In Re Succession of Boyter

766 So. 2d 623, 2000 WL 1199246
CourtLouisiana Court of Appeal
DecidedAugust 23, 2000
Docket33,749-CA
StatusPublished
Cited by2 cases

This text of 766 So. 2d 623 (In Re Succession of Boyter) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In Re Succession of Boyter, 766 So. 2d 623, 2000 WL 1199246 (La. Ct. App. 2000).

Opinion

766 So.2d 623 (2000)

SUCCESSION OF Joseph Page BOYTER.

No. 33,749-CA.

Court of Appeal of Louisiana, Second Circuit.

August 23, 2000.
Rehearing Denied September 21, 2000.

*624 Charles W. Strickland, Shreveport, Counsel for Appellant Jerry Wayne Boyter.

Cook, Yancey, King & Galloway by Bernard S. Johnson, Shreveport, Counsel for Appellee James Leslie Boyter.

Shuey, Smith & Reynolds, L.L.C. by John M. Shuey, Jr., Counsel for Intervenor Dunlap and Sons, L.L.P.

Bodenheimer, Jones & Szwak, L.L.P. by James P. Bodenheimer, Counsel for Frances Darlene Boyter Wells and Michael Page Boyter.

Before BROWN, STEWART and GASKINS, JJ.

*625 GASKINS, J.

This appeal in a succession proceeding arises from a judgment which approved a private sale of property after the succession representative had already received the sales proceeds and used them for his own personal benefit. Jerry Wayne Boyter challenges the actions of James Leslie Boyter, his brother and the representative of their father's succession, pertaining to the sale of timber belonging to the estate. Essentially, Jerry contends that James' actions defrauded the estate and that he absconded with the timber sales proceeds. For the reasons set forth below, we reverse the judgment of the trial court.

FACTS

Joseph Page Boyter had four children from his second marriage: James, Frances, Michael, and Jerry.[1] All of them survived Mr. Boyter, who died in January 1997. His will, which was executed in December 1991, left the family home and Mr. Boyter's personal automobile to James. The remainder of Mr. Boyter's property, constituting his residuary estate, was left in equal shares to James and Jerry. James was named executor; Jerry was designated to serve in that capacity if James was unable to do so.

Neither Frances nor Michael was mentioned in Mr. Boyter's will. They successfully challenged their father's will, seeking recognition as forced heirs. See Succession of Boyter, 99-0761 (La.1/7/00), 756 So.2d 1122. After declaring Frances and Michael to be forced heirs, the Louisiana Supreme Court remanded the matter back to the trial court for further proceedings.

While the forced heirship issue was being reviewed by higher courts, James—as testamentary executor—executed without court approval three timber deeds in favor of Dunlap and Sons Timber Co. ("Dunlap") in May and June 1998. He received a total of $230,600 for these timber deeds. In May and June 1998, he wrote checks to himself, also without court approval, in the amount of at least $195,197 from the checking account containing the sales proceeds. In June 1998, James and his wife used the funds obtained from Mr. Boyter's succession to purchase real estate for themselves in Bossier Parish for $175,000.

In July 1998, Jerry filed a petition to remove James as executor based, in large part, upon his sale of the timber and his withdrawal of succession funds, both of which actions were taken without court authority.[2]

In October 1998, Dunlap filed a notice of claim against Mr. Boyter's succession. Dunlap asserted that representation had been made to it that Mr. Boyter's succession owned full interest in the timber; however, it complained that no partition had been recorded in the divorce between Mr. Boyter and his second wife. Dunlap requested appropriate action by the succession representative to perfect title in the timber deeds, i.e., recordation of the partition and legal advertising, or reimbursement of the funds paid pursuant to the timber deeds.

In February 1999, James filed a petition for private sale of the timber covered by the Dunlap timber deeds. He conceded that he had executed timber deeds without court authority and received $230,600 in sales proceeds. James asserted that, with Dunlap's contractual obligation to replant the property, the total value of the Dunlap deal was $244,100, and that an appraisal to be submitted with Mr. Boyter's federal estate tax return showed the timber had a value of $241,900.46 at the time of his death. James requested authority from the court to advertise the sale of the succession's interest in the timber to Dunlap *626 and to execute on behalf of the succession new timber deeds in Dunlap's favor upon the same terms as those already executed. He asserted that execution of new timber deeds in Dunlap's favor were in the best interest of the succession in order to avoid legal action by Dunlap against the succession.

In March 1999, Jerry filed an opposition to the petition for private sale.[3] Among other things, he asserted that the appraisal of the timber was either outdated or not submitted; that the timber sales executed by James without court approval were null and void; that James had taken the timber sales proceeds and bought property in his own name; that the proposed sale was a ruse to protect James and would impoverish, not benefit, the succession; and that any claim by Dunlap for return of the sales proceeds was against James.

In response to Jerry's opposition, James admitted that he had taken the succession funds for his own benefit, but he maintained that this only caused him to be indebted to the succession in the amount of $230,600, a sum fully secured by the legacies he was entitled to receive under the terms of his father's will. He also contended that at the time of the timber sales, he was unaware that he needed court authority to execute those documents. James also specified that he was not seeking ratification of the timber deeds entered into without court authority, but was petitioning for permission to enter into new timber deeds with Dunlap.

In July 1999, the trial court found that James was acting in the best interest of the succession and fulfilling his duties as executor when he executed the timber sales. Jerry's opposition was denied. The court thereafter signed an order authorizing the private sale of the property for $230,600, the receipt of which had been acknowledged by the executor.

Jerry Boyter appealed.

LAW

A succession representative is a fiduciary with respect to the succession, and shall have the duty of collecting, preserving, and managing the property of the succession in accordance with law. He shall act at all times as a prudent administrator, and shall be personally responsible for all damages resulting from his failure so to act. La. C.C.P. art. 3191.

A succession representative has the duty to deposit succession funds in a succession bank account and is not allowed to withdraw the funds except as permitted by law. Failure to comply with this duty may result in the representative's dismissal from office, a judgment of liability for all special damage suffered, and the rendition of penalties against the succession representative to be paid to the succession. La. C.C.P. art. 3222.

A succession representative cannot by his contracts bind the succession. La. C.C.P. art. 3221, comment (a); Hamilton v. McKee, 371 So.2d 1115 (La.1979); Succession of Rivers, 97-542 (La.App. 3d Cir.10/8/97), 702 So.2d 910, writ denied, 97-2676 (La.1/9/98), 705 So.2d 1108.

A succession representative may sell succession property in order to pay debts and legacies, or for any other purpose, when authorized by the court as provided by law. La. C.C.P. art. 3261. The phrase "for any other purpose" means any other lawful purpose or reason of necessity. It does not give to the executor or administrator carte blanche to sell succession property for any purpose or reason that he may deem sufficient.

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Bluebook (online)
766 So. 2d 623, 2000 WL 1199246, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-succession-of-boyter-lactapp-2000.