Linthicum v. Rudi

148 P.3d 746 (2006)

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Nature of the Case

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Facts

Ernette and Myrna Linthicums (Ps), appellants, are the brother and sister-in-law, respectively, of Claire Linthicum-Cobb. In 2002, Cobb executed a will and a revocable inter vivos trust. Cobb named herself trustee and reserved the power to revoke or amend the trust throughout her life without having to notify any beneficiary. Cobb named Ps the primary beneficiaries of the trust upon Cobb's death. Cobb named Ps successor trustees upon Cobb's death or incapacity. The trust stated that the trust would become irrevocable upon Cobb's death. In 2004, Cobb executed a new will and a restatement/amendment to the trust. The amended trust replaced Ps as successor trustees with respondent Rudi, the nephew of Cobb's deceased husband and named Rudi as the sole beneficiary. Cobb still remained the current trustee and retained the power to revoke the trust. Thus, the amended trust was still a revocable inter vivos trust. Rudi and Guardianship Services of Nevada petitioned for co-guardianship of Cobb's person and estate because Cobb was possibly delusional and paranoid. Ps objected, and Rudi's petition for guardianship was later withdrawn. The district court granted Guardianship Services' petition for guardianship because it found that some of Cobb's actions had resulted in self-neglect and potential self-harm. Ps then filed a complaint alleging that the amended trust was a product of incapacity and/or undue influence. Ps alleged that Rudi had a confidential relationship with Cobb and participated in executing the amended trust. Rudi filed a motion to dismiss the complaint because Ps had failed to state a claim upon which relief could be granted because they lacked standing to challenge the amended trust. Ps lacked a present legal interest in the will and the trust because Cobb was alive and still retained the power to change the will and trust. The district court granted Rudi's motion to dismiss finding that Ps lacked standing to challenge the amended living trust because Cobb was still alive. Ps' interest was at best contingent and would only vest if they survived Cobb. This appeal resulted.