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Exiting Member of LLC May Still Owe Fiduciary Duties

In Villareal v. Saenz, two co-owners of a limited liability company sued each other regarding conduct surrounding a business divorce. 5-20-CV-00571-OLG-RBF, 2021 U.S. Dist. LEXIS 94183 (W.D. Tex. May...

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Court Holds That An Executor May Breach Duties In Making A Non-Pro Rata...

In In re Estate of Stewart, siblings filed claims regarding the administration of their father’s estate. No. 04-20-00103-CV, 2021 Tex. App. LEXIS 3897 (Tex. App.—San Antonio May 19, 2021, no pet....

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Wife’s Fraudulent Transfer Claim Against Husband For Transferring Business...

In Austin v. Mitchell, a wife filed suit alleging her ex-husband fraudulently transferred a portion of his limited partnership interest in a family limited partnership to a trust for the benefit of his...

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The More The Merrier? Issues Arising From Co-Trustees Administering Trusts

David Johnson presented his paper “The More The Merrier? Issues Arising From Co-Trustees Administering Trusts” to the State Bar of Texas’s Advanced Estate Planning and Probate Course on June 9, 2021....

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Business Divorce: Court Affirms Jury Finding That A Manager Did Not Breach...

In Trinh v. Cent. River Healthcare Group, a brother sued his sister over the management of a PLLC. No. 03-19-00393-CV, 2021 Tex. App. LEXIS 4542 (Tex. App.—Austin June 9, 2021, no pet. history). The...

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Breach of Fiduciary Duty Claims Against Trustees/Managers of Closely-Held...

David F. Johnson presented “Breach of Fiduciary Duty Claims Against Trustees/Managers of Closely-Held Businesses” with Kenneth J. Fair of Wright Close & Barger, LLP, on July 22, 2021, for Strafford...

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Court Discusses De Facto Trustee Status In Texas

In Bird v. Carl C. Anderson, a trust beneficiary sued a defendant for usurping a trustee’s role and breaching fiduciary duties as a de facto trustee. No. 03-21-00140-CV, 2021 Tex. App. LEXIS 5036 (Tex....

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Relative Had Standing To Assert Slayer Statute And Declaration Regarding...

In Lawrence v. Bailey, a son killed his parents with a sledge hammer. No. 01-19-00799-CV, 2021 Tex. App. LEXIS 4716 (Tex. App.—Houston [1st Dist.] June 15, 2021, no pet. history)....By:

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Shareholder Agreements Are Very Powerful In Texas: Parties Should Carefully...

The owners of a corporation may enter into shareholder agreements. In Richie, the Texas Supreme Court stated: “Shareholders of closely-held corporations may address and resolve such difficulties by...

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Texas Court Does Not Have Personal Jurisdiction Over A Trustee Of A Trust...

In JPMorgan Chase Bank, N.A. v. Campbell, a member of a limited partnership sued other partners, including a trustee of a trust, to dissolve the partnership. No. 09-20-00161-CV, 2021 Tex. App. LEXIS...

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Litigating Minority Shareholder Rights - Presentation

David F. Johnson presented his paper “Business Divorce: Minority Shareholder Rights In Texas” to the State Bar of Texas’s Business Disputes Course on September 2-3, 2021. This presentation addressed...

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A Limitation-Of-Liability Clause May Or May Not Be Enforceable For Breach Of...

Parties often add limitation-of-liability clauses to their agreements. These types of clauses can purport to limit a party’s claims or damages or both. ...By:

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Corporate Trustee’s Statements May Suffice For A Statutory Accounting

Trust beneficiaries often request a corporate trustee to prepare a statutory accounting. The Texas Trust Code in Section 113.151 provides that a beneficiary may request a written statement of...

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Court Holds That Shareholder Derivative Suit May Proceed Against An Officer...

In Novedea Sys. v. Colaberry, Inc., co-founders of a business discussed terms of a buy-out, but ended up in litigation. No. 6:20-cv-00180-JDK, 2021 U.S. Dist. LEXIS 152372 (E. D. Tex. August 13,...

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Shareholder Agreements Are Very Powerful In Texas: Parties Should Carefully...

The owners of a corporation may enter into shareholder agreements that address and resolve many disputes. For example, the Texas Supreme Court noted: “Shareholders of closely-held corporations may...

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Court Holds That Promissory Note Did Not Allow Partial Conversion To Equity

In Hotze v. In Mgmt., LLC, family members sued each other over control of a family business. No. 14-18-00995-CV, 2021 Tex. App. LEXIS 5821 (Tex. App.—Houston [14th Dist.] July 22, 2021, no pet....

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Court Reversed Trial Court On Interpretation Of Trust Regarding Per Stirpes...

In In the Interest of Riley Family Revocable Trust, a trustee filed suit for a declaration regarding who takes in the distribution of remaining trust property. No. 13-20-00084-CV 2021 Tex. App. LEXIS...

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Practical Issues Concerning Power of Attorney Transactions - Presentation

David F. Johnson presented his paper “Practical Issues Concerning Power of Attorney Transactions” to the Annual Legal Conference 2021 hosted by the Texas Bankers Association and the Southwest...

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Fiduciary Litigation Update 2020-2021 - Presentation

David Johnson presented his paper entitled “Fiduciary Litigation Update 2020-2021” to the Texas Bankers Association’s Wealth Management & Trust Conference on September 30, 2021. This presentation...

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Court Reverses Receivership In Trust Dispute Where It Failed To Require The...

In Peek v. Mayfield, a beneficiary sued a trustee for breach of fiduciary duty. No. 02-20-00107-CV, 2021 Tex. App. LEXIS 6080 (Tex. App.—Fort Worth July 29, 2021, no pet.)....By:

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