Guardianship Of Cheryl Russell: Earl Russell v. Melanie Reynolds

CourtCourt of Appeals of Washington
DecidedSeptember 4, 2019
Docket51591-1
StatusUnpublished

This text of Guardianship Of Cheryl Russell: Earl Russell v. Melanie Reynolds (Guardianship Of Cheryl Russell: Earl Russell v. Melanie Reynolds) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Guardianship Of Cheryl Russell: Earl Russell v. Melanie Reynolds, (Wash. Ct. App. 2019).

Opinion

Filed Washington State Court of Appeals Division Two

September 4, 2019

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON

DIVISION II In the Matter of the Guardianship of: No. 51591-1-II

CHERYL RUSSELL,

An Incapacitated Person. UNPUBLISHED OPINION

LEE, J. — Earl Russell appeals the superior court’s denial of his motion to revise a superior

court commissioner’s order denying his motion for CR 60(b) relief from an order approving the

guardian’s reports in his mother’s guardianship proceeding. Earl1 argues that the superior court

abused its discretion in denying his motion to revise because his mother’s guardian never provided

notice of the underlying proceeding that led to the entry of an order approving the guardian’s

reports. He also challenges the superior court’s subject matter jurisdiction over his mother’s trust

and two of the superior court’s findings of fact in its order on revision. We affirm.

FACTS

A. THE LIVING TRUST

Cheryl Russell established a revocable living trust in 2008. The trust instrument named

Cheryl as the trustee and provided Cheryl exclusive power during her lifetime to control and direct

1 Because multiple parties share the last name “Russell,” we refer to the parties by their first names for clarity. We mean no disrespect. No. 51591-1-II

payments, remove trust property, and amend or revoke the trust. The trust also provided for the

distribution of Cheryl’s remaining property to her children upon her death, including to her son

Earl.

In 2011, Cheryl amended the trust and designated Earl as the successor trustee in the event

of her disability. Under the terms of the trust, Cheryl shall be deemed disabled upon a court

determination that she is incompetent, incapacitated, or otherwise unable to effectively manage

her property or financial affairs.

B. ORDER APPOINTING GUARDIAN

In May 2016, Earl filed a petition for guardianship, wherein he alleged that Cheryl, who

was 76 years old at the time, was exhibiting signs of dementia and was unable to manage her

personal and financial affairs. Earl asked the superior court to appoint a guardian of Cheryl’s

person and estate.

The superior court appointed a guardian ad litem (GAL) to meet with Cheryl and prepare

a written report. Following an investigation, the GAL recommended that Cheryl be found

incapacitated and that Anchor Guardianship Services, Inc. be appointed to serve as limited

guardian of Cheryl’s person and full guardian of her estate.

Earl filed an objection to the GAL’s recommendation and asked the superior court to

appoint him as guardian for his mother. The court denied this request and on September 2,

appointed Anchor Guardianship to serve as full guardian of Cheryl’s estate and limited guardian

of her person. In its order appointing Anchor Guardianship, the court entered a finding that “[t]here

is a [L]iving Trust in place to manage most of Cheryl Russell’s financial assets. The trust shall

2 No. 51591-1-II

remain in place for the named trustee to manage assets pursuant to its terms and directions.”

Clerk’s Papers (CP) at 116. The order also authorized the guardian:

To close any financial accounts, including bank accounts held individually or jointly with another, and to make withdrawals, deposits or transfer of funds into or out of any such accounts, without the necessity of obtaining the written authority of any other person named on any such joint accounts and opening guardianship accounts for the Incapacitated Person. The signature of the guardian of the estate holds the full force and effect of the signature of CHERYL RUSSELL with all the rights and authority and access to the asset as the signature of CHERYL RUSSELL would provide, whether the account is individually held by CHERYL RUSSELL or held jointly with another person;

....

. . . To convert all holdings, including but not limited to, savings accounts, money market accounts, IRAs, mutual funds, stocks, bonds, cash, automobiles, mobile homes, and any other personal property, including pension annuities, 401Ks and any other income, into the name of said guardian for the purposes of the guardianship.

CP at 119-20.

The superior court’s order identified the due date as December 1 for the guardian’s 90 day

reports, which included the guardian’s initial personal care plan, inventory, and proposed budget.

The order also listed January 6, 2017, as the next court date to review the 90 day reports.

C. EARL’S REQUEST FOR SPECIAL NOTICE

On September 26, 2016, Earl filed a request for special notice pursuant to RCW 11.92.150.2

In his request, Earl identified himself as “A relative of the Incapacitated Person.” CP at 85. He

2 RCW 11.92.150 allows any relative of the incapacitated person in a guardianship proceeding to submit a written request stating the specific action for which he or she request advance notice. If the applicant does not specify which matters for which notice is requested, the guardian or limited guardian “shall provide copies of all documents filed with the court and advance notice of his or her application for court approval of any action in the guardianship.” RCW 11.92.150.

3 No. 51591-1-II

asked for “special notice of all matters, steps, and proceeding described in RCW 11.92.150,

including a copy of all documents filed with the Court and advance notice of any application for

Court approval of any action in the guardianship.” CP at 85.

D. ORDER APPROVING THE GUARDIAN’S 90 DAY REPORTS

On December 2, Anchor Guardianship filed its 90 day reports. The inventory identified a

$6,500 monthly trust fund allowance as part of Cheryl’s monthly income. The inventory also

explained that Cheryl had created a revocable living trust and that Earl was the successor trustee

due to Cheryl’s incapacity. The inventory stated that “Earl Russell, in his role as Trust Manager,

will continue to provide funds from the Trust for IP’s use and benefit, as necessary.” CP at 52.

The inventory also listed the current trust fund balance as approximately $2.5 million. These

reports were not served on Earl at the time they were filed.

On December 21, Anchor Guardianship filed a docket notice for the January 6, 2017,

hearing. The docket notice identified the nature of the January 6 hearing as “APPROVAL OF

FIRST ANNUAL ACCOUNTING.” CP at 23. Anchor Guardianship also filed a petition for

approval of its 90 day reports. The petition requested that Earl, as trustee of Cheryl’s trust,

continue to pay $6,500 per month and to also “pay any expenses that exceed her monthly income”

from the trust. CP at 38. Anchor Guardianship provided Earl a copy of the petition for approval

of 90 day reports and the docket notice of the January 6 hearing.

A hearing on Anchor Guardianship’s petition for approval of its 90 day reports was held

before the superior court on January 6, 2017. Earl did not attend the hearing. The court entered

an order approving Anchor Guardianship’s 90 day reports (1/6/17 order). The 1/6/17 order

4 No.

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