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Matter of Kinzler

Supreme Court of New York, Appellate Division

195 A.D.2d 464 (1993)

Relevant factsFree

Pauline Kinzler's will divided her estate equally among daughters Gloria, Louise, and Beatrice, with Beatrice's one-third share placed in trust and her children as remainder beneficiaries; son-in-law Bertram Zweibon (defendant) drafted the will and served as executor, while Louise and Gloria served as cotrustees for Beatrice's trust, despite Bertram's awareness that the daughters were hostile toward one another. After Pauline's death, Bertram, as executor, sold her home (in which Beatrice's trust held a one-third interest) to cotrustee Louise, refused to pay estate income to Beatrice, distributed $50,000 in cash from the house-sale proceeds to his own wife Gloria, and paid himself attorney's fees from the estate without court approval; Beatrice and her children sued Bertram, and the lower court found the house sale tainted by conflict of interest and self-dealing, disapproved the unauthorized attorney fees, and limited Bertram's fee award, prompting his appeal.

IssueFree

Whether a fiduciary may deal with or purchase property if the fiduciary's duty relates to that property.

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