United States Seventh Circuit

In a suit alleging mismanagement of a trust established by plaintiff's father for which defendant was trustee, summary judgment for plaintiff is affirmed where: 1) defendant's disbursements of trust funds to plaintiff's father violated the express terms of the trust; 2) a statute permitting disbursements to adult relatives of beneficiaries would only apply if the trust contained no express terms forbidding such disbursements; 3) no showing of bad faith was required to overturn the disbursements, since those disbursements were not discretionary decisions but rather were expressly forbidden; 4) the monthly statements of the trust's brokerage account were not records adequate to satisfy defendant's record-keeping duty; and 5) defendant breached his fiduciary duties by failing to inquire about the use of the disbursed funds.

Appellate Information

• Decided 10/29/2008
• Published 10/29/2008

Judges

• BAUER, Circuit Judge., Before BAUER, CUDAHY and WILLIAMS, Circuit Judges.

Court

• United States Seventh Circuit

Counsel

• For Appellees:
  
• Michael H. Moirano, Claire E. Gorman (argued), Nisen & Elliott, Chicago, IL, for Plaintiff-Appellee., Bradley H. Foreman (argued), Law Offices of Bradley H. Foreman, P.C., Chicago, IL, for Defendant-Appellant.