory judgment and filed a motion for summary judgment. The District Court of the Eleventh Judicial District, Flathead County, granted summary judgment in favor of Philip, concluding that Wendy failed to produce a legally meaningful challenge to the deed.The Supreme Court of the State of Montana reviewed the case. The court found that Wendy presented sufficient evidence to raise genuine issues of material fact regarding undue influence and the validity of David’s signature on the deed. The court noted that Wendy’s evidence, including affidavits and personal knowledge of David’s intentions, was enough to warrant a jury’s consideration. The court concluded that the District Court erred in granting summary judgment to Philip and reversed the decision, remanding the case for further proceedings. View "In re Estate of David Wolfe" on Justia Law

Ian Elliot, Cindy Elliot, and their mother, Ada Elliot, were partners in StarFire, a limited partnership owning property in Gallatin County. Cindy managed StarFire and sought to remove Ian as a general partner. Ian was appointed Ada’s guardian, and Joyce Wuertz was appointed as Ada’s conservator. Ian sued Cindy for misappropriation of funds and sought to remove Wuertz as conservator, but his motions were denied. Ada’s will divided her estate equally between Ian and Cindy, but due to their strained relationship, a special administrator was appointed instead of Ian. Ian’s subsequent motions to disqualify the special administrator were also denied.The Thirteenth Judicial District Court, Yellowstone County, appointed Andrew Billstein as the special administrator of Ian’s estate. The Objectors (Jenny Jing, Alice Carpenter, and Mike Bolenbaugh) filed an untimely appeal against this appointment, which was declined. The Objectors also opposed the settlement agreements proposed by the Special Administrator, which aimed to resolve ongoing litigation involving Ian’s estate. The District Court approved the settlements, finding them reasonable under the Pallister factors, and denied the Objectors’ motion for relief under M. R. Civ. P. 59 and 60.The Supreme Court of the State of Montana reviewed the case and affirmed the District Court’s decisions. The court held that the District Court had subject matter jurisdiction to approve the settlement agreements and did not abuse its discretion in doing so. The court found that the settlements were reasonable, considering the strength of the cases, the risk and expense of further litigation, and the views of experienced counsel. The court also upheld the District Court’s denial of the Objectors’ post-judgment relief motions. View "In re Estate of Elliot" on Justia Law

Sidney and Julian Helvik, who have lived on their family ranch since 1947, sold a portion of their ranch to Wesley and Karen Tuscano in 2018. In 2020, the Helviks agreed to sell the remainder of the ranch to the Tuscanos under an agreement that included a promissory note and provisions for the Tuscanos to assist the elderly Helviks with end-of-life issues. The Helviks signed a quitclaim deed, but the Tuscanos later had them sign a gift deed, which transferred the ranch without consideration. The Tuscanos never made any payments under the agreement and used the gift deed to obtain a mortgage on the ranch.The Helviks filed a complaint in the District Court of the Sixth Judicial District, Sweet Grass County, seeking to void the agreement and the gift deed, alleging undue influence and fraud. The Tuscanos counterclaimed and filed a third-party complaint against Jacqueline Conner, alleging tortious interference and abuse of process. The District Court granted summary judgment in favor of Conner on the tortious interference claim and excluded evidence of an Adult Protective Services investigation and an oral agreement to transfer land.The Supreme Court of the State of Montana reviewed the case. It affirmed the District Court's decision to rescind the agreement based on its equitable powers, noting the unique fiduciary duty in grantor-support agreements. The court found no abuse of discretion in excluding evidence of the APS investigation and the oral agreement. The court also held that the Tuscanos waived their argument regarding jury instructions on undue influence by not objecting at trial. The summary judgment in favor of Conner was upheld due to the lack of evidence of damages. The court declined to award attorney fees to Conner under M. R. App. P. 19(5). The District Court's orders and judgments were affirmed. View "Helvik v. Tuscano" on Justia Law

In 1999, Rosemary Colver executed the Colver Land Trust agreement, naming her five children as beneficiaries and appointing Bruce and Karin as co-trustees. Rosemary and her husband, Richard, retained life estates in any real property held by the Land Trust. The Land Trust sold and purchased properties over the years, with the final property being the Sanders County Property, purchased by Rosemary and Richard in 2010. Richard quitclaimed his interest to Rosemary in 2012, and Rosemary's will devised the Sanders County Property in trust for Richard and their daughter, Gretchen, allowing them to reside there until their deaths.After Rosemary's death in 2017, Bruce and Gretchen were appointed co-personal representatives of her estate. The final accounting identified the Sanders County Property as an estate asset. In 2023, Gretchen filed a petition to correct the distribution of the Sanders County Property, claiming a life estate per the will. Bruce and the Land Trust filed a cross-motion, asserting the property belonged to the Land Trust, alleging it was purchased with Land Trust funds.The Twentieth Judicial District Court, sitting in probate, denied Bruce and the Land Trust's motion for summary judgment and granted Gretchen's motion, ruling that the Land Trust did not equitably own the Sanders County Property and that Gretchen had a valid life estate per the will.The Supreme Court of the State of Montana reviewed the case. It held that the probate court lacked subject matter jurisdiction to adjudicate the Land Trust's claim of equitable ownership, as such claims are equitable in nature and fall outside the probate court's limited jurisdiction. The Supreme Court reversed the probate court's decision regarding the Land Trust's claim and remanded with instructions to dismiss it. However, it affirmed the probate court's ruling that Gretchen had a valid life estate in the Sanders County Property as per the will. View "In re R.E. Colver" on Justia Law

Richard Edward Paul died intestate on October 3, 2022, leaving behind four daughters: Richann L. Ray, Dawn M. Paul Charron, Shelbi L. Paul, and Danita J. Paul. Richann was appointed as the Personal Representative of the Estate with the consent of her sisters. The Estate's significant asset was a cabin in Lincoln, Montana. The heirs could not agree on the disposition of the cabin, leading to conflict. Shelbi filed a motion for a temporary restraining order, alleging that Richann intended to sell the cabin contrary to their parents' wishes. The District Court denied the motion and ordered mediation for any disputed issues.The heirs continued to discuss the cabin's disposition, and Shelbi filed a motion to enforce a settlement agreement based on email communications, which the District Court denied, finding no valid settlement agreement. The heirs proceeded to mediation, resulting in a General Release and Mediated Settlement Agreement, which outlined a procedure for selling the cabin to one or more heirs within 30 days of an appraisal. The cabin was appraised at $234,000, but none of the heirs submitted a bid within the 30-day period. Richann listed the cabin for sale and later filed a motion to approve its sale for $106,100, considering the estimated repair costs. Shelbi opposed the motion, arguing the cabin was not fairly marketed.The Montana Eighth Judicial District Court approved the sale, finding the Agreement resolved all issues and the sale price was reasonable and in the best interest of the Estate. Shelbi filed motions to reconsider, which the District Court denied. Shelbi appealed the order approving the sale.The Montana Supreme Court affirmed the District Court's decision, concluding that the Agreement did not address the situation where no heir qualified to purchase the cabin within the specified time. The Court found that Richann, as Personal Representative, had the statutory authority to sell the cabin and that the sale was reasonable and in the best interest of the Estate. View "In re Estate of Paul" on Justia Law

Estel Neven Zugg passed away in January 2021. Donna Katherine Finley filed a petition in September 2021, requesting the District Court to open formal intestacy proceedings, determine Neven's heirs, and appoint her as the estate's personal representative, claiming she was Neven's common law wife. Neven's sons, Austin and Kolby Zugg, participated in the proceedings. Katherine testified that she and Neven considered themselves married since 2016 and lived between North Dakota and Arizona, with occasional stays in Montana.The Fifteenth Judicial District Court held a bench trial in August 2022. Testimonies from Neven's friends and family indicated that Neven had ties to Montana but primarily lived in North Dakota and Arizona. The court found that Katherine and Neven did not live together in Montana, which does not recognize common law marriages from states that do not recognize them unless the couple resides in Montana.The Supreme Court of the State of Montana reviewed the case. The court affirmed the District Court's decision, concluding that Katherine and Neven did not establish a common law marriage under Montana law. The court emphasized that a relationship begun in a state that does not recognize common law marriages must ripen by residency in Montana to become valid. Since Katherine and Neven never lived together in Montana, their relationship did not meet the requirements for a common law marriage in Montana. The court found no clear error in the District Court's findings and upheld the denial of Katherine's petition. View "In re Estate of Zugg" on Justia Law

Warren Dan Eddleman passed away on August 5, 2022, leaving a will that named Tom Wagoner as the personal representative (PR) and John Pinkerton as the sole devisee. Several creditors, including Eddleman's ex-wife Sandra, daughter Madelyn, sister Jobey, the Eddleman Oar Lock Ranch, LLC, and the Madelyn Lue Eddleman Trust, filed claims against the estate. The PR disallowed some claims and allowed others in part. The PR and the claimants agreed to a first extension of time for the claimants to respond to the disallowances, extending the deadline to June 23, 2023. As the deadline approached, the PR's counsel assured the claimants that he would not seek to bar their claims if a second extension was not granted by the deadline.The District Court of the Thirteenth Judicial District initially granted the second extension but later rescinded it upon John Pinkerton's motion to reconsider, effectively barring the pending creditors' claims. The claimants appealed, arguing that the PR had the authority to extend the timeframe without the devisee's consent, that the devisee's consent had been obtained in a prior memorandum of understanding, and that the estate was estopped from asserting the claims were time-barred based on the PR's counsel's representations.The Supreme Court of the State of Montana reviewed the case and concluded that the PR lacked the authority to unilaterally extend the timeframe for the claimants to respond to the disallowances without the consent of the sole devisee, John Pinkerton. However, the court also found that the estate was equitably estopped from raising a claim processing time-bar defense due to the PR's counsel's assurances to the claimants. The court reversed the District Court's decision and remanded the case for further proceedings, allowing the claimants' petitions for allowance to be considered as timely filed. View "In re Estate of Eddleman" on Justia Law