Matter of Estate of Bruene

350 N.W.2d 209, 1984 Iowa App. LEXIS 1482
CourtCourt of Appeals of Iowa
DecidedFebruary 21, 1984
Docket2-68014
StatusPublished
Cited by16 cases

This text of 350 N.W.2d 209 (Matter of Estate of Bruene) is published on Counsel Stack Legal Research, covering Court of Appeals of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Matter of Estate of Bruene, 350 N.W.2d 209, 1984 Iowa App. LEXIS 1482 (iowactapp 1984).

Opinion

HAYDEN, Judge.

Nine devisees under decedent’s will appeal, and the executor of the estate and the attorneys for the executor cross-appeal, from the probate court’s ruling on objections to the executor’s Final Report and Amended Final Report.

Decedent, Chas. Bruene, died in 1974. This appeal represents the most recent in a series of legal proceedings concerning the administration and distribution of his estate. The relevant facts are set forth below as needed to discuss the issues raised.

On appeal, the nine devisees assert: (1) that the executor’s sale of decedent’s farmland to the executor’s nephew and to decedent’s niece should have been voided; (2) that the executor’s nephew did not pay all the rent he owed for the time he leased decedent’s farmland, and he should have been required to do so; (3) that the real estate broker should have been required to return the commission the executor paid him on the sale of the farmland; (4) that the executor and his attorneys should not have been allowed any ordinary or extraordinary fees and expenses; and (5) that the probate court exceeded its jurisdiction in staying distribution of the estate. On cross-appeal, the executor and his attorneys assert that they should have been allowed extraordinary fees and expenses for defending two separate actions brought against the executor by the nine devisees.

Our review of appeals of this nature is de novo. Although we are not bound by the trial court’s findings of fact, we do give weight to them, especially where the credibility of witnesses is involved. Iowa Code § 633.33; Matter of Estate of Simon, 288 N.W.2d 549, 551 (Iowa 1980).

I. Sale of Farm Land. There have been eight years of continuous litigation that has been pursued by the appellants, *212 involving the sale of the estate real estate. We will not go into the course of this litigation in detail, but will only mention the decisions which we determine to be res judicata as to the issues the appellants raised in their objections to the Final Report.

The original action filed by the nine objectors on October 7, 1974, had the appellants as parties plaintiff and Arnold Puten-sen as executor, and the purchasers, Douglas Putensen and Arlené Ritz Hensley as the parties defendant. The issue was the sale of the farm real estate to Arlene Ritz Hensley and Douglas Putensen for what the appellants claim, inter alia, was too low a price.

The appellants requested that the sale be enjoined, that the executor be removed, and other equitable relief and costs. As grounds for their suit, the appellants alleged that the executor had violated his duty to sell for the best price to responsible and bona fide buyers; that he had abused his discretion; that there was a failure of the executor’s duty to perform his responsibilities in selling for the best price; and that he did not act as a prudent person. Both parties moved for summary judgment and the executor’s and purchasers’ motion was sustained by the court upon a finding and conclusion by the court that, based upon the evidence presented, there was no genuine issue as to any material fact; and the executor was entitled to judgment and dismissal as a matter of law. The appellants failed to appeal from this decision.

The appellants attempted to amend their petition to claim and surcharge the executor for damages and the purchasers filed special appearances which were sustained by the trial court on April 14, 1975 in Probate Number 5773.

We note as to the special appearances by the purchasers, the ruling shows that the appellants agreed to the sustaining of the special appearances. Apparently this was done so that the sales could be concluded, and possession delivered to the purchasers for the 1975 crop year.

The appellants then pursued the avenue of attempting to sue the executor for damages after the trial court stated in its ruling of January 13, 1975:

At most it might be said that a claim is being urged based upon breach of duty on the part of the executor under section 633.160, Code of Iowa, 1973. If so, the plaintiffs may attempt to hold the executor liable and chargeable, but upon this, the Court intimates no opinion or conclusion. The plaintiffs have not prayed for any such relief here.

The identical nine residuary beneficiaries filed their petition at law. The petition named the executor as an individual and alleged that the executor disregarded his statutory and common law duty to act in the best interests of the estate; that the sales of land were not legally made nor fairly conducted; that the sales were contrary to the duty of the executor to act in the best interests of the estate; and that the executor neglected and failed to perform his duty in several respects; and the appellants in that action sought $5,333.33 damages each. The executor filed motions contending that the prior action in the estate was res judicata on the law action against the executor; and the trial court agreed; but on appeal, the court of appeals held:

We deem it obvious that this action for damages does not present the same claim or cause of action that was involved in the probate proceedings.
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The Trial Court in the probate proceeding carefully avoided passing upon the right, if any, of the plaintiffs herein to seek money damages from the executor.

See Iowa Court of Appeals Decision, May 20, 1977.

The remaining issue of monetary damages was ultimately presented to the jury who found for the executor and the subsequent appeal to the court of appeals by the appellants was unsuccessful and the jury verdict was affirmed. See Court of Appeals Decision, September 23, 1980. 301 N.W.2d 468.

*213 The court of appeals, in its decision, dealt with all of the aspects of the case that were again alleged by the appellants in their objections to the final report. They noted in their decision that the appellants were attempting to prove an inadequate selling price, and that the land was worth $1,000 per acre; that the executor did not use proper selling methods to obtain the best price; that there was a lack of communication between the executor and the beneficiaries; that the executor was guilty of self-dealing; that the executor and his witnesses perjured themselves; that the executor’s affidavits of December 4, 1974, and September 1, 1977, were inconsistent.

The issues raised here by the appellants have been pursued and raised in the prior estate action and the law action. The four prerequisites of res judicata enumerated by the Court in the recent case of Hunter v. City of Des Moines, 300 N.W.2d 121, 123-25 (Iowa 1981), have been established, namely:

(1) The issue concluded must be identical;
(2) The issue must have been raised and litigated in the prior action;

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Bluebook (online)
350 N.W.2d 209, 1984 Iowa App. LEXIS 1482, Counsel Stack Legal Research, https://law.counselstack.com/opinion/matter-of-estate-of-bruene-iowactapp-1984.