Durham v. Durham

728 S.E.2d 627, 291 Ga. 231
CourtSupreme Court of Georgia
DecidedJune 18, 2012
DocketS12A0537; S12A0607
StatusPublished
Cited by19 cases

This text of 728 S.E.2d 627 (Durham v. Durham) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Durham v. Durham, 728 S.E.2d 627, 291 Ga. 231 (Ga. 2012).

Opinions

Nahmias, Justice.

The question presented by these two cases is whether appeals that involve the proper interpretation of a trust provision come within this Court’s general appellate jurisdiction over “equity cases,” Ga. Const. of 1983, Art. VI, Sec. VI, Par. Ill (2), because the resolution of that legal issue will affect the administration of the trust. Consistent with our precedent on this question, we conclude that such cases do not come within our equity jurisdiction.

1. These cases arise from a declaratory judgment action filed by trustee William E. Callaway, Jr., seeking to determine the effect of an in terrorem clause in an express trust. The donor, Marjorie H. Durham, executed the inter vivos trust in 2000, naming herself as a beneficiary and her four children as residual beneficiaries. Mrs. Durham died in 2009. In 2010, the trustee filed a complaint for declaratory judgment against the four trust beneficiaries, seeking an order declaring that three of the beneficiaries, Wallace Durham, Hugh Durham, and Lucinda Durham Willard, had forfeited their respective interests in the trust estate under the in terrorem clause and that the entirety of the estate should therefore be distributed to the fourth beneficiary, Lawrence Durham.1 Lawrence filed a counterclaim and a cross-claim and later moved for summary judgment, alleging that because he was the only child who did not violate the in terrorem clause, he is the sole beneficiary of the residue of the trust estate. Lucinda also filed a motion for summary judgment, alleging that she had not violated the in terrorem clause and remains a valid beneficiary of the trust. On July 6, 2011, the trial court granted Lucinda’s motion for summary judgment, and on July 12, the court denied Lawrence’s motion for summary judgment.

Case No. S12A0537 is Lawrence’s appeal of the denial of his motion for summary judgment. After the trial court certified its ruling for immediate review, Lawrence filed an application for interlocutory appeal in the Court of Appeals, which transferred the application to this Court. We granted the application to address whether this Court has subject matter jurisdiction over the appeal as an “equity case” and, if so, whether the trial court erred in denying Lawrence’s motion for summary judgment. Case No. S12A0607 is [232]*232trustee Callaway’s appeal of the trial court’s grant of Lucinda’s motion for summary judgment. The trustee filed a direct appeal in the Court of Appeals, which again transferred the case to this Court. We conclude, however, that these cases do not come within the Supreme Court’s appellate jurisdiction over “equity cases.”

2. For more than two decades, this Court has consistently held that our appellate jurisdiction over “equity cases” is limited to cases in which a specific substantive issue raised on appeal involves equitable relief rather than questions of law.

Whether an action is an equity case for the purpose of determining jurisdiction on appeal depends upon the issue raised on appeal, not upon how the case is styled nor upon the kinds of relief which may be sought by the complaint. That is, “equity cases” are those in which a substantive issue on appeal involves the legality or propriety of equitable relief sought in the superior court — whether that relief was granted or denied. Cases in which the grant or denial of such relief was merely ancillary to underlying issues of law, or would have been a matter of routine once the underlying issues of law were resolved, are not “equity cases.”

Beauchamp v. Knight, 261 Ga. 608, 609 (409 SE2d 208) (1991). Accord, e.g., Redfearn v. Huntcliff Homes Assn., 271 Ga. 745, 747-749 (524 SE2d 464) (1999); Saxton v. Coastal Dialysis & Medical Clinic, 267 Ga. 177, 178-179 (476 SE2d 587) (1996); Pittman v. Harbin Clinic Professional Assn., 263 Ga. 66, 66 (428 SE2d 328) (1993).

The parties and the dissent contend that because the resolution of these cases will affect the administration of Mrs. Durham’s trust by controlling how the trustee should distribute the trust property among the four beneficiaries, the cases come within our equity jurisdiction. The parties cite a statute which says that “[t]rusts are peculiarly subjects of equity jurisdiction” and that “[a]ctions concerning the construction, administration, or internal affairs of a trust shall be maintained in superior court,” OCGA § 53-12-6 (a), (b), and note that the Constitution gives superior courts exclusive jurisdiction in “equity cases.” Ga. Const. of 1983, Art. VI, Sec. IV, Par. I. The dissent cites similar materials regarding the equitable nature of trusts and trust remedies. See Dis. Op. at 237.

However, in Warren v. Board of Regents of the University System of Georgia, 272 Ga. 142 (527 SE2d 563) (2000), we flatly rejected the argument that “cases involving the administration of trusts are always considered equitable” for purposes of appellate jurisdiction. Id. at 144. The issue raised on appeal in Warreh involved standing to [233]*233enforce a trust, and the Court’s reasoning followed Beauchamp and spurned the view that appeals related to trusts are to be considered any differently than other appeals involving our equity jurisdiction.

[A]s this Court’s precedent makes clear, it is not the relief requested, or any classification or treatment of the case in the court below, but the issue presented on appeal that controls [our jurisdiction]. The cases cited by the parties in support of the proposition that cases involving the administration of trusts are always considered to be equity cases, regardless of the appellate issues, were decided prior to the clarification of our jurisdiction in Pittman and Beau-champ. . . . The principles of Pittman and Beauchamp control; this Court’s equity jurisdiction is invoked when the primary issue raised on appeal is equitable.

Warren, 272 Ga. at 144.

Thus, under our jurisdictional precedent, “[f]or a matter to come within this Court’s equity jurisdiction, the lower court must have rendered a judgment based upon equitable principles, and that decision must be the primary issue on appeal,” even if the case involves a trust. Warren, 272 Ga. at 145. We unanimously reiterated this point two years ago in Reeves v. Newman, 287 Ga. 317 (695 SE2d 626) (2010), which relied on Warren, to return a case involving the imposition of an implied trust to the Court of Appeals because the appeal presented only legal questions, again rejecting the argument that cases involving the administration of trusts are always considered equitable on appeal. See Reeves, 287 Ga. at 318-319.

Our jurisdictional treatment of trust cases is consistent with our treatment of other types of cases involving equity. For example, injunctions are the quintessential form of equitable relief, see OCGA § 9-5-1 (“Equity, by a writ of injunction, may restrain [certain proceedings and acts].”), and actions seeking an injunction must therefore be brought in superior court. See OCGA § 15-6-8

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Cite This Page — Counsel Stack

Bluebook (online)
728 S.E.2d 627, 291 Ga. 231, Counsel Stack Legal Research, https://law.counselstack.com/opinion/durham-v-durham-ga-2012.