Inlow v. Henderson, Daily, Withrow & Devoe

804 N.E.2d 833, 2004 Ind. App. LEXIS 404, 2004 WL 439964
CourtIndiana Court of Appeals
DecidedMarch 11, 2004
Docket49A02-0305-CV-432
StatusPublished
Cited by7 cases

This text of 804 N.E.2d 833 (Inlow v. Henderson, Daily, Withrow & Devoe) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Inlow v. Henderson, Daily, Withrow & Devoe, 804 N.E.2d 833, 2004 Ind. App. LEXIS 404, 2004 WL 439964 (Ind. Ct. App. 2004).

Opinion

OPINION

NAJAM, Judge.

STATEMENT OF THE CASE

Jason L. Inlow, Heather N. Inlow, Jeremy H. Inlow, and Sarah C. Inlow (collectively "Inlow Children") appeal from the trial court's denial of their motion to correct error 1 regarding attorney's fee awards granted to The - Heartland Insurance Group ("Insurance Brokers") and Great-West Life and Annuity Insurance Company ("Great-West") (collectively "the Appellees"). The Inlow Children present the following issues for our review:

1. Whether the trial court had jurisdiction to award attorney's fees.
2. Whether 'the Appellees presented sufficient evidence to support the attorney's fee awards.
3. Whether the trial court abused its discretion when it awarded the Ap-pellees attorney's fees.

We affirm and remand. 2

FACTS AND PROCEDURAL HISTORY

The attorney's fee awards the Inlow Children challenge in this appeal followed the dismissal of their complaint against the Appellees and other parties. We affirmed the trial court's dismissal of the complaint in Inlow v. Henderson, Daily, Withrow & DeVoe, et al., 787 N.E.2d 385 (Ind.Ct.App.2003) ("Inlow I"), trans. denied. In Inlow I, this court explained the facts and'procedural history underlying this appeal as follows:

. .. [The Inlow Children] appeal the trial court's dismissal of their amended complaint bringing suit against a law firm, attorneys working for that firm, insurance companies, and agents of those insurance companies. The Inlow Children brought claims against the law firm of Henderson, Daily, Withrow & DeVoe and eighteen attorneys of *836 Henderson, Daily, Withrow & DeVoe in their individual capacities (collectively, "Henderson Daily"). They also asserted claims against Whitney B. Grayson, Grayson & Associates, Paul M. Harrington, The Heartland Insurance Group, and Great-West Life and Annuity Insurance Company.... These claims were brought because of harms allegedly caused to Lawrence W. Inlow and his estate, which diminished the value of the estate.
The Inlow Children argue that in a number of capacities they: (1) have standing to maintain their claims, (2) are real parties in interest, and (8) have stated claims that avoid dismissal under Indiana Trial Rule 12(B)(6). The Inlow Children also complain that the trial court erroneously struck Counts IV through VIII of their motion for leave to file amended complaint and erroneously denied their motion to amend the amended complaint by interlineation. They contend that even if the dismissal of their claims, the striking of Counts IV through VIII of their motion for leave to file amended complaint, and the denial of their motion to amend the amended complaint by interlineation were proper, they are still entitled to reasonable time to seek the ratification, joinder, or substitution of the successor trustee and successor personal representative according to Indiana Trial Rule 17(A)@Q). Aside from their claims brought as assignees of the successor personal representative and attempted claims as assignees of the successor trustee, each claim the Inlow Children assert ultimately arises from their status as heirs. The Probate Code carefully limits the intrusion of heirs and other interested persons into the personal representative's administration of an estate. As heirs, the Inlow Children have not followed the procedures outlined in the Probate Code for intervening i ministration to sue alleged tortfeasors of the decedent and his estate. Moreover, the Inlow Children may not claim capacity to sue as assignees of the successor trustee for harms befalling the estate. A successor trustee has no authority to sue for harms resulting to an estate and, therefore, has no authority to assign such claims. Finally, the assignments made by the personal representative and the successor personal representative were invalid and are no basis for suit against Henderson Daily and the Insurers.
We, therefore, affirm the trial court's: (1) dismissal of each count of the amended complaint, (2) denial of stricken Counts IV through VIII of the motion for leave to file amended complaint, and (3) denial of the motion to amend the amended complaint by interlineation. We deny the Inlow Children's request to remand this cause to the Marion Superi- or Court for the ratification, joinder, or substitution of the successor personal representative through Trial Rule 17(A). Any further action they take must be within the bounds of the Probate Code as we will explain more fully below.
FACTS
Lawrence W. Inlow created the Lawrence W. Inlow Irrevocable Children Trust (Inlow Trust) for the benefit of his children and named himself trustee. As trustee of the trust, he purchased an insurance policy from Great-West Life and - Annuity - Insurance - Company (Great-West Life) on July 8, 1996. The policy designated the trustee of the In-low Trust as the beneficiary of the policy. In the event of Lawrence's death, Great-West Life was obligated to pay ten million dollars to the successor trustee who was yet unnamed.
*837 On May 21, 1997, Lawrence Inlow died intestate, leaving six heirs: Anita Inlow, his second wife; Jesse Inlow, Lawrence and Anita's minor child; and the four plaintiffs to this action who are children of Lawrence's first marriage. After Lawrence's death, Karl Kindig was appointed personal representative of the Inlow Estate. Henderson Daily provided legal services to Kindig in his capacity as personal representative. Kindig later executed an assignment in favor of the Inlow Children of all claims belonging to the personal representative against all other persons, including any claims against Henderson Daily. With the consent of the Inlow Children, the successor personal representative agreed to pay Kindig $200,000 allegedly for his services to the Inlow Estate. The probate of the Inlow Estate is still pending in the Hamilton Superior Court as of the filing of the appellate briefs in this action.
On October 10, 2001, the Inlow Children filed an amended complaint for damages. In their amended complaint, the Inlow Children asserted claims of negli-genee, "intermeddling," and legal malpractice against Henderson Daily. They asserted these claims for harms allegedly caused to the Inlow Estate to the detriment of their intestate shares of the property. Though the trial court permitted the three claims - against Henderson Daily, it struck five others the Inlow Children attempted to assert. As for the insurance companies and agents, the Inlow Children brought claims of negligence and breach of contract, despite the fact that Great-West Life had paid the policy proceeds in full. In addition to claims brought in the amended complaint, the Inlow Children contend that they were entitled to assert claims assigned by the successor trustee -of the Inlow Trust. They. attempted to assert these assigned claims, not as part of their amended complaint, but in a motion to amend the amended complaint by interlineation. The trial court denied their motion to amend the amended complaint by interlineation.

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Bluebook (online)
804 N.E.2d 833, 2004 Ind. App. LEXIS 404, 2004 WL 439964, Counsel Stack Legal Research, https://law.counselstack.com/opinion/inlow-v-henderson-daily-withrow-devoe-indctapp-2004.