In the Matter of the Estate of James M. Murphy

CourtNew Jersey Superior Court Appellate Division
DecidedJune 26, 2025
DocketA-2562-23
StatusUnpublished

This text of In the Matter of the Estate of James M. Murphy (In the Matter of the Estate of James M. Murphy) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In the Matter of the Estate of James M. Murphy, (N.J. Ct. App. 2025).

Opinion

NOT FOR PUBLICATION WITHOUT THE APPROVAL OF THE APPELLATE DIVISION This opinion shall not "constitute precedent or be binding upon any court ." Although it is posted on the internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.

SUPERIOR COURT OF NEW JERSEY APPELLATE DIVISION DOCKET NO. A-2562-23

IN THE MATTER OF THE ESTATE OF JAMES M. MURPHY, deceased. _______________________

Argued March 5, 2025 – Decided June 26, 2025

Before Judges Marczyk and Torregrossa-O'Connor.

On appeal from the Superior Court of New Jersey, Chancery Division, Hudson County, Docket No. P-315046-21.

John M. Loalbo argued the cause for appellant Robert Brown (Schumann Hanlon Margulies, LLC, attorneys; John M. Loalbo, of counsel and on the brief).

Respondent Frances Nicotra has not filed a brief.

PER CURIAM

Appellant Robert Brown, as executor of the estate of Robert Taylor

(Taylor's estate), appeals the Chancery judge's March 11, 2024 order approving

the formal accounting of court-appointed administrator and attorney for the

estate of James M. Murphy (Murphy's estate), Frances Nicotra, Esq. Because we determine the court did not misapply its discretion, primarily as appellant

waived the opportunity to file any written exceptions to the proposed accounting

and elected not to challenge the requested counsel fees and commissions, we

affirm.

I.

A.

On June 3, 2012, Taylor executed a power of attorney (POA) designating

Murphy as his attorney in fact. On May 1, 2017, Murphy, purporting to act as

Taylor's POA, liquidated a security account belonging to Taylor and placed the

$798,609.43 in proceeds into a TD Bank account owned jointly by Taylor and

Murphy, with Murphy possessing a right of survivorship. Taylor died testate on

May 6, 2017, leaving $100,000 as a specific bequest to Murphy. At the time of

his death, Taylor's bank account maintained a $865,343.93 balance.

On June 30, 2017, Murphy withdrew $275,000 from the TD Bank account,

giving $250,000 to his future son-in-law, Peter Charon, and placing the

remaining $25,000 into his own account. Murphy died testate less than two

weeks later, and the probate court appointed Nicotra as the administrator of

Murphy's estate in February 2018. In April 2018, Nicotra, on behalf of Murphy's

A-2562-23 2 estate, requested from Taylor's estate the $100,000 specific bequest to Murphy

in Taylor's will.

Later that year, appellant, on behalf of Taylor's estate, filed a verified

complaint in the Law Division against Nicotra as the administrator of Murphy's

estate, demanding the return of the $798,609.43 Murphy had transferred into the

TD Bank account. The matter proceeded to arbitration, and on February 27,

2020, the arbitrator awarded $798,609.43 to Taylor's estate, reasoning that

despite the account's right of survivorship, the money belonged in Taylor's estate

"because of [the] fiduciary rela[tionship]" between Taylor and Murphy.

The parties reached a settlement requiring Murphy's estate to pay Taylor's

estate $750,000 by providing it with $650,000 and relinquishing its right to the

$100,000 bequest. As consideration for the agreement, Taylor's estate waived

"any other claims against" Murphy's estate "including but not limited to other

moneys that might have been taken from the TD Bank account."

During this time period, Nicotra filed a separate complaint on behalf of

Murphy's estate seeking to identify Murphy's estate's creditors and to obtain a

declaration that the estate was insolvent. The matter was consolidated with the

Law Division matter brought by Taylor's estate and both were transferred to the

Chancery Division.

A-2562-23 3 By December 6, 2021 order, the Chancery judge determined: (1)

Murphy's $798,609.43 transfer to the joint TD Bank account constituted a

"tortious conversion of . . . Taylor's property," (2) the settlement agreement was

legally enforceable, and (3) Murphy's estate was "not entitled to a credit of

compensation for 'services' rendered." Accordingly, the court ordered Murphy's

estate to "immediately return to . . . Taylor['s estate] . . . $388,216.43," adding

"that any residuary assets in . . . Murphy['s estate] be liquidated by the

[a]dministrator and applied to the obligations of the settlement agreement. "

B.

In November 2023, Nicotra, again as administrator of Murphy's estate,

filed a complaint and order to show cause (OTSC) in the Chancery Division,

seeking "approval of the accounting" appended to her submission. She

additionally sought a release as administrator of Murphy's estate, "declaration

[that] the estate [wa]s insolvent, approval of counsel fees/commissions, and a

reimbursement of funeral expenses to . . . Charon." Importantly, Nicotra

attached to the complaint accounting documents purporting to verify the assets

in Murphy's estate, including $32,581.22 designated for commissions under

N.J.S.A. 3B:18-14, and invoices reflecting an outstanding balance of $44,218.65

in attorney's fees.

A-2562-23 4 Nicotra's appended "Certification of Legal Fees" stated:

1. I am an attorney in good standing admitted to practice law in the State of New Jersey since 1992. I have familiarity with cases similar to the within action since approximately 1994 and I have practiced in this area. My hourly rate of $325.00 is reasonable given my experience in practicing law and familiarity with this area of practice.

2. The estate has been quieted as determined by judgment in an unsecured creditor litigation, accounting and assessment for income and estate taxes with an accountant and tax/criminal attorney—all of which the time for appeal has passed. The value of the estate has been determined with these factors in mind.

3. There are assets available to pay legal fees. Accordingly, I respectfully request that my counsel fees in this matter be reimbursed to me. My fees are attached to this certification as an invoice.

4. I intend to submit a supplemental certification as to additional legal fees/costs to close the matter. In addition, there is an open invoice with the tax attorney/criminal attorney to be paid. The remainder shall go to the federal taxing authority.

On the basis of the above, I hereby respectfully request reimbursement to date in the amount of $44,218.65 as counsel fees, plus statutory commissions in the amount of $33,120.76 based upon the value of the estate at ($860,593.09— amount taken in plus $275,000 gift weeks in advance of passing).

A-2562-23 5 Nicotra represented that she filed income and inheritance tax returns, and,

although the State "issued a tax waiver based on insolvency[,] . . . [t]he federal

taxing authority declared taxes, penalties, and interest totaling $541,424.50,

clearly leaving the estate insolvent and unable to pay the taxing authority its full

amount due." An October 23, 2023 IRS notification confirmed the amount

owed.

The complaint alleged that the statutory order of priority required

Murphy's estate to first satisfy its federal tax obligations, which was "of such

amount that any objection filed hereto by the ordinary judgment creditor would

be inconsequential to the outcome that the estate is insolvent and the . . . creditor

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In the Matter of the Estate of James M. Murphy, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-the-matter-of-the-estate-of-james-m-murphy-njsuperctappdiv-2025.