Estate Case Summaries
Iowa • Nebraska • South Dakota

Spousal Allowances in Iowa Estates: The decedent remarried after drafting his will, and he did not change his will to include his new wife prior to his death. She applied for a spousal allowance under Iowa Code 633.374. The executor of the estate resisted, saying that there was not enough money in the estate to fund the allowance. The court determined that the estate may look to the assets of a decedent's trust to fund the allowance. This is because a trust may be used to pay for the cost of administration of the estate, and a spousal allowance is a cost of administration. In re Estate of Sieh, 745 N.W.2d 477 (Iowa 2008).

Nebraska statutes set out procedure for removal of personal representative: Decedent's personal representative was removed and a special administrator was appointed after the county court determined that the personal representative failed to protect the estate's assets. The Supreme Court determined that statutory procedure was not followed prior to the removal, and the personal representative had not received proper notice of the petition to remove him. The argument that there was an "emergency" was not enough to warrant removal without following the procedure. In re Estate of Cooper, 275 Neb. 322 (2008).

Land cannot be sold by executor in certain situations: The South Dakota Supreme Court determined the executor did not have the power to sell specifically devised land where the will did not include a power of sale provision; thus the sale of the land was limited by the specific devise. The specific devise showed the testator's intent that the land should not be sold. Estate of Glenn E. Olson, 744 N.W. 2d 555 (S.D. 2008).

Charitable intent prevails in Iowa trust: A Storm Lake family created a trust with the City of Storm Lake, Iowa, to memorialize the death of their young grandson. The trust created a public garden, and was to be used for improvements to the garden over the years. The city decided to relocate the garden for a new development. The Supreme Court determined that, while the specific language of the trust did not anticipate relocation, the charitable intention of the family allowed the trust to be modified to allow the relocation. Kolb v. City of Storm Lake, (Iowa)

Will beneficiary entitled to proceeds from property: The decedent left a duplex to her step-daughter and son in her will. Her daughter was in charge of her financial assets. The daughter sold the duplex prior to the decedent's death in order to pay for medical expenses. The step-daughter sued the decedent's estate for half of the proceeds from the sale of the duplex. The Iowa Supreme Court determined that the step-daughter was entitled to some of the proceeds of the duplex because she would have inherited an interest in the property had it not been sold. However, she was only entitled to what was left over after paying the decedent's expenses prior to death. Coy v. Ezarski, (Iowa)

Trust settlor's intent important in Nebraska: Although settlor wrote a letter that unambiguously revoked her trust, the Supreme Court found courts can look at evidence of the settlor's intent. The court found her intent was to continue the trust despite the clear language of her letter, and allowed the trust to remain in effect despite her letter of revocation. In re Trust Created by Isvik, 274 Neb. 525 (Nebraska)

Lost will requires evidence of revocation:The Supreme Court did not allow a copy of a will to be admitted into probate where a diligent search did not find the original, and the beneficiary of the will could not show any credible evidence that the decedent had not revoked the will. The trial court is in the best position to determine if a witness is credible in these cases. Estate of Gustafson, 2007 S.D. 46 (South Dakota)

Conservator charged after breaching duty: A conservator was fined a surcharge after she breached her fiduciary duty to maintain her mother's financial accounts. The conservator accessed her mother's money without court authorization, and failed to file necessary reports required by the court. The conservator's self-dealing resulted in her receiving a larger than intended share of her mother's estate. The surcharge, based on the extent the conservator wrongfully benefited, was distributed to the other beneficiaries of the mother's estate. Conservatorship of Irwin, 2007 S.D. 41. (South Dakota)