1963695.3/SPSA/34092/0101/100215 CAUSE NO. 2014

– PC

– 0056

IN THE ESTATE OF

MARJORIE A. CHILDS,

DECEASED. § § § § § IN THE PROBATE COURT

NO. 2

BEXAR COUNTY, TEXAS

PETITION TO PERMIT AGREED INTERLOCUTORY APPEAL

S TRASBURGER & P RICE , L.L.P. Judith R. Blakeway State Bar No. 02434400 Judith.Blakeway@strasburger.com James Maverick McNeel State Bar No. 24035491 James.McNeel@strasburger.com David P. Stanush State Bar No.19056300 David.Stanush@strasburger.com Andrew L. Kerr State Bar No. 11339500 Andy.Kerr@strasburger.com Zachary C. Zurek State Bar No. 24079668 Zach.Zurek@strasburger.com 2301 Broadway San Antonio, Texas 78215 Telephone: (210) 250

- 6000 Facsimile: (210) 250

- 6100

ATTORNEYS FOR DEFENDANT PAMELA ANN CHILDS MCCASKILL B EN A. W ALLIS L AW PC Ben A. Wallis, III State Bar No. 24060793 8200 IH 10 West #101 San Antonio, Texas 78230 Telephone: (210) 525

– 1500 Facsimile: (210) 525

– 9323 baw3@wallislawsa.com

ATTORNEYS FOR DEFENDANT SUSAN C. ADDISON 04-15-00623-CV ACCEPTED 04-15-00623-CV FOURTH COURT OF APPEALS SAN ANTONIO, TEXAS 10/2/2015 11:18:15 AM KEITH HOTTLE CLERKii

1963695.3/SPSA/34092/0101/100215 Table of Contents

Table of Contents

................................ ................................ ................................ ...... ii

Table of Authorities

................................ ................................ ................................ . iii

Parties

................................ ................................ ................................ ......................... 2

Statement of Facts

................................ ................................ ................................ ...... 3

Statement of Issues

................................ ................................ ................................ ..... 5

Certificate of Service

................................ ................................ ................................ . 8iii

1963695.3/SPSA/34092/0101/100215 Table of Authorities Page(s) STATUTES

T EX

. C IV

. P RAC

. & R EM

. C ODE § 51.014(d)

................................ ............................... 5

T EX

. C IV

. P RAC & R EM

. C ODE § 51.014(d)(2)

................................ ........................... 5

T EX

. C IV

. P RAC

. & R EM

. C ODE § 51.014(e)

................................ ............................... 1

RULES

T EX

. R. A PP

. P. 25.1(d)(6)

................................ ................................ .......................... 1

T EX

. R. A PP

. P. 28.2(c)(7)

................................ ................................ .......................... 5

T EX

. R. A PP

. P . 28.2(c)(2)

................................ ................................ .......................... 1

T EX

. R. A PP

. P. 28.2 (c)(3)

................................ ................................ .......................... 1

T EX

. R. A PP

. P. 28.2 (e)(2)

................................ ................................ .......................... 1

T EX

. R. A PP

. P. 28.2 (f)

................................ ................................ ................................ 1

T EX

. R. A PP

. P. 28.3 (c)

................................ ................................ ............................... 11963695.3/SPSA/34092/0101/100215

PETITION TO PERMIT AGREED INTERLOCUTORY APPEAL

TO THE HONORABLE COURT:

1. Defendants Pamela Ann Childs McCaskill and Susan Childs Addison

desire to appeal from the interlocutory order signed by the Court on September 18,

2015.

2. The Court signed a written order granting permission to file this

agreed interlocutory appeal on September 18, 2015.

3. The parties have agreed to the Court’s entering an agreed order

granting permission for an i nterlocutory appeal.

4. Defendants appeal to the Fourth Court of Appeals.

5. The appeal of this case is an accelerated appeal. T EX

. R. A PP

. P.

25.1(d)(6).

6. This petition to permit agreed interlocutory appeal is filed within

15 days of the date the trial court signed the order granting permission to file this

appeal. T EX

. R. A PP

. P. 28.3 (c).

7. A copy of this petition to permit agreed interlocutory appeal has been

served on all parties to the trial court proceeding, and a docketing statement will be

filed in the court of appeals.

8. A copy of the order signed on September 18, 2015 from which appeal

is taken, granting permission to appeal and staying the trial court proceedings2

1963695.3/SPSA/34092/0101/100215 pending resolution of this agreed interlocutory appeal, is attached as Exhibit A.

T EX

. R. A PP

. P . 28.2(c)(2), (c)(3), (e)(2), (f); T EX

. C IV

. P RAC

. & R EM

. C ODE
§51.014(e).

Parties

9. The parties to the tr ial

- court proceeding and their trial and appellate

attorneys are the following:

Attorneys for Plaintiff Mollie Allen Childs:
Rudy A. Garza rugar@hfgtx.com Charles M. Hornberger boxy@hfgtx.com David Jed Williams jwilliams@hfgtx.com Stephanie L. Curette scurette@hfgtx.com H ORNBERGER S HEEHAN F ULLER & G ARZA , I NC

. The Quarry Heights Build ing 7373 Broadway, Suite 300 San Antonio, Texas 78209 Telephone: (210) 271

– 1700 Facsimile: (210) 271

– 1730 Attorneys for Defendant Susan Kaye Childs Addison:

Ben A. Wallis, III State Bar No. 24060793 B EN A. W ALLIS L AW PC 8200 IH 10 West #101 San Antoni o, Texas 78230 Telephone: (210) 525

– 1500 Facsimile: (210) 525

– 9323 baw3@wallislawsa.com3

1963695.3/SPSA/34092/0101/100215 Attorneys for Defendant Pamela Ann Childs McCaskill: James Maverick McNeel State Bar No. 24035491 James.McNeel @strasburger.com Judith R. Blakeway State Bar No. 02434400 Judith.Blakeway@strasburger.com David P. Stanush State Bar No.19056300 David.Stanush@stra sburger.com Andrew L. Kerr State Bar No. 11339500 Andy.Kerr@strasburger.com Zachary C. Zurek State Bar No. 24079668 Zach.Zurek@strasburger.com S TRASBURGER & P RICE , LLP 2301 Broadway San Antonio, Texas 78215 Telephone: (210) 250

- 6000 Facsimile: (210) 250

- 6100

10. The parties have agreed that the appeal involves controlling questions

of law on which there is substantial ground for difference of opinion and t hat an

immediate appeal may materially advance the ultimate termination of this

litigation.

Statement of Facts

11. Specifically, this case involves the enforcement of a contract between

the parties, entered into by them as heirs of the estate of their moth er (Marjorie

Childs), in an effort to equalize assets they expected to receive as beneficiaries of4

1963695.3/SPSA/34092/0101/100215 her estate. The case also involves claims against Mollie Childs in her various

fiduciary roles as power of attorney, trustee and executrix.

12. The parties (t hree sisters) are the only beneficiaries of their mother’s
estate. Prior to their mother’s death, they entered into a contract dividing up

accounts created as a result of the sale of stock inherited by their mother from their

grandmother. At the time the accounts were set up, they were titled as life estate

accounts in hopes that the funds would be treated as part of a valid life estate, so
they would not be taxable as part of Marjorie’s estate. There was considerable

doubt as to the validity of the life estate, but there was an attempt to treat the funds
that way, based on the intent in their grandmother’s Will and because of the tax

benefits that would inure to the parties. However, the contract is not contingent on

any finding that a life estate exist s or not, as argued by Mollie. Rather, the material

terms are a division of two accounts in a way that is different than an equal split as

they might expect as heirs of the estate.

13. Mollie claims that there is insufficient consideration for the

agreement

— which she, as an attorney, helped draft. As shown by the evidence,

Appellants disagree because the consideration is (1) forbearance from suit against
Mollie; and (2) giving up certain expectancy rights as heirs of their mother’s estate

in the two account s.5

1963695.3/SPSA/34092/0101/100215 14. Secondly, Mollie claims that the contract should be rescinded because

the parties were all under a mutual mistake of fact as to the existence of a life

estate. Appellants disagree because there is considerable evidence to reflect that

(1) if any mistak e occurred, it was not mutual; (2) if there was a mistake, it was not

material

—

not even a term of the agreement; and (3) the mistake

— if there was

one

— is a mistake of law (the interpretation of language in a Will), not a mistake of

fact.

15. Initially, the tria l court denied Mollie’s motion for summary

judgment. Mollie then filed a motion for reconsideration. Upon rehearing, the trial
court granted Mollie Childs’ motion for summary judgment and denied Pamela
Ann McCaskill Childs’ motion for summary judgment.

Statement of Issues

16. The controlling questions of law presented in this appeal are

(1) whether a mistake that a will created a life estate is a mistake of law or a

mistake of fact, and if there is a mistake of fact, whether a contract between the

parties c an be rescinded by summary judgment, (2) whether there was sufficient

consideration to support the validity of a contract where there was a threat of

litigation and the parties negotiated awa y their expectancy interest as heirs of an

estate, or (3) whether a fact issue exists that precludes summary judgment.6

1963695.3/SPSA/34092/0101/100215 17. An immediate appeal may materially advance the ultimate termination

of this litigation because the contract is the primary issue determi ning the parties'

inheritance rights as beneficiaries of the estate. In addition, determination of

(1) the validity of the contract and (2) whether a contract between the parties can

be rescinded by summary judgment, will likely result in limiting or elim inating

litigation on the remaining issues between the parties, as the funds subject to the
contract are the only remaining “estate” funds in dispute. So, resolution of the

contract validity could very well resolve the other pending issues in the case. T EX

.

R. A PP

. P. 28.2(c)(7); see T EX

. C IV

. P RAC & R EM

. C ODE §51.014(d)(2).

WHEREFORE, Defendants pray that the Court pursuant to the Civil Practice

& Remedies Code §51.014(d) enter an order permitting appeal from the court’s

order on the cross

- motions for summary judgment.7

1963695.3/SPSA/34092/0101/100215 R ESPECTFULLY SUBMITTED ,
S TRASBURGER & P RICE , L.L.P.

By : /s/ Judith R. Blakeway Judith R. Blakeway State Bar No. 02434400 Judith.Blakeway@strasburger.com James Maverick McNeel State Bar No. 24035491 James.McNeel@strasburger.com David P. Stanush State Bar No.19056300 David.Stanush@strasburger.com Andrew L. Kerr State Bar No. 11339500 Andy.Kerr@strasburger.com Zachary C. Zurek State Bar No. 24079668 Zach.Zurek@strasburger.com 2301 Broadway San Antonio, Texas 78215 Telephone: (210) 250

- 6000 Facsimile: (210) 250

- 6100

ATTORNEYS FOR DEFENDANT PAMELA ANN CHILDS MCCASKILL B EN A. W ALLIS L AW PC

By: Ben A. Wallis, III Ben A. Wallis, III State Bar No. 24060793 8200 IH 10 West #101 San Antonio, Texas 78230 Telephone: (210) 525

– 1500 Facsimile: (210) 525

– 9323 baw3@wallislawsa.com

ATTORNEYS FOR DEFENDANT SUSAN C. ADDISON8

1963695.3/SPSA/34092/0101/100215 CERTIFICATE OF SERVICE

I hereby certify that on th e 2d day of October, 2015, a true and correct copy of the above and foregoing Petition to Permit Agreed Interlocutory Appeal has been transmitted in accordance with the requirement of the Texas Rules of Civil Procedure, addressed as follows:

Rudy A. Garza rugar@hfgtx.com Charles M. Hornberger boxy@hfgtx.com David Jed Williams jwilliams@hfgtx.com Stephanie L. Curette scurette@hfgtx.com H ORNBERGER S HEEHAN F ULLER & G ARZA , I NC

. The Quarry Heights Building 7373 Broadway, Suite 300 San Antonio, Texas 78209 Telephone: (210) 271

– 1700 Facsimile: (210) 271

– 1730

Attorneys for Plaintiff Mollie Allen Chil ds Ben A. Wallis, III B EN A. W ALLIS L AW PC 8200 IH 10 West #101 San Antonio, Texas 78230 baw3@wallislawsa.com

Attorneys for Defendant Susan Kaye Childs Addison

/s/ Judith R. Blakeway J UDITH R. B LAKEWAY