Preview:

IN THE COURT OF APPEALS OF TENNESSEE AT NASHVILLE
December 5, 2000 Session IN RE: THE ESTATE OF LESTER HILL DOYLE AND THE ESTATE OF EDGAR J. DOYLE v. WILLIAM L. HUNT
Appeal from the Probate Court for Davidson County No. 93P211 Frank G. Clement, Jr., Judge

No. M1997-00179-COA-R3-CV - Filed April 26, 2001

The beneficiaries of the Edgar J. Doyle estate and trust petitioned the court for removal of the executor/trustee of the estates and trusts of Lester Hill Doyle and Edgar J. Doyle for, inter alia, failure to timely file the required inventories and accountings of both estates. Finding that the executor/trustee breached his fiduciary duty, the trial court removed the executor/trustee and appointed a third party not nominated in either will as the successor executor/trustee in both estates. The executor/trustee alleges error with his removal without an evidentiary hearing and the court's appointment of the successor trustee. We reverse. Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Probate Court Affirmed; and Remanded DAVID R. FARMER , J., delivered the opinion of the court, in which ALAN E. HIGHERS and HOLLY K. LILLARD, J.J., joined. David D. Peluso, Hohenwald, Tennessee, for the appellant, William L. Hunt. Thomas H. Ware, Nashville, Tennessee, for the appellees, The Estate of Lester Hill Doyle and The Estate of Edgar J. Doyle. OPINION Lester Hill Doyle (Mrs. Doyle), mother of Edgar J. Doyle (Mr. Doyle), died testate on March 21, 1991. On April 29, 1991, Mrs. Doyle's will was admitted to probate. Mrs. Doyle left her entire estate to a trust, and she nominated Mr. William L. Hunt (Mr. Hunt) to serve as trustee. Pursuant to Mrs. Doyle's will, Mr. Doyle was appointed to serve as executor of the estate. Mr. Doyle died testate in February of 1993, and his will was admitted to probate on February 16, 1993. Mr. Doyle left his entire estate, which included the assets received from Mrs. Doyle's estate, to a trust. At his death, Mr. Doyle was survived by five children, Rodney Doyle, Lori Doyle,

Barbara Doyle, Russell Doyle, and Nancy Doyle (the beneficiaries), all of whom were over the age of majority. Pursuant to Mr. Doyle's will, Mr. Hunt was appointed to serve as executor of Mr. Doyle's estate. Additionally, by order of the court, Mr. Hunt was appointed to serve as administrator d.b.n. of Mrs. Doyle's estate in place of Mr. Doyle, who died while serving as executor. On April 15, 1994, notice was sent to Mr. Hunt, as executor of Mr. Doyle's estate, informing him that the required annual accounting of Mr. Doyle's estate had not been timely filed. On May 31, 1994, Mr. Hunt received a citation to appear before the Probate Court for Davidson County to show cause why he had failed to timely file the accounting as required by law. On June 10, 1994, Mr. Hunt filed a Settlement Continuance Affidavit in which he requested an additional six months to file the required accounting, by no later than December 30, 1994. On December 30, 1994, Mr. Hunt again petitioned the probate court for additional time in which to file his accounting, requesting an additional ninety days, by no later than March 30, 1995. By March 30, 1995, however, no accounting had been filed. In July of 1996, the beneficiaries of Mr. Doyle's trust filed a petition requiring an inventory and an accounting, and an order requiring such was entered by the trial court on August 13, 1996. On August 15, 1996, Mr. Hunt filed an inventory of the assets of Mr. Doyle's estate and an accounting for that estate from March 1, 1993, through June, 1996. Mr. Hunt did not file an inventory or accounting for Mrs. Doyle's estate. On October 29, 1996, the beneficiaries of Mr. Doyle's trust filed a petition requesting that Mr. Hunt be removed as executor of Mr. Doyle's estate; that he be removed as trustee of Mr. Doyle's trust; and for an inventory and accounting of the assets of Mr. Doyle's estate. The beneficiaries further requested that the court enter a temporary restraining order against Mr. Hunt to enjoin and restrain him from making further disbursements from Mr. Doyle's estate pending a hearing on their petition to have Mr. Hunt removed. In November of 1996, the trial court denied the beneficiaries' request for a temporary restraining order, but it directed Mr. Hunt to file inventories and accountings for Mrs. Doyle's and Mr. Doyle's estates from the inception of his service until the present; to itemize all services rendered and compensation received from both estates; to cease distributions from either estate, unless for the preservation of assets, without court approval or agreement of the parties; and to cease payment of fees to himself from either estate until further order of the court. On December 4, 1996, the beneficiaries filed a petition for show cause order and for the removal of Mr. Hunt as executor/trustee, citing as cause Mr. Hunt's failure to file an inventory or accounting for either estate, despite the court's November, 1996, order. The court continued the beneficiaries' request for removal of Mr. Hunt, but it ordered Mr. Hunt to comply with the court's November, 1996, order and to produce the original bank statements and cancelled checks for the estate accounts, as required by law. The court required the filing of these documents by January 10, 1997. Mr. Hunt filed a notice with the court on January 10, 1997, informing the court that he had requested the original documents for the estate accounts from the financial institution maintaining the account. On January 16, 1997, the beneficiaries renewed their petition for show cause order and for removal of Mr. Hunt as executor/trustee. On January 27, 1997, Mr. Hunt filed an inventory and -2-

accounting of Mr. Doyle's estate from March 1, 1993, through August 1, 1996. After a review of the inventory and accounting filed by Mr. Hunt, the trial court removed Mr. Hunt as executor/trustee of the estates of Lester Hill Doyle and Edgar J. Doyle. The court appointed Mr. Ronald K. Nevin (Mr. Nevin) as Administrator c.t.a. in both estates.1 The court further directed Mr. Hunt to file a complete and final accounting in both estates within thirty days, but by no later than March 3, 1997. In March of 1997, Mr. Hunt filed a motion to alter or amend the court's order wherein Mr. Hunt was removed as executor/trustee of Mrs. Doyle's and Mr. Doyle's estates, which the court denied.2 Mr. Hunt appeals the judgment of the trial court, raising, as we perceive them, the following issues for our review: 1. Whether the trial court erred in removing Mr. Hunt as executor/trustee of the estates of Lester Hill Doyle and Edgar J. Doyle. Whether the trial court erred in failing to join all parties in interest by not making the alternate or successor trustees named in Mr. Doyle's will parties to this action. Estate of Lester Hill Doyle Lester Hill Doyle died testate on March 21, 1991. Her Last Will and Testament, probated on April 29, 1991, contained the following provisions: ARTICLE II All the rest, residue and remainder of my property, real and personal and wherever situated, including all lapsed devises, and including any property over which I may have a power of appointment, I give and devise to WILLIAM L. HUNT, as Trustee under a certain Trust Agreement, The Lester H. Doyle Trust Agreement, dated the 28th day of November, 1990, and executed prior to the execution of this Will between myself as Grantor and William L. Hunt as Trustee creating a trust to be added to and commingled with the principal of the trust created therein or distributed in whole or in part as if it had been an original part thereof, provided that
On De cember 2 2, 1999 , Mr. Ne vin resigned as A dministrator c .t.a. in both estates. The co urt subsequ ently appointed M r. Thomas H . Ware to serve as suc cessor administrator of these estates. Prior to the trial court's order denying Mr. Hunt's motion to alter or amend the trial court's previous order, Mr. Nevin filed a motion to re quire M r. Hunt to turn over certain tax record s and other financial doc uments. Five d ays later, Mr. Nevin filed a petition for contempt against Mr. Hunt, citing as cause Mr. Hunt's failure to turn over the tax records and financial documents. Mr. Hunt filed a response in which he stated that he had searched for and could not locate the requested records. A hearing on the petition for contempt was held in July of 1997 which resulted in the trial court's ordering Mr. Hunt to cooperate with Mr. Nevin in the preparation of the 1996 incom e tax returns for both estates. Mr. Hunt filed a motion to stay proceedings with the trial court. The trial court ruled that the petition for c ontempt w ould be stayed, p ending ap peal.
2 1

2.

-3-

if that Trust Agreement is revoked after the date of this instrument and before my death, the Trustee shall hold and dispose of the property herein devised as a separate trust upon the terms set forth in that Trust Agreement as it existed on and including any amendments to the date of this Will. ARTICLE III I direct that EDGAR JACOB DOYLE be named Executor of my estate to serve without bond; and I hereby give and grant unto my Executor full right and power to hold, manage, invest, reinvest, property, whether real, personal or mixed, tangible or intangible, wherever situated, of which I may die seized or possessed; and I further give and grant unto my Executor the right to otherwise dispose of the assets of my estate at public or private sale upon such terms or conditions she [sic] may see fit, and the further right to make, execute and deliver any and all contracts, options, deeds or other instruments carrying out the authority herein given which he may deem necessary or proper for the convenient or advantageous management and settlement of my estate; and she (sic) may make distribution in cash or in kind, without regard for any law or statute limiting the powers of the Executor. In the event EDGAR JACOB DOYLE should predecease me or for any reason fail to qualify as Executor, or having qualified is unable to continue as such Executor, then and in either of such event, I hereby appoint WILLIAM L. HUNT, to serve as my Successor Executor, to serve without bond, and with the same powers bestowed above. Pursuant to Mrs. Doyle's will, Mr. Hunt was appointed to serve as Administrator d.b.n. for Mrs. Doyle's estate by order of the court, dated February 16, 1993, as a result of the death of Mr. Doyle. In October of 1996, the beneficiaries filed the following captioned petition with the probate court: "PETITION FOR REMOVAL OF TRUSTEE, FOR TERMINATION AND DISTRIBUTION OF TRUST, AND FOR INVENTORY AND ACCOUNTING ON THE ESTATE OF EDGAR J. DOYLE AND ESTATE OF LESTER HILL DOYLE." However, in this petition, the beneficiaries did not pray for the removal of Mr. Hunt as executor/trustee from the Lester Hill Doyle Trust or Estate. Regardless, an order removing Mr. Hunt as executor/trustee of both the estate of Lester Hill Doyle and Edgar J. Doyle was entered February 21, 1997, and was affirmed in an order filed on June 18, 1997. On appeal, Mr. Hunt argues that no formal proceedings have been filed against him as trustee of the Lester Hill Doyle Trust, and therefore, the probate court did not have jurisdiction to remove him as trustee of that estate. We agree. A trial court is not bound by the title of a pleading, but rather the court is to give effect to the pleading's substance and treat it according to the relief sought therein. See Norton v. Everhart, 895 S.W.2d 317 (Tenn. 1995); Fann v. City of Fairview, 905 S.W.2d 167 (Tenn. Ct. App. 1994); 20 Tenn. Jur. Pleading

Download DoyleLesterHill.pdf

Tennessee Law