Wolber v. Bank of America
This thorny matter involves two trusts, three probate proceedings in two states, and two litigious factions of natural grandchildren versus adopted grandchildren. Bank of America, N.A. (the Bank) was the trustee holding over $11 million dollars in California trust assets, subject to a trust established in 1937. It did not distribute the assets until 16 months after the date of death of the Colorado life beneficiary, having waited until the expiration date for the filing of a will contest in the ancillary probate in California. Richard Wolber (Wolber), the California executor of the life beneficiarys will, has sued the Bank for breach of fiduciary duty. He alleges that the Bank dragged its feet in distributing the trust assets and he seeks compensation for the diminution in value of the assets during the 16-month period. Wolber also claims that the Bank took a termination fee to which it was not entitled. The court entered judgment in favor of the Bank and Wolber appeals.
Court affirm the judgment. The Bank, duly concerned about ongoing litigation between the two sets of grandchildren over the assets of a different trust, established in 1954, exercised due caution in the distribution of the $11 million in assets in the trust at issue here. Substantial evidence supports the trial courts finding that the Bank did not breach its fiduciary duty in waiting for the expiration of the will contest filing deadline in California before effectuating the distribution. Also, Wolber has failed to show that the court erred in confirming a fee to the Bank.
Comments on Wolber v. Bank of America