The recent opinion by the Appellate Division, Third Department, in In re Strom Irrevocable Trust III, 2022 NY Slip Op 01356, provides a cautionary tale to estate litigators who conduct SCPA 1404 examinations in the face of a trust instrument’s in terrorem clause. While in terrorem clauses are strictly construed, the Appellate Division found that the subject clause had been triggered as a result of conduct engaged in by the respondent during the course of a probate proceeding regarding the grantor’s will. Ilene S. Cooper discusses the decision in our latest post.
Continue Reading Third Department Examines In Terrorem Clause
Appellate Division Addresses the Removal of a Fiduciary
While the removal of a fiduciary has long been the subject of Surrogate’s Court opinions, it is not often that the Appellate Division weighs in on the issue. However, in Matter of Epstein, the Second Department did just that, and issued an opinion that serves as an important guidepost for the kind of conduct that warrants removal. Ilene Cooper discusses the decision in our latest post.
Continue Reading Appellate Division Addresses the Removal of a Fiduciary
The Remedy of Eviction in the Surrogate’s Court
When thinking of the Surrogate’s Court, jurisdiction over eviction proceedings does not normally come to mind. Yet, over the past 18 months, the Surrogates of New York and Bronx counties have found cause to order an eviction from estate or trust property in order to facilitate its sale. Ilene Cooper discusses those cases in our latest post.
Continue Reading The Remedy of Eviction in the Surrogate’s Court
Voiding a Stipulation of Settlement – Not as Simple as Changing Your Mind
In the recent decision of Matter of Hassine, the New York County Surrogate’s Court addressed a motion to vacate two pre-trial stipulations entered into by the movants’ prior counsel. Ilene Cooper discusses the case in our latest post.
Continue Reading Voiding a Stipulation of Settlement – Not as Simple as Changing Your Mind
Fiduciary Self-Dealing
One of the most fundamental duties of a fiduciary is the duty of loyalty. That is, every fiduciary must administer the estate or trust subject to his or her stewardship solely in the interests of the beneficiaries. If a fiduciary engages in self-dealing, that duty is breached. In Matter of Smith, the Surrogate’s Court, Albany County, recently addressed the liability attendant to fiduciary self-dealing . Ilene Cooper discusses the decision in our latest post.
Continue Reading Fiduciary Self-Dealing
Wrongdoer Deprived of Elective Share
Pursuant to the provisions of EPTL 5-1.1-A, every surviving spouse of a domiciliary decedent is entitled to a statutory right of election. While a surviving spouse may be disqualified from an elective share under any one of the circumstances enumerated in EPTL 5-1.2, the Surrogate’s and Appellate Courts have crafted a further ground for forfeiture when equity so requires. Such was the result in Matter of Berk, recently decided by the Surrogate’s Court, Kings County. Ilene Cooper discusses the decision in our latest entry.
Continue Reading Wrongdoer Deprived of Elective Share
Releases: End of the Road or Just a New Beginning?
The fiduciary who thinks a receipt and release is the answer to all future claims for an accounting and liability may have a surprise in store. Over the past several months, Surrogates have explored the issue of receipts and releases, and have provided insight into just how far they will go to “save the day.” The New York County Surrogate’s Court’s recent decision in Matter of Ingraham is a case in point. Ilene Cooper discusses the decision in our latest post.
Continue Reading Releases: End of the Road or Just a New Beginning?
On Its Own Motion
While most decisions rendered by the Surrogate’s Court result from an affirmative request for relief, occasionally the court will address an issue on its own motion when justice or the exercise of its inherent or statutory power requires. In our latest post, Ilene Cooper examines two recent opinions wherein the Surrogate’s Court again acted on its own initiative to achieve what it considered the proper result.
Continue Reading On Its Own Motion
Fiduciary Imprudence: When the Sale of an Asset Results in a Surcharge
Although one of the many duties of an executor is to marshal and appraise estate assets, and, depending on the terms of the governing instrument, liquidate them for purposes of distribution, the fulfillment of these duties may, at times, result in fiduciary liability. That was the case Matter of Billmyer, a recent decision emanating from the Second Department. Ilene Cooper discusses the decision in our latest entry.
Continue Reading Fiduciary Imprudence: When the Sale of an Asset Results in a Surcharge
Lessons to be Learned From the Power of Attorney
Powers of attorney and trust instruments have each been the subject of many an estate plan. They each have also been the subject of multiple estate litigations. In combination, the two have served as fodder for controversies surrounding the agent’s authority over the trust and its terms. Two decisions — Matter of Goetz and Matter of Perosi v. LiGreci — have addressed the issue, albeit with different results. Both decisions provide valuable instruction for drafters and litigators. Ilene Cooper discusses these cases in our latest entry.
Continue Reading Lessons to be Learned From the Power of Attorney