# FILED January 6, 1997 Cecil Crowson, Jr. App ellate C ou rt Clerk I N THECOUR

TOFAPPEALSOFTENNES SEE EA STER N SEC TI O N

I N R E: ESTA

TE O FB. R A Y ) BLOUNTCOUNTY THOM PS ON, SR. ) 03A 01- 9602- PB- 00075 ) B. R AY THOM

PS ON, J R. , ) I ndi vi dua l l y, a nd a s C o- Tr us t e e ) U nde r A n A gr e e m e nt w i t h B. R

a y ) Thom ps on, Sr . , D

a t e d

) J a nua r y 9, 1987 ) ) Pe tition e r - A

pp e lla nt )

) HON. HUGH E. De LOZI ER , J R. , v. ) J UDGE ) LI NDSAY YOUNG, C

AR LC. ENS OR

, ) J R. , a n dM

ER LE D . W O LFE, ) I ndi vi dua l l y a nd a s Exe c ut or s ) unde r t he w

i l l of B. R

a y ) Thom ps on, Sr . , D

e c e a s e d )

) R e s ponde nt s - A

ppe l l e e s ) VAC ATED AND R

EM ANDED

R. LOUI SC

R OS SLEY, J R. , OFKNOXVI LLE; EUGENEG. PAR TAI N a n dJ AM

ES C. SNYDER

, J R. , OFATLANTA, GEOR GI A FOR

APPELLANT DAVI D T. BLAC

K OFM AR YVI LLEa n dM

AR K BAKER

OFHOUSTON, TEXASFOR APPELLEELI NDSAY YOUNG GEOR GEW . M OR TON OFKNOXVI LLEFOR APPELLEESC

AR LC. ENS OR

, J R. , a n dM ER LE D . W O LFE

O PI N I O N

G odda r d, P. J .2 W e gr a nt e da R

u l e 9app eal i nt hi s cas e t or e s o l v e an i m pa s s e be t w

e e n t he C

i r c ui t C

our t f or Bl ount C ount y, Equi t y D i vi s i on, a nd t he Pr oba t e C our t f or Bl ount C ount y- - w

hi c h by Pr i v a t e A

c t is the G

e n e r a l Se s s i o n s C o ur t - - t ode t e r m

i ne w hi c h C our t ha s j ur i s di c t i on t o r e s ol ve t he a l l e ga t i ons of t he c o m p l a i nt inthi s c a s e .

B. R a y Thom

ps on, Sr . , a r e s i de nt of Bl ount C ount y, di e d on O c t obe r 22, 1987, a nd hi s l a s t w i l l a nd t e s t a m

e nt w a s pr oba t e d i n t he Pr oba t e C

our t f or Bl ount C ount y. O

n N ove m be r 10, 1994, a pe t i t i on w

a s f i l e d i n t he Pr oba t e C our t , s e e ki ng t o c l os e t he e s t a t e . I n r e s pons e t o t he pe t i t i on, hi s s on, B. R a y Thom

ps on, J r . , i ndi vi dua l l y a nd a s a c o- t r us t e e unde r a n a gr e e m e nt w i t h hi s f a t he r , da t e d J a nua r y 9, 1987, f i l e d a pe t i t i on on M a y 15, 1994, s e e ki ng r e m

ova l of t he Exe c ut or s of t he Es t a t e , a nd da m a ge s by r e a s on of t he Exe c ut or s br e a c hi ng t he i r f i duc i a r y dut i e s .

Th e s p eci f i c co m

p l a i nt s ar e s um

m a r i zedi nt h e So n ' s br i e f , a s f o llo w

s :

Fi l e d a doc um

e nt w i t h t he I nt e r na l R e ve nue Se r vi c e w

hi c h a pp ear s o ni t s f ace t oh a v e b eenf a l s i f i e d ; Pa i d m i l l i ons of dol l a r s of pur por t e d pl e dge s a nd de bt s of t he de c e a s e d w

i t hout a ut hor i z a t i on unde r t he w i l l or t he l a w ; Pa r t i c i pa t e d i n or c ondone d t r a ns a c t i ons i n w hi c h t he y or ot he r Exe c ut or s ha d a pe r s ona l or f i na nc i a l i nt e r e s t t o t he de t r i m e nt o f the Es t a t e ;3

Ca u s e dt h e Es t a t e t op a yTe nn e s s ee i n c o m e t a x e s f or w

hi c hi t w a s n o t lia b l e ; Fa ile dtotim

e l yf ile a ta xr e t ur nr e s u ltingina lo s s o f a r e f und of ove r $150, 000; Fa i l e dt ode t ect an dp ur s u e l e g a l an daccount a nt m a l pr act i c e c l a i m s ; Pa i d t he m

s e l ve s e xe c ut or ' s c om m i s s i ons a nd a t t or ne y' s f e e s t o Exe c ut or Li nds a y Y oung' s l a w

f i r m w i t hout s e e ki ng t he c our t a ppr ova l t ha t w a s r e qui r e d of t he m by l a w

; U ndul y pr ol onge d t he a dm i ni s t r a t i on of t he Es t a t e ; a nd O t he r w i s e t ook i m

pr ude nt a nd una ut hor i z e d a c t i ons t o t he de t r i m e nt o f the Es t a t e a n dits b e n e f i c i a r i e s . O n J une 26, 1995, t he Exe c ut or s f i l e d a pe t i t i on f or r e m ova l , f or c e r t i or a r i a nd s upe r s e de s , a nd a c om pl a i nt f or de c l a r a t or y r e l i e f i n t he C i r c ui t C

our t f or Bl ount C ount y, Equi t y D i vi s i on, s e e ki ng t o r e m ove a nd t r a ns f e r a dm i ni s t r a t i on of t he Es t a t e tothe C

i r c uit C

o ur t. O

nthe s a m

e d a t e , th e Ex e c ut or s f i l e d a m

ot i on t o di s m

i s s t he S on' s pe t i t i on i n t he Pr oba t e C our t . A

he a r i ng w

a s he l d i n t he C

i r c ui t C

our t on J ul y 17, a nd on Se pt e m

be r 18, a j udgm

e nt w a s e nt e r e d di s m

i s s i ng t he pe t i t i on on t he gr ound t ha t t he C i r c ui t C

our t l a c ke d j ur i s di c t i on t o gr a nt t he r e l i e f s ought .

O n D e c e m be r 13, t he Pr oba t e C our t , s u a s pont e , ent e r e d a m e m or a ndum

opi ni on a nd or de r di r e c t i ng t he C l e r k of t he Pr oba t e C o ur t toc e r tif ythe p e tition , to g e t he r w itha ll the p l e a di n g s to4

t he C i r c ui t C

our t f or f ur t he r pr oc e e di ngs , ba s e d upon t he f ol l ow i ng c onc l us i ons : 1. Tha t w

hi l e t he Pr oba t e C our t f or Bl ount C ount y, Te nne s s e e ha s s ubj e c t m a t t e r j ur i s di c t i on ove r s o m e is s u e s r a i s e dinthe Pe tition , its lim ite d , s t a t ut or y j ur i s di c t i on i s e xc e e de d i n ot he r s . 2. Tha t t he Pr oba t e C our t f or Bl ount C ount y, Te nne s s e e ha s no a ut hor i t y t o e m pa ne l a j ur y. O n D e c e m be r 15, 1995, t he S on f i l e d a pe t i t i on i n Pr oba t e C

our t r e que s t i ng a n i nt e r l oc ut or y a ppe a l pur s ua nt t o R ul e 9 of t he Te nne s s e e R ul e s of A

ppe l l a t e Pr oc e dur e , w hi c h w a s ul t i m a t e l y gr a nt e d by t he Pr oba t e C our t a nd t hi s C

our t . Pr oba t e j ur i s di c t i on i n t hi s St a t e ha s ha d a c he c ke r e d p a s t. Inr e s o l vi n gthe is s u e s r a i s e dinthi s a pp e a l it is n ecess a r yt h a t w

e ex a m i n e Pub l i c andPr i v a t e A c t s , an dan a m e ndm e nt t o our St a t e C ons t i t ut i on.

W e be gi n our di s c us s i on w i t h C ha pt e r V

I of t he Publ i c A c t s of 1835 w

hi c h-

- a s pe r t i ne nt t o t hi s a ppe a l

- - a f t e r pr ovi di ng f or a c ount y c our t c om pos e d of J us t i c e s of t he Pe a c e , a ddr e s s e d pr oba t e j ur i s di c t i on a s f ol l ow s : Sec. 2 . B

e i t ena c t e d, Th a t it s h a ll b e the dut yo f the j us t i c e s of t he pe a c e t o a t t e nd a t t he c our t hous e s of t he r e s pe c t i ve c ount i e s on t he f i r s t M onda y i n e ve r y m ont h; a nd one t hi r d, or t w e l ve of t he a c t i ng j us t i c e s i n e a c h c ount y, s ha l l be a c om pe t e nt quor um

t o do a nd t r a ns a c t a l l ki nds of publ i c or c ount y bus i ne s s pr e s c r i b e db yt hi s act , ex cept t oas s e s s a t a x , or t o a ppr opr i a t e publ i c m one y, w

hi c h s ha l l r e qui r e a5

m aj or i t y of a l l t he m a gi s t r a t e s of t he c ount y t o vot e i nthe a f f i r m

a tiv e : P

r ov i de d, tha t t w

e l ve ju s t i c e s , or one t hi r d, s ha l l ha ve pow e r t o m

a ke a ppr opr i a t i ons f or c ount y pur pos e s , not e xc e e di ng f i f t y dol l a r s : P r ov i de d, t h a t thr e e o f s a i dju s tic e s , a t the i r s e s s i o n s , s h a l l ha ve pow

e r t o t a ke pr oba t e of w i l l s , a l l i ns t r um e nt s of w r i t i ng, w

hi c h by t he e xi s t i ng l a w s , a r e r e qui r e d t o be pr ove d a nd r e gi s t e r e d, gr a nt l e t t e r s of a dm i ni s t r a t i on, a ppoi nt gua r di a ns , a ppoi nt ove r s e e r s of r oa ds , a nd t o do a l l ot he r c ount y bus i ne s s , w hi c h, by t he l a w

s h e r e t o f or e i nf or ce, t hr ee w e r e a s u f f i c i e nt num b e r t o t r a n s act . Subs e que nt l y, a n a m e ndm e nt t o t he St a t e C ons t i t ut i on w hi c hb ecam

e ef f ect i v e i nM

a r c h1 9 8 7 , am

e n de dA

r t i c l e V

I I , Se c t i on 1 of t he C ons t i t ut i on. Thi s A m e ndm e nt pr ovi de d i n pa r t t he f ol l ow

i ng: Sec. 1 . C

o unt yg o v ernm

e nt - - E

l ect e do f f i cers - - L e gi s l at i ve body - - A l t e r nat e f or m

s of gove r nm

e nt . - - The qua l i f i e d vot e r s of e a c h c ount y s ha l l e l e c t f or t e r m s of f our ye a r s a l e gi s l a t i ve body, a c ount y e x ecut i v e , a Sh e r i f f , a Tr u s t ee, a R e g i s t e r , a C

o unt y C l e r k a nd a n A

s s e s s or of Pr ope r t y. The i r qua l i f i c a - t i ons a nd dut i e s s ha l l be pr e s c r i be d by t he G e ne r a l A s s e m bl y. A

ny of f i c e r s ha l l be r e m ove d f or m

a l f e a s a nc e or ne gl e c t of dut y a s pr e s c r i be d by t he G e ne r a l A sse m b l y . I n r e s pons e t o t he C ons t i t ut i ona l a m

e ndm e nt t he Le gi s l a t ur e , w

i t h c e r t a i n e xc e pt i ons , t r a ns f e r r e d pr oba t e j ur i s di c t i on t o t he C ha nc e r y C

our t by e na c t i ng C ha pt e r 875 of t he Publ i c A

c t s of 1980 ( now

c odi f i e d a s T. C. A . 16- 16- 201) :

W H ER EA S , A r tic l e 7 , S e c tio n1 o f the C o n s titutio n o f Te nn e s s ee, as am e n de d , cr eat e dt h e o f f i ce o f count y e xe c ut i ve , t he r e by e f f e c t i ve l y a bol i s hi ng t he of f i c e of c ount y j udge a nd c ha i r m a n; a nd6 W H ER EA S , Te nne s s e e C

ode A nnot a t e d, Se c t i on 5- 606, pr ovi de s t ha t , e xc e pt a s ot he r w i s e pr ovi de d by ge ne r a l l a w or b ys p e c i a l, lo c a l or pr i v a t e a c t s , th e ju di c i a l a ut hor i t y f or m

e r l y e xe r c i s e d by t he c ount y j udge or c ount y c ha i r m

a n s ha l l be ve s t e d i n t he c ount y e xe c ut i ve , a nd pur s ua nt t o t ha t s t a t ut e t he c ount y e x ecut i v e i nm

a nycount i e s o f Te nn e s s ee h a s ex e r c i s e d t he pr oba t e j ur i s di c t i on pr e vi ous l y e xe r c i s e d by t he c ount y j udge or c ha i r m a n; a nd W H ER EA S , i nt h e case of W a t e r s v . St a t e exr e l Sc hm ut zer , 583 S . W

. 2d 756, t he Supr e m e C our t of Te nne s s e e , on J une 28, 1979, he l d t ha t t he j udi c i a l a ut hor i t y of a j uve ni l e c our t , or ot he r j udi c i a l pow e r s c a nnot be ve s t e d i n t he c ount y e xe c ut i ve , a nd t ha t t he f or e goi ng pr ovi s i on of Te nne s s e e C ode A nnot a t e d, Se c t i on 5- 606, i s unc ons t i t ut i ona l ; now , t he r e f or e , BE I T EN

A C TED BY TH E G EN ER A L A S SEM BLY O FTH E STA TE O F TEN N ES SEE: SEC TI O N 1 . ( a ) I n a l l c ount i e s w he r e not ot he r w

i s e s pe c i f i c a l l y pr ovi de d by publ i c , pr i va t e , s pe c i a l or l o cal act s , a ll jur i s di c tio nr e l a tingtothe pr oba t e of w

i l l s a nd t he a dm

i ni s t r a t i on of e s t a t e s a n dr e l a t e dm

a t t e r s h e r e t o f or e v e s t e di nt h e c ount y c our t , t he c ount y j udge or c ount y c ha i r m a n, i s he r e by ve s t e d i n t he c ha nc e r y c our t of t he r e s pe c t i ve c ount i e s . The c ha nc e r y c our t i n s uc h c ount i e s s ha l l ha ve e xc l us i ve j ur i s di c t i on ove r t he pr oba t e of w

i l l s a nd t he a dm

i ni s t r a t i on of e s t a t e s , a n da ll m a tte r s r e l a tingthe r e t o , he r e t of or e ve s t e d i n t he c ount y c our t , t he c ount y j udge or c ount y c ha i r m a n. ( Em

pha s i s s uppl i e d. )

The Pr oba t e C

our t f or Bl ount C ount y f e l l w

i t hi n t he e xc e pt i on i n t he St a t ut e by vi r t ue of C ha pt e r 202 of t he Pr i va t e A c t s of 1965:

" Se c t i on 19. B e i t f ur t he r ena c t e d, Th a t s a i d C our t of G

e ne r a l Se s s i ons of Bl ount C ount y, Te nn e s s e e is h e r e b yv e s t e dw itha ll jur i s di c tio n a nd s ha l l e xe r c i s e t he a ut hor i t y c onf e r r e d by t he l e gi s l a t ur e upon t he C ount y J udge or C

ha i r m a n of t he C ount y C

our t i n pr oba t e , de c e de nt s ' e s t a t e s , gua r di a ns hi p, c ons e r va t or s hi p, i ns a ni t y, l una c y,1 Th e Ex e c u t o r s ' br i e f s t a t e s t h e f o l l o w i ng: [ T] h e Pr oba t e Cour t ca n r e m ove t h e exe c u t o r s and/ o r sur c h a r g e t h e ex ecu t o r s f o r wast e o f t h e ass e t s . . . . 7 f e e bl e - m

i nde d, pe r s ons of uns ound m i nd, j uve ni l e , b a s t ar dy , il l e g i t i m a t e s , le g i t i m

a t i o n , c h a n g e o f na m e , pa r t i t i on, c onde m na t i on, s a l e of pr ope r t y, f or e c l os ur e s of m or t ga ge s a nd ve ndor s l i e ns , f or e c l os ur e s of ot he r l i e ns , w or km e n' s c om pe ns a t i on, a nd a ba ndonm e nt of w

i f e or c hi l d c a s e s , s ui t s , pr oc e e di ngs a nd a c t i ons , w hi c h j ur i s di c t i on s ha l l be c o- e xt e ns i ve w i t h Bl ount C ount y, Te nne s s e e ; pr ovi de d, how e ve r , not hi ng i n t hi s a c t s ha l l be c ons t r ue d t o di ve s t t he J udge of t he C ount y C

our t of hi s j ur i s di c t i on a nd a ut hor i t y a s f i na nc i a l or f i s c a l a ge nt of s a i d C ount y a nd a s pr e s i di ng J udge of t he Q ua r t e r l y C

ount y C

our t . "

A f t e r t he C

ons t i t ut i ona l a m

e ndm e nt , t he f or e goi ng Pr i va t e A

c t w a s a m e nde d by C

ha pt e r 60 of t he Pr i va t e A c t s of 1987: ( b) The c our t of ge ne r a l s e s s i ons of Bl ount C ount y s h a l l a l s ob e v e s t e dw i t ha l l jur i s di c t i o n , p o w e r s a n d a ut hor i t y r e l a t i ng t o t he pr oba t e of w i l l s a nd t he a dm i ni s t r a t i on of e s t a t e s a s i s c onf e r r e d by l a w upon pr oba t e c our t s . The Exe c ut or s c onc e de t ha t t he Pr oba t e C our t f or Bl ount C ount y ha s a ut hor i t y t o he a r c e r t a i n i s s ue s r a i s e d i n t hi s di s put e , 1but t ha t i t doe s not ha ve j ur i s di c t i on t o he a r ot he r m a t t e r s nor t o e m

pa ne l a j ur y. O n t he ot he r ha nd, t he S on i ns i s t s t ha t a s t o Bl ount C ount y t he e xc e pt i on t o T. C. A . 16- 16- 201, w

hi c h w e ha ve e m pha s i z e d, r e m

ove d a l l pr oba t e j ur i s di c t i on, bot h s t a t ut or y a nd i nhe r e nt , f r om

t he C ha nc e r y C

our t .8 W e a r e not pr e pa r e d t o s a y t ha t t he quot e d e xc e pt i on t o t he ge ne r a l gr a nt of pr oba t e j ur i s di c t i on t o t he C ha nc e r y C

our t r e m ove s a C

ha nc e r y C

our t ' s i nhe r e nt j ur i s di c t i on t o a dm i ni s t e r e s t a t e s , w

hi c h ha s be e n r e c ogni z e d i n va r i ous a ppe l l a t e pr onounc e m

e nt s . D

i c kv . D

i c k, 223 Te nn. 228, 443 S . W . 2d 472 ( 1969) ; Fe r gus on v. M oor e , 209 Te nn. 29, 348 S . W . 2d 496 ( 1961) ; J o . C. Bo w

e r s e t a l s . v . P. S . Le s t e r , A dm ' r , c .t.a . , 49 Te nn. 456 ( 1870) . W

e do be l i e ve , how e ve r , t ha t i t w

a s t he i nt e nt of t he Le gi s l a t ur e t o ve s t i n t he C ha nc e r y C

our t pl e na r y pr oba t e j ur i s di c t i on, a nd by t he e xc e pt i on a nd t he Pr i va t e A c t s a ddr e s s i ng pr oba t e j ur i s di c t i on i n Bl ount C ount y- - e s pe c i a l l y t he one e na c t e d i n 1987, a f t e r t he ge ne r a l s t a t ut e w a s a dopt e d-

- t o ve s t pl e na r y j ur i s di c t i on i n t he Pr oba t e C our t f or Bl ount C ount y a s w e l l . M

or e ove r , a s a l r e a dy not e d, t he Exe c ut or s c onc e de t ha t t he Pr oba t e C

our t ha s j ur i s di c t i on of c e r t a i n of t he i s s ue s r a i s e d , a n dit w

o u l ds e e m

a ppr opr i a t e th a t it b e e ntitle dto r e s o l v e a ll is s u e s a n c illa r ythe r e t o , w iththe e x c e p tio no f m a t t e r s s p eci f i cal l ydi r ect e db ys t a t ut e t ob e t r i e del s e w h e r e , s uc h a s t he i s s ue of de vi s a vi t ve l non , T. C. A . 32- 4- 104, a nd c l a i m s ag a i n s t es t a t e s an dex cept i o n s t h e r e t ow h e na j ur yh a s be e n de m

a nde d, T. C. A

. 30- 2- 314.

R ul e 38. 01 of t he Te nne s s e e R ul e s of C

i vi l Pr oc e dur e , w hi c h a r e a ppl i c a bl e t o pr oba t e c our t s , pr ovi de s t ha t " t he r i ght9

of t r i a l by j ur y a s de c l a r e d by t he C ons t i t ut i on or e xi s t i ng l a w s o f t h e s t a t e o f Te nn e s s ee s h a l l b e pr e s e r v e dt ot h e p a r t i e s i nv i ol a t e . "

W e r eco g ni ze t h a t a j ur yt r i a l i na Pr ob a t e C o ur t i s not t he c om

m on pr a c t i c e . N

e ve r t he l e s s , gi ve n t he pr ope ns i t y of t he Le g i s l a t ur e togr a nt jur ytr i a l s tolitig a nt s , a s e v i de n c e d by t he e na c t m

e nt of T. C. A

. 21- 1- 103, w

hi c h gr a nt s s uc h i n c h a ncer ycas e s , w hi c ht h e r e t o f or e h a db eenal m o s t ex c l u s i v e l y non- j ur y, a nd t he f ur t he r f a c t t ha t t he J udge of t he Pr oba t e C our t i n Bl ount C

ount y i s a n a t t or ne y, w e s e e no i m

pe di m e nt t o j ur ytr i a l s inth a t f or um a n d , inf a c t, c o n s i de r it s a l ut a r yto pe r m i t t he f a c t ua l i s s ue s t o be r e s ol ve d by a j ur y.

I n r e a c hi ng our c onc l us i on w e poi nt out t ha t unde r t he pr ovi s i ons of T. C. A . 21- 1- 103, a bove not e d, t he c ha nc e l l or ha s di s c r e t i on t o r e f us e a j ur y t r i a l s houl d t he c our t de t e r m i ne t ha t r e s ol ut i on of f a c t ua l i s s ue s i nvol ve s c om pl i c a t e d a c c ount i ng. W e be l i e ve t hi s R

ul e s houl d a l s o obt a i n i n c our t s ot he r t ha n c h a ncer yw

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- ha l f a ga i ns t t he Exe c ut or s .10 _______________________________ H ous t on M

. G odda r d, P. J . CONC UR:

________________________________ H e r s c he l P. Fr a nk s , J .

________________________________ C h a r l e s D

. Su s a n o , J r ., J .