THI RD DI VI SI ON

DI L LA RD, P. J.

, GOBEI L and HODGES, JJ.

N O T IC E : M otions for r e c ons i de r a tion m us t be

ph y sic a l ly r e ce iv ed i n our c le r k ’s offic e w ithin te n

da y s of the da te of de c is ion to be de e m ed tim e ly file d.

http://w w w .ga a ppe a l s .us /r ule s

October 17, 2019



# I n th e Co u r t o f

A p p eals o f

G eo r g ia

A1 9 A1 16 5

, A1 9 A1 1 6 6

. HARRIET H. RONDOW SKY, AS COTRUSTEE OF THE CHARLES C. HARM A N T R UST v

. M ARY HARM AN BEARD, AS EXECUTRIX OF T H E

ESTATE OF J AM ES H. BEARD, III; an d v i ce v ers a.

D I LLA R D , Pres i d i n g J u d g e.

Harri et t H. Ro n d o ws k y

, as co -t ru s t ee o f t h e Ch arl es C. Harm an Tru s t

, ap p eal s

t h e t r i a l co u rt ’ s g ran t o f s um m ary ju d g m en t i n fav o r o f Mary Harm an Beard

, a s

ex ecu t ri x o f t h e es t at e o f J a m e s H. Beard

, III (Cas e N o

. A1 9 A 1 1 65 ). Sp eci fi cal l y

,

Ro n d o ws k y arg u es t h a t t he t ri al co u rt erred i n gran t i n g s u m m ary ju d g m en t b as ed

s o l el y o n t h e p l ai n l an gu ag e of OCGA § 5 3 -1 2-2 0 4 wh en t h e co u rt d i d n o t (1 )

p erfo rm “ t h e n eces s ary an al y s i s o f t he en t i re fact u al ci rcu m s t an ces pres en t ed b y t h i s

cas e,” an d (2 ) co n s i d er t h e “ ram i fi cat i o ns ” o f o t h er l i t i g at i o n p en d i n g b et ween t h e

p art i es

. Mary Harm an Beard

, as ex ecu t ri x o f t h e es t at e o f J am es H. Beard

, III, cro s s

-a p peal s t h e t ri al co u rt ’ s d en i al o f a m ot i o n to d i s qu al i fy co u n sel of r e c o r d f r o m

rep res en t i n g t h e Tru s t (Cas e No

. A1 9 A1 1 6 6 ). Sp eci fi cal l y , Beard co nt en d s t h at t h e

t ri al co u rt erred i n d en y i n g t h i s m o t i o n wh en i t (1 ) co rrect l y h el d t h at Ro n d o ws ky

co u ld no t act un il at eral l y t o bri n g su i t ag ai ns t t he Es t at e, an d (2 ) fai l ed t o o rd er t h e

ret u rn o r rei m

b u rs em en t o f T ru s t as set s u s ed t o fu n d t h e im p ro p er l it i gat i o n

. Fo r t h e

reas on s s et fo rt h i nf

r a , we affi rm

i n b o t h cas es

.

V i ewi n g t h e fact s i n t h e l i g h t m os t fav orab l e t o Ro n d o ws ky ( i .e.

, t h e n o n

m o van t ), 1 t h e reco rd s h o ws t h at Ch arl es C. Harm an ap p o i n t ed h i s s o n -i n -l aw J am es

H. Beard

, III t o act as

, in t er a l i a

, t ru s t ee o f a t ru s t creat ed u nd er t h e t erm s o f

Harm an ’ s wi l l

— t h e Ch arl es C. Harm an Tru s t

. Th e rel ev an t i n co m e b en efi ci ari es o f

t h e Tru s t were Harm a n ’s t h ree d au g h t ers : Jen i l u Harm an

, Harri et t Harm an

Ro n d o ws k y (ap p el l an t / cro ss -ap p el l ee), an d M ary Harm an Beard (ap p e l l ee/ cro s s

ap p el l an t ). Aft er J a m e s B e ard res i g n ed as t ru st ee, Ro n d o ws k y an d h er n i ece, M ary

Harm an Beard ’ s d au g ht er, Jen ny Beard Bi eh u nk o

, as s u m ed t h e ro l es o f co -t ru s t ees

fo l l o w i n g el ect i o n t o t h is p os i ti o n b y t h e Tru s t b en efi ci ari es

.

1 S ee, e.g

. , Co wa r t v. W

i d en er

, 2 8 7 Ga. 6 2 2

, 6 2 4 (1 ) (a) (6 9 7 SE2 d 7 7 9 ) (2 0 1 0 )

(“ In o u r d e n o v o rev i ew o f t h e g ran t o f a m o t i o n fo r s u m m a r y ju d g m e n t

, we m u s t

v i ew t h e ev i d en ce, an d al l reas o n ab l e i n feren ces d rawn t h erefro m

, i n th e l i gh t m o s t

fav o rab l e t o t h e n on m o v an t .” (p u n ct u at i o n o m i t t ed )).

2On Sep t em b er 1 4

, 2 01 7

, i n h er cap aci t y as a co -t ru s t ee o f th e Tru s t

,

Ro n d o ws k y fi l ed a co m

pl ai n t ag ai n s t Beard i n h er cap aci t y as ex ecu t r i x o f J a m es

Beard ’ s es t at e. Ro n d o ws k y as s ert ed t h at Jam es Beard s e r v e d a s s o l e tru s tee o f t h e

Tru s t fro m No vem

b er 1 9 8 0 u n t i l M arch 2 0 1 5

, an d d uri n g th at t i m e, h e b reach ed h i s

fi du ci ary d u t i es

, co m m i t t e d co n v ers i o n

, an d m ad e frau d u l en t tran s fers

. An d as a

res u l t, Ro n d o ws k y s o u g h t i m p o s i t i o n o f a co ns t ru ct i v e t ru s t ag ai n s t Beard i n h er

cap aci t y as ex ecu t ri x o f t h e Es t at e.

In res po ns e, Beard as s ert ed th at Ro n d o w s k y l ack ed s t an d i n g to bri n g s u it o n

b eh al f o f t h e Tru s t b ecau s e s h e had n o t o bt ai n ed co -t ru s t ee Bi eh u n k o’ s co n s en t t o fi l e

t h e laws u i t

. Beard a l s o as s ert ed co u nt ercl ai m s ag ai n s t Ro n d o ws k y

, i n cl u d i n g an

a s s ert i on t h at Ro n d o ws k y was u s i ng Tru s t as s et s t o p ay fo r wh at am o u n t ed t o

p ers o n al co u n s el

— d u e to t h e al l eg ed l ack o f s t an d i n g

— i n t he act i o n ag ai n s t Beard

.

In b ri n g in g t h es e co u n t ercl ai m s

, Beard n o ted t h at sh e was “ n o t a p art y t o t h i s act i o n

s i nce s h e i s n am ed o n ly

i n h er rep res en t at i v e cap aci t y o n beh al f of t h e Es t at e” an d,

t h u s

, s h e b el iev ed t h at “ cl ai m s ag ai n st t h e Tru s t an d cl ai m s as s ert ed i n h er i n d i v i d u al

cap aci t y are n o t p ro p erl y as s ert ed as co m p u ls o ry co u nt ercl ai m s i n th i s act i o n .” Th u s

,

s h e as s ert ed h er co u n tercl ai m s “ i n an ab u n d an ce o f cau t i o n .” An d al l fu t u re rel ev an t

fi li n g s b y Beard were al so m ad e i n h er cap aci t y as ex ecu t ri x o f t h e Es t at e.

3Beard l at er fi l ed a m ot io n fo r s u m m ary ju d g m en t o n M ay 2 5 , 2 0 18 , as s ert i n g

t h at t h e m o t i o n s h o u l d b e g ran t ed b ecau s e— as p rev i o u sl y rai sed i n h er an swer an d

co u nt ercl ai m

— Ro n d o ws k y l ack ed s t an d i n g t o b ri n g t h e act i o n o n beh al f o f t h e Tru s t

wi t h o u t t h e co ns en t o f co -t ru s t ee Bi eh u n k o

, as req u ired b y OCGA § 5 3 -1 2 -2 0 4 (1 ).

Th at s am e d ay

, Beard al s o fi l ed a m o t i o n t o d i s q u al i fy co un s el of reco rd fro m i t s

p u rp ort ed rep res en tat i o n o f t h e Tru s t an d t o req u i re rei m bu rs em en t of Tru s t as s et s

u s ed t o fu n d t h e act i o n

, rel y i n g u p o n t he sam e reas o n in g as t h e m o t i o n fo r s u m m ary

ju d g m en t

.

In s u p p o rt o f h er arg u m en t s

, Beard s u b m i t t ed an affi dav i t fro m Bi eh un k o

, wh o

av erred t hat aft er s he an d Ro nd o ws k y as s u m ed t h e ro l es o f t ru s t ees

, t h ey em p l o y ed

t h e s erv i ces of p ro fes si o nal s to i n v es t i g at e po t en ti al cl ai m s fo r m i s m an ag em en t o f t h e

Tru s t by Bi eh u n ko ’ s fat h er, J am es Beard

. Th ereaft e r

, Ro nd o ws k y an d Bi eh u n k o

p art i ci p at ed i n an u n s u cces s fu l m ed iat i on wi t h t h e Es t at e; b u t t h e p art i es co n t i n u ed

t o neg o t i at e an d reach ed a p rel i m i n ary s et t l em en t ag reem en t

. Th u s

, Bi eh u nk o d i d n ot

co n sen t t o

— an d i n s t ead ex p res s l y o b ject ed t o

— t h e T ru s t fi l i n g su i t ag ai n s t t h e

Es t at e. Bi eh u n k o al so av erred t h at s h e o bject ed t o fi l i n g s u i t b ecau s e (1 ) s h e feared

t h e T ru st wo u l d h av e d i ffi cu l t y p ro v i n g i t s cl ai m s d u e t o t h e pas s ag e o f t i m e, (2 ) t h e

Es t at e i nd i cat ed t h at it wo u l d fi l e co u n t ercl ai m s ag ai n s t t he Tru s t

, an d (3 ) s h e feared

4l i ti g at i o n wo u l d b e co m p l ex

, l en g t h y

, an d “ ru i n o u sl y ex p en s iv e” fo r t h e T ru s t

. As to

t h i s fi n al p oi n t

, Bi eh u n k o ex p res s ed co n cern t h at t h e co st to th e T ru s t wo u l d “ d ep ri v e

t h e t h ree i n co m e b en efi ci ari es o f i n co m e d i s t ri bu t i o n s fo r y ears t o co m e,” wh i ch s h e

“ b el i ev ed was so m et h i n g t o av o i d s i n ce t h ey [were] al l o f ad v an ced ag e.” Bi eh u n k o

al s o as s ert ed t h at co u ns el o f reco rd fo r t h e T ru s t i n t h i s l i t i g at i o n h ad o n l y ev er s erv ed

as p ers o n al co u n s el t o Ro nd o ws k y i n t he p as t

, an d Bi eh u n ko h ad n ei th er co n s en t ed

t o co u ns el en t e ri n g an ap pearan ce o n beh al f o f t h e Tru s t no r t o Ro n d o w s ky u s i n g

Tru s t as s et s t o p ay

t h e l eg al fees

.

In res p o n s e t o i n t erro g a t o r i es

, Ro n d o ws k y ad mi t t ed t h at Bi eh u n k o n ev er

co n sen t ed t o t h e Tru st em p l o y i n g co u n s el of reco rd o r u s i n g Tru s t as set s t o fu n d t h e

l i ti g at i o n

. An d s h e fu rt her a dmi t ted t h at Bi eh u n k o h ad n o t a p p r o v ed o f t he act i o n

ag ai n s t t he Es t at e. Bu t i n a res p o n d i ng af f i d a v i t t o Beard ’ s m o t i o ns

, Ro n d o ws ky

av erred t h a t B i eh u n k o s u ffered fro m a co n fl i ct o f i n t eres t

— b ecau se o f h er

m o th er– d au g h ter rel at i o n s h i p wi t h Beard —an d s h o u l d h av e res i gn ed as co -t ru s t ee o r

recu s ed h ers el f fro m an y pro ceed i ng s

. Th u s

, Ro n d o ws k y arg u ed t ha t s h e h ad b een

p l aced i n t h e p o s i t i o n o f h av i n g t o “ g o i t al o n e” t o p ro t ect t h e Tr u s t

, wh i ch

, s h e

5arg u ed

, was p erm it t ed u n d er Geo rg i a law. 2 M o re p reci s el y

, sh e as sert ed t h at

Bi eh un k o ’ s co n fl i ct o f i n t eres t p res en t ed t h e t ri al co u rt wi t h a g en u in e i s s u e o f

m a t e r i a l fact as t o h er act i o ns i n fai l i n g to co ns en t t o th e act i on

. Ro n d o ws k y al s o

m ai n t ai n ed t h at Bea r d l ack ed s t an d i n g t o s eek red res s ag ai n st t he T ru s t wh i l e act i n g

i n h er cap aci t y as ex ecu t ri x o f t h e Es t at e, b ecau s e Beard was n o t a ben efi ci ary o f t h e

Tru s t i n t h at cap aci t y

.

On Sep t em

b er 6

, 2 0 18

, t h e t ri al co u rt g ran t ed Beard ’ s m o t i o n fo r s u m m ary

ju d g m en t

, co n cl u d i ng th a t R o n d o w s k y was s erv i n g as a co -t ru s t ee al o n g s i d e

Bi eh un k o an d t h at Bi eh u n k o h ad no t on l y d e c l i n ed t o co n sen t t o t he fi l i ng o f t h e

act i on b u t h ad s p eci fi cal ly o b ject ed t o i t fo r a n u m

b er o f reas on s

. Th u s

, t h e t ri al co u rt

co n cl u d ed th at

, as o n e of t wo co -t ru s t ees

, Ro n d o ws k y was n o t au t h ori zed t o fi l e s u i t

o n beh al f o f t h e T ru st o v er t h e o b ject i o n s o f h er co -t ru s t ee. Th e co u rt al so co n cl u d ed

t h at

, b as ed u p o n it s g ran t o f s u m m ary ju d g m en t t o Beard

, al l o t h er p en d i n g m o t i on s

i n t h e cas e were ren dered m o o t

, i n cl u d i n g Beard ’ s m ot i on t o d i sq u al i fy co u n s el

.

Th es e ap peal s fo l l o w.

2 In s u p p o rt , Ro n d o ws k y

as s ert ed t h at Geo rg i a l aw p erm i t ted h er t o m ai n t ai n

an act i o n t o co m

p el Bi eh u n ko t o act o n b eh al f o f t he T ru s t, b ut th at t he ti m i n g o f t h e

fai l ed m ed i at i o n an d s et t l em en t p recl u d ed her fro m p u rs u i n g s u ch an act i o n

. Sh e al s o

arg ue d tha t Geo rg i a’ s req u i rem en t t h at co -t ru s t ees act u n an i m o u sl y i s “ a m i n ori t y ru l e

i n t h e Un i t ed St at es .” Fo r t he reas o n s set fo rt h i n fr a

, t hes e as s ert i on s are u n av ai l i n g.

61

. Ca s e No

. A1 9 A1 1 6 5

. Ro n d o ws k y arg u es t h at t h e t ri al co u rt erred i n g ran t i n g

s u m m ary ju d g m en t t o Beard bas ed s o l el y o n t h e p l ai n l an g u ag e o f OCGA § 5 3 -1 2

-

2 0 4 (1 ). Sp eci fi cal ly

, s h e co n t en d s t h at th e t ri al co u rt e r r e d i n g ran t i n g Beard ’ s

m o ti o n wh en t he co u rt d id n o t (a) p erfo rm “ t h e n eces sary an al y s is o f t h e en ti re fact u al

ci rcu m s t an ces pres en ted b y th i s cas e,” o r (b ) co n s i d er t h e “ ram i fi cat i o n s ” o f t h e o t h er

l i ti g at i o n p en d i n g b et ween t h e p art i es

. W e w i l l co n s i der bo t h of t hes e arg u m en t s i n

t u rn

.

In i n t erp ret i n g an y s t at ut e, “ we n eces s ari l y b eg i n o u r an al y s i s wi t h fam i l i ar an d

b i n d i n g can o n s o f co ns t ru ct i on

. ” 3 A n d i n co n si d eri ng t h e m ean i n g o f a s t at u t e, o u r

ch arg e is t o “ p res u m e th at t h e G en eral As s em b ly m ean t wh at i t s ai d an d s ai d wh at i t

m ean t .” 4 To t h at en d, w e m u s t affo rd th e s t at ut o ry tex t i ts p l a i n an d o rd i n ary

m ean i n g

, 5 co n s i d er t h e t ex t co n t ex t u al l y

, 6 read t h e t ex t “ i n i t s m o st n at u ral an d

3 Ho l co mb v. Lo n g , 3 2 9 Ga. Ap p . 5 15 , 5 1 7 (1 ) (7 6 5 SE2 d 6 8 7 ) (2 0 1 4).

4 Dea l v. Co l ema n

, 2 9 4 Ga. 1 7 0

, 1 7 2 (1 ) (a) (7 5 1 SE2 d 3 37 ) (2 0 1 3 )

(p u n c t u at i on & ci tat i o n om i t t ed ); a cco r d Ar b y’s R es t au r a n t Gr o u

p

, In c. v. McRa e

, 2 9 2 Ga. 2 4 3, 2 4 5 (1 ) (7 34 SE2 d 5 5 ) (2 0 1 2 ); Ma rt i nez v. S t a t e

, 3 2 5 Ga. Ap p

. 2 6 7

, 2 7 3

(7 5 0 SE2 d 5 0 4 ) (2 0 1 3 ).

5 Dea l

, 29 4 Ga. at 1 7 2 (1 ) (a) ; s e e S t a te v. Ab l e

, 3 2 1 Ga. Ap p

. 63 2

, 6 3 6 (7 4 2

SE2 d 1 49 ) (2 0 1 3 ) (“ A ju d g e is ch arg ed wi t h i n t erp ret in g t h e l aw i n acco rd an ce wi th

t h e o ri g i n al an d /o r p l ai n m ean i n g o f t h e t ex t at i s s u e (an d al l t h a t t h e tex t fai rl y

i m p l i es )[.] ”); S i n g l et a r

y v. St at e

, 3 1 0 G a. Ap p

. 5 7 0

, 57 2 (7 1 3 SE2 d 6 9 8 ) (2 0 1 1 ) (“ In

7reas on ab l e way

, as an o rd i n ary s p eak er o f t h e En g l i s h l an g u ag e wo u ld ,” 7 an d s eek to

“ av o i d a co n s t ru ct i o n th at m ak es s o m e l an g u ag e m ere s u rp l u s ag e.” 8 Th u s

, wh en t h e

l an g u ag e o f a s t at u t e i s p l ai n an d s u s cep t i b l e o f o n l y o n e n a t u ral an d reas o n ab l e

co n st ru ct i o n , “ co urt s m

u s t co n s t ru e t h e s t at u te acco rd i n g l y .” 9

co n st ru i n g t h es e s t at u t es

, we ap p l y t h e fu n d am en t al ru l es o f s t at u t o ry co ns t ru ct i o n

t h at req u i re u s t o co n s tru e t h e s t at u t es acco rd i ng t o t h ei r t erm s, [an d ] t o g i v e wo rd s

t h ei r p lai n an d o rd i n ary

m ean i n g [.] ” (p u n ct u at i o n & ci tat i on o m i t ted )).

6 S ee Ar i z o n a v. In t er Tr i b a l Co un ci l o f Ar i zo n a , In c. , 5 7 0 U.S. 1, 1 0 (II) (B)

(1 3 3 SCt 2 24 7

, 1 86 LE2 d 2 3 9 ) (2 0 1 3 ) (Scal ia, J .) (“ W o rd s t h at can h av e m o re t h an

o n e m ean i n g are gi v en co n t en t

, h o w ev er, b y t h ei r s urro u n di n g s

. ” ( p u n ct u at i o n &

ci t at i o n o m i t t ed )); Dea l

, 2 9 4 Ga. at 17 2 (1 ) (a) (“ [W ] e m u st v i ew t h e s t at u t o ry t ex t in

t h e co n tex t i n w h ich i t ap p ears [.] ”); Hen d r y v. Hen d r y

, 2 9 2 Ga. 1

, 3 (1 ) (7 3 4 SE2 d

4 6 ) (2 0 1 2 ) (s am e); In t h e In t er es t o f L. T.

, 3 2 5 Ga. Ap p

. 5 9 0

, 59 2 ( 7 5 4 S E2 d 3 8 0 )

(2 0 1 4) (s am e); Ma r t i n ez

, 3 25 Ga. Ap p. at 2 7 3 (s am e); s ee a ls o O C G A § 1 -3 -1 (b )

(“ In al l in t erp ret at i o n s o f s t a t u t es

, t h e o rd i n ary s i g n i fi cat io n s h al l b e ap p l i ed t o al l

wo rd s

. . . .”); S

ch er r v. Ma r ri o t t In t er n

., In c.

, 7 0 3 F.3 d 10 6 9

, 1 0 7 7 ( 7 t h Ci r. 2 0 1 3 )

( M an i o n

, J .) (“ In s t at u t ory co ns t ru ct i on cas es

, we beg i n wi t h t h e l an gu ag e o f t h e

s t at u te it s el f an d th e s p eci fi c co n t ex t i n w h i ch t h at lan g u ag e i s u s ed .” (p u n c t u at i o n

& ci t at i o n o m i t t ed )).

7 Dea l

, 2 9 4 Ga. at 1 7 2-7 3 (1 ) (a); a cco r d Lu a n gkh o t v. St a t e

, 2 9 2 G a. 4 2 3

, 4 2 4

(1 ) (7 36 SE2 d 3 97 ) (2 0 1 3 ); M a r t i n ez , 3 2 5 Ga. Ap p. at 2 73

.

8 In t h e In ter es t o

f L. T.

, 32 5 Ga. Ap p. at 5 9 2 (p u n ct u at io n & ci t at i on o m i t t ed );

a cco rd Ga

. Tr a n smi s s i o n Co r p

. v. W o r l ey

, 31 2 Ga. Ap p

. 8 5 5

, 8 5 6 (7 2 0 SE2 d 3 0 5 )

(2 0 1 1); S i n g l et a r

y , 3 10 Ga. Ap p . at 5 7 2

.

9 Lu a n g kh o t

, 2 9 2 Ga. at 4 2 4 (1 ) (p u n ct u at i o n o m i t t ed ); s ee Dea l

, 2 9 4 Ga. at 1 7 3

(1 ) (a) (“ [I] f th e st at ut o ry tex t i s cl ear an d u n am b i g u ou s

, w e at t ri b u t e t o t h e s t at u t e i t s

p l ai n m ean i ng

, an d o u r s earch fo r s ta t u t ory m ean i n g i s at an en d

. ” (p u n ct u at i o n

o m it t ed )); Ma r t i n ez , 3 2 5 Ga. Ap p . at 2 7 3 (s am e).

8Here, we co n s i d er t h e p l ai n m ean in g o f OCGA § 5 3 -1 2 -2 0 4 (1 ), wh i ch

p ro v id es t h at wh en “ [a] p o wer [i s ] v es ted i n t wo o r m o re t ru s t ees ,” t h e au t h o ri t y o f

t h o s e co -t ru st ees t o act o n beh al f o f t he t ru s t “ s h a l l o n l y b e ex erci s ed b y t h ei r

u n an im o u s act i o n ; p ro v i d ed

, h o wev er, t hat a co tru s tee m ay d el eg at e to o n e o r m o re

o t h er co t ru s t ees t h e p erfo rm an ce o f m i ni s t eri al act s [.] ” Th e o n l y ex cep ti o n s t o t h i s

ru l e are (1 ) i f a v acan cy ar i s e s i n t h e o ffi ce o f a co -t ru s t ee, i n wh i ch cas e “ t h e

rem ai n i n g co t ru s t ee o r co t ru s tees m ay act u n l es s o r u nt i l t h e v acan cy i s fi l l ed ; ” 1 0 an d

(2 ) i f a co -t ru s t ee i s u n ab le t o act “ b eca u s e o f i n acces s i b i l it y

, i l l n es s

, o r o t h er

t em p o rary i n cap aci ty ,” i n wh ich cas e “ t h e rem ai n i n g co t ru s t ee o r co tru s t ees m ay act

as i f t h ey were t h e o n l y t ru s t ees wh en n eces s ary t o acco m p l i s h t h e p u rp os es o f t h e

t ru s t .” 1 1 An d ap p l y i n g t h e p lai n l an g u ag e o f t h es e s t at u t ory p ro v i s io n s, th e t ri al co u rt

co n cl u d ed t h at Ro n do ws k y lack ed s tan d i n g t o b ri n g s ui t o n b eh al f o f t he Tru s t wh en

i t was u n d i s p u t ed t h at Bi eh u n ko

, h er co -t ru s tee, h ad n o t co n s en t ed t o fi l i n g s u i t an d

h ad i n fact ex p res s l y

o b ject ed t o d oi n g s o

.

(a) Nev ert h el es s

, Ro nd o ws k y arg u es t hat t h ere are g en ui n e i s s u es of m at eri al

fact as t o wh et h er her d u t y t o p ro t ect t h e Tru s t un d er OCGA § 5 3 -1 2 -3 0 5 (a ) (3 )

1 0 OCGA § 5 3 -1 2 -2 0 4 (2 ).

1 1 OCGA § 5 3 -1 2 -2 0 4 (3 ).

9o v ercam e t h e p l ai n l an g u ag e o f OC GA § 5 3 -1 2 -2 0 4

. Sh e al so co n t en d s t h at

Bi eh un k o ’ s al l eg ed co n fl i ct o f i n t eres t creat ed a g en u i n e i s s u e o f m at eri al fact as to

t h e ap pro p ri at en es s o f her fai l u re t o co n s en t t o t h e act i o n

. Bu t un d er t h e p l a i n

l an g u ag e o f OCGA § 5 3 -1 2 -2 0 4 , as s et fo rt h s u p r a , n ei th er arg um en t h o l d s wat er.

OCGA § 5 3 -1 2 -3 0 5 ( a ) ( 3 ) s p eci fi es t h at “ [a] t ru s t ee s h al l b e l iab l e t o t h e

b en efi ci ary fo r a b reach co m m i t t ed b y a co tru s t ee i f su c h t ru s t ee[ ]

. . . [a] p p ro v es

,

k n o wi n g l y acq u ies ces i n

, o r co n ceal s a b reach o f t ru st co m m it t ed b y t h e co tru s t ee[.] ”

Bu t s et t i n g as i de wh et her an y t en s i o n ex is t s b et ween O CGA § 5 3 -1 2 -3 0 5 (a) (3 ) an d

OCGA § 5 3 -1 2 -2 0 4

, Ro n d o ws k y ’ s arg um en t as s u m es t h at Bi eh u nk o ’ s fai l u re to

co n sen t t o f

i li n g t he act i o n is i t s el f a b reach o f t ru st

. An d t h e rem ed y fo r s u ch a

s i tu at i o n l ies w i t hi n OCGA § 5 3

- 1 2

- 3 0 6

, wh i ch p ro v i d es t h at “ [a] t ru s t ee m ay

m ai n t ai n an act i o n ag ai n s t a co t ru s t ee t o : (1 ) [c] o m p el t h e co t ru s t ee t o p erfo rm d u ti es

req u i red u n d er t he t ru s t ; (2 ) [e] n jo in t h e co t ru st ee fro m co m m it t i n g a b reach o f t ru s t ;

o r ( 3 ) [ c] o m

p el t he co t ru s t ee t o red res s a breach o f tru s t co m m i t t ed b y s u ch

co t ru s t ee.” 1 2 Th u s

, i f Ro n do ws k y t r u l y b el i ev ed t h at Bi eh u n k o ’ s refu sal t o co n s en t

t o s u i t co n s ti t u t ed a b reach of t ru s t

, o r t h at Bi eh u n k o s u ffered fro m a co n f l i ct o f

i n t eres t

, Ro n d o ws k y h ad rem ed i es t o ri g h t th o s e al l eg ed wro n gs

. Bu t u n d er t h e p l ai n

1 2 OCGA § 5 3 -1 2 -3 0 6 (a) (1 )-(3 ).

10l an g u ag e o f OCGA § 5 3 -1 2 -2 0 4

, u n i l at eral l y fi li n g s ui t o n b eh al f o f t h e Tru s t was n ot

o n e o f t h em

. 1 3

(b ) Ro nd o ws k y a l s o as s ert s t h at t h e t ri al co u rt s h o u l d h av e co ns i d ered t h e

ra m i fi cat i o n s o f t h e s ep arat el y

— an d lat er— fi l ed act i o n b et ween t h e p art i es b efo re

g ran t i n g s u m

m ary ju d gm en t i n t h i s cas e. Th is arg u m en t i s al s o a n o n s t art er.

As o f Ap ri l 2 0 18

, Beard fi l e d a s e p arat e act i o n i n Fu l to n Co u n t y ag ai n s t

R ondow sky a nd B ie hunko, se e king— a c c or ding to R ondow sk y

— t o reco v er “ dam age s

p ri m ari l y ag ai n s t [Ro n d o w s k y ] i n d i vi d ual l y ” on g ro u n ds o f al l eg e d b r each es o f

fi du ci ary d u t y

. In t hat act i o n

, wh i ch t h e part i es referred t o i n t h e t ri al co u rt as t h e

“ 2 0 1 8 act i o n ” (as o p p o sed t o th i s cas e, t h e “ 2 0 1 7 act io n ”), Ro n d ows k y b ro u g h t a

1 3 W e are u nco n v in ced b y Ro n d o w s k y ’ s ci t at i o n t o S mi th v. Fr a n ci s

, 2 2 1 Ga.

2 6 0 (1 4 4 SE2 d 4 3 9 ) (1 96 5 ), a cas e d eci d ed 45 y ears b efo re o u r Gen eral As sem b l y ’ s

2 0 1 0 en act m en t o f t h e Rev i sed Geo rg i a Tru st Co de o f 2 0 1 0

. S ee 2 0 1 0 Ga. Laws

, Act

5 0 6

, § 1

, co di

f i ed a t OCGA § 5 3 -1 2 -1 (a). In S mi t h

, t h e Su p rem e Co u rt o f Geo rg i a

h el d t h at

, “ [ w ]h i l e r e co gn i zi n g t h e g en eral ru l e t h at t h e u ni fi ed act i o n o f al l t h e

t ru s t ees i s req u ired to d i s p o s e o f t ru s t p ro pert y

, we g i v e effect t o th e p ro p o s it i o n t h at

,

u n d er ou r l aw, each t ru s tee h as t h e d u t y an d i s cl o t h ed wi t h t h e au t h o ri t y n eces s ary

t o p ro t ect t h e co rp u s o f t h e t ru s t .” 2 2 1 Ga. at 2 6 4 (3 ) (ci tat i o n s o m i t t ed ). Bu t S mi th

co n cern ed o n e o f t wo co -t ru s t ees s i gn i n g an affi d av i t t hat t h e p ro pert y on wh i ch a

ju d g m en t cred i t or was at t em p t in g t o l ev ee b el o n g ed t o a t ru s t an d no t t h e ju d g m en t

d eb to r, an d t h e Co u rt det erm i n ed t h at o ne t ru st ee’ s s ig nat u re was s u ffi ci en t t o p ro t ect

t h e as s et s

. Id

. at 2 6 4 -6 5 (3 ). Su ffi ce i t to s ay

, t h e s i t u at i o n i n t h i s cas e i s w h o l l y

i n ap p o s it e.

11cro s s -cl ai m ag ai n s t Bi eh u n k o fo r b reach o f fi d u ci ary d u t y

, s eek i ng

, in t er a l i a

, to

rem o v e h er as a co -t ru s t ee.

Ro n do ws ky es sen t i al l y arg u es t h a t t h e t ri al co u rt s h o u l d h av e p erm i t t ed t h i s

cas e t o g o fo rward b as ed o n t h e h y p o t h et i cal as s u m

p t i o n t h at s he wi l l p rev ai l i n t h e

s ep arat e 20 1 8 act io n, res u l t i n g in Bi eh u n k o b ei ng rem o v ed as co -t ru st ee an d l eav i n g

Ro n d o ws k y t he s o l e t ru s t ee, wh i ch wi l l n o l o n g er req u i re un an i m ou s act io n

. Bu t t h at

s u g g es t i o n co m

pl et el y i g n o res t h at s t an d i n g i s a t h r es ho l d i s s u e. 1 4 An d t h e t ri al co u rt

was n o t r e q u i red t o t ak e a wai t -an d -s ee ap pro ach dep en d en t u po n a s ep arat el y an d

l at er fi l ed act i o n b efo re ad d res s i n g t h e is s u e o f s t an d i n g i n t h e cas e b efo re i t b ecau s e

1 4 S ee, e.g

. , New Ci n g u l ar W ir el es s PCS

, L L C v

. Ga

. Dep ’t o

f Rev.

, 3 0 3 Ga.

4 6 8

, 4 7 0 (1 ) (8 1 3 SE2 d 3 8 8 ) (2 0 1 8 ) (“ [T] h e q u es t i o n o f s tan d i ng i s a j u ri s d i ct i o n al

i s su e.”). Ro n do ws k y rel i es u p o n Mema r v. S t yb l o

, 2 9 3 Ga. Ap p

. 5 28 (6 67 SE2 d 3 8 8 )

(2 0 0 8), t o as s ert t h at t h i s is a s it u at i o n o f m is n o m er; b u t m i sn o m er an d l ack o f

s t an d i n g are en t i rel y s ep arat e i s s u es

. S ee Deg u ss a W

al l S ys

., In c. v. S

h ar p

, 2 8 6 Ga.

Ap p

. 3 4 9

, 3 5 1 (6 4 8 SE2 d 6 8 7 ) (2 0 0 7 ) (“ W h i l e l eav e o f co u rt i s n ot req u i red t o co rrect

a m ere m i s n o m er i n a p art y n am e, t h e at t em pt ed s u b s t it u ti o n o f [t h e ap p el lan t ] fo r [t h e

o ri g i nal fi l i n g p art y ] was m ore t h an an at t em p t t o co rrect a m is no m er.

. . . [Th e]

am en d m en t was n o s i m

p l e at t em p t t o co rrect a n am e as a m i s n o m er, b ut rat h er was

a ch an g e i n act u al p art ies req u i ri n g leav e o f co u rt u n d er O CGA § 9 -1 1 -2 1

. An d

b ecau s e th e t ri al co u rt n ev er al l o wed [ap p el l an t ] t o b eco m e a p art y t o t h e l aws u i t

, [ap p el l an t ] h ad n o s t an d i n g to ap p eal i n th i s act i on .” (fo o t n ot e & ci t at i o n s o m i t t ed )).

12“ [s ] t an d i n g m u s t b e d et erm i n ed at t h e t im e at wh i ch t h e p l ai n t iff’ s co m p l ai n t i s

fi led [.] ” 1 5

W e affi rm

, t h en

, t h e t ri al co u rt ’ s g ran t o f s um m ary ju d g m en t t o Beard o n t h e

b as i s t hat Ro nd o ws ky

— i n her cap aci t y

as t ru s t ee an d act i ng wi th o u t t h e co n s en t o f

h er co -t ru s t ee— l ack ed s t an d i n g

.

2

. Ca s e No

. A1 9

A1 1 6 6

. Beard

, as ex ecu t ri x o f t h e es t at e o f J am es H

. Beard

, III,

cro s s -ap p eal s on t h e t ri al co urt ’ s d en i al of h er m o t i o n t o di s q u al i fy co u n s el of reco rd

fro m rep res en t i n g t he Tru s t

. Sp eci fi cal l y

, s h e arg u es t h at t he t ri al co u rt erred i n d o i n g

s o w h e n (a) t h e co u rt co rrect l y h el d t h at Ro n d ows k y co u l d n o t act un i l at eral l y t o

b ri n g s u i t ag ai n s t t h e E s t a t e, an d (b ) th e co u rt fai l ed t o o rd er th e ret u rn o r

rei m b u rs em en t o f Tru s t fu n d s t h at were u s ed in t h e i m p ro p er l i t i g at i o n. On ce ag ai n,

aft e r g r a n t i n g s u m

m ary ju d g m en t t o Beard

, t h e t ri al co u rt h el d t h at al l o t h er

o u t s t an d i n g m ot i o n s were m oo t . W e ag ree.

1 5 P a r ker v. Leeu wen b u r

g

, 3 0 0 Ga. 7 8 9, 7 9 0 (7 9 7 SE2 d 90 8 ) (2 0 1 7 )

(p u n ct u at i o n o m i tt ed ); a c c o r d Ph i l l i p s v. Sel ect o S

ci en t i f i c

, 3 0 8 Ga. Ap p

. 4 1 2

, 4 1 2

(1 ) (7 0 7 SE2 d 6 1 5 ) (2 0 1 1); As s oc. Cr ed i t U n i o n v. Pi n to

, 29 7 Ga. Ap p

. 6 0 5

, 6 0 6 (6 7 7

SE2 d 78 9 ) (2 0 0 9 ); s ee Lewi s v. Va n An d a

, 2 82 Ga

. 7 6 3

, 7 6 5 (1 ) (6 5 3 SE2 d 7 0 8 )

(2 0 0 7) (“ Th e t i m el y as s ert i on o f a s t an di n g d efen s e i s n ece s s a r y t o p rev en t

. . . [d ] i s co very

, a p ret ri al co n feren ce an d o rd er, an d a fai rl y l en gt h y t ri al co n s u m [i n g ]

ju d i ci al as wel l as p ri v at e res o u rces u n n eces s ari l y

, i f [t h e] p l ai n ti ff h ad n o cap aci t y

t o p u rs ue t h [e] cl ai m

. [St an d i n g ] i s p ri m ar i l y a t h res ho l d q u es t i o n an d g en eral l y

co l l at eral t o t h e real i s s u es .” (p u n ct u at i o n o m i t t ed )).

13(a) As t o Beard ’ s m o ti o n t o d i s q u al i fy co u ns el o f reco rd fro m rep res en t i n g t h e

Tru s t

, t h e t ri al co u rt co rrect l y d en i ed t h i s m o t i o n as m oo t becau s e t h e g ran t o f

s u m m ary ju d g m en t en d ed t h e act i o n. 1 6

(b ) As t o Beard ’ s req u es t t h at t h e t ri al co u rt o rd er Ro n d o ws k y t o ret u rn Tru s t

as s et s t h at were u s ed t o fu n d t he i m p ro p er l i ti g at i o n

, t h e t ri al co u rt p ro p erl y d en i ed

t h i s m ot i o n w h en Beard

— wh o was act i n g t h ro ug h o u t th i s c a s e i n h er cap aci t y as

ex ecu t ri x o f h er l at e h u s b an d’ s Es t at e— lack ed s t an d i n g i n t h at cap aci t y t o s eek s u ch

rel i ef i n t h i s cas e. 1 7 As d i s cu s s ed s u p r a

, t h e arg u m en t t h at Beard l ack ed st an d i n g to

1 6 S ee Ka yl o r v. At wel l

, 2 5 1 G a

. Ap p

. 2 7 0

, 2 7 4 (3 ) (5 5 3 SE2 d 8 68 ) (2 0 0 1 )

(“ [Ap p el l an t] en u m erat es as erro r t h e den i al o f h is m o t i on t o d i s q u al i fy d efen s e

co u ns el

. H o wev er, o u r affi rm an ce o f t he g ran t o f s u m m ary ju d g m en t t o al l d efen d an t s

ren d ers t h i s i s s u e m o o t .”); Mer ch a n t v. Mi t ch el l

, 24 1 G a

. Ap p

. 17 3

, 1 7 4 (2 ) (5 2 5

SE2 d 7 1 0 ) (1 9 9 9 ) (h o l d i n g th at

, i n l i g h t of t ri al co u r t h a v i n g p ro p erl y d i s m i s s ed

p l ai n t i ff’ s act i o n d u e t o t h e fai l u re to s t at e a cl ai m u p o n wh i ch rel i ef co u l d b e g ran t ed

,

t h e t ri al co u rt al s o p ro p erl y d e n i e d as m o o t t h e p l ai n t i ff’ s m o t io n t o d is q u al i fy

co u ns el fo r d efen d an t ).

1 7 S ee OCGA § 53 -1 2 -5 0 1 (a) (1 )-(8 ) ( p r oviding t r ust b en ef i ci a r ies wi t h v ari ou s

rem ed ies fo r a b reach o f t ru s t ); Na l ley v. La n g d al e

, 3 1 9 Ga. Ap p

. 3 5 4

, 3 6 7 (3 ) (a)

(7 3 4 SE2 d 9 0 8 ) (2 0 1 2 ) (p h y s i cal p reced en t o nl y ) (“ Becau s e [co u n t er-cl ai m an t ] i s n o

l o n g er t h e t ru s tee,

. . . h e l ack s s t an d in g t o p u rs u e cl ai m s on b eh al f o f th e rem ai n d er

b en efi ci ari es fo r t h e ret u rn o f t h e t ru s t fu n d s

. [T ]h e ri g h t t o p urs u e an act i o n

c o n cern in g t h e wro n gfu l di s tri b u t i o n o f t ru s t fu n ds b el o ng s ex cl u s i vel y t o t h e t r u s t

b en efi ci a r i e s o r t o on e w i t h t h e au t h o ri ty t o act o n b eh al f o f t h e tru s t b en efi ci ari es

,

s u ch as a co -t ru s t ee o r s u cces so r t ru s tee. ” ); s ee a l s o Ri ch a r d

s v. Ri ch a rd

s

, 2 8 1 Ga.

2 8 5 , 2 8 7 -8 8 (1 ) (6 3 7 SE2 d 6 72 ) (2 0 0 6 ) (“ An ‘ in t eres ted p ers o n ’ is m o re accu rat el y

d efi n ed as a p ers o n or en t i t y wi t h a s peci fi c fi n an ci al s t ak e i n o r a s p eci fi c cl ai m

14s eek t hi s rel i ef wh en act i n g i n th i s cap aci t y was befo re th e t ri al co u rt

. In d eed

, at t h e

h eari n g o n t h e vari o u s m o t i on s i n t h i s a ct i on

, an d i n res p o ns e t o a d i rect q ues t i o n by

t h e t ri al co u rt

, Beard ’ s co un s el ad m i t t ed t h at Beard w a s i n t h e 2 0 1 8 cas e as a

b en efi ci ary

, bu t no t i n th e 2 0 1 7 cas e— i .e.

, th i s cas e— as a b en efi ci ary

. An d al t h o u g h

t h e t ri al co u rt d i d a b l an k et d i sm i s s al o f al l o ut s t an d i n g m o ti o n s as m o o t

, we m ay

affi rm t h e t ri al co u rt i f i t was ri g h t fo r an y reas o n

. 1 8 Acco rd i n g l y

, b ecau s e B eard

ag ai n s t t h e t ru s t

. To t h e ex t en t t h at an y g en u i n e i s s u e o f m at eri al fact m ay rem ai n as

t o t h e al l eg at i o n s t h at t he t ru s tee s h o u ld be rem ov ed an d a recei v er ap po i nt ed b ecau s e

t h e t ru s t ag reem en t h as b een b reach ed

, t h at cl ai m b e l o n g s t o t h e ch i l d ren

, as t h e

b e n e fi ci ari es

, an d n o t t o Ap pel l an t i n h er i n d i v i d u al cap aci t y as t h ei r m o t h er

. ”

(p u n ct u at i o n & ci t at i on s o m i t t ed )). Cf

. Gi l l v. Ha r t

s h o r n

, No

. 4 : 1 2

– CV– 7 7

, 20 1 4 W L

1 4 3 1 1 9 6

, at * 4 -5 (II) (A) (M .D. Ga. Ap ri l 14

, 2 0 1 4) (d i s t i n g u i s h i ng Na l l ey v.

La n g d a l e b y reject i n g arg u m en t t h at p l ai n t i ffs were n o l o n g er b en efi ci ari es wi th

s t an d i n g b ecau s e, un li k e t h e fo rm er t ru s t ee i n Na ll ey

, al t h o u g h p l ai nt i ffs s o u g h t to

s ep arat e t h em s el v es fro m th e t ru s t

, t hey w ou l d no t w ai v e th ei r b en efi ci ary s t at u s u n t i l

al l cl ai m s b et ween cert ai n p art i es were res o l v ed

, an d pl ai nt i ffs were t h e o n l y p art i es

i n t he act i o n t o h av e as s ert ed RICO cl ai m s ).

1 8 See Geo rg i a -Pa ci

f i c, LLC v. Fi el d

s

, 2 9 3 G a

. 4 9 9

, 5 0 4 (2 ) (7 4 8 SE2 d 4 0 7 )

(2 0 1 3) (“ A g ran t o f s u m

m ary ju d g m en t m

u s t b e affi rm ed if i t i s ri g h t fo r an y reas o n,

wh et h er s t at ed o r u n s t at ed i n t h e t ri al co urt ’ s o rd er, s o l o n g as t h e m o v an t rai s ed t h e

i s s u e i n t h e t ri al co u rt an d t he n o n m o v an t h ad a fai r o p po rt u ni t y t o res p o n d

. ”

(em p h as i s & p u n ct u at i o n o m i t t ed )); E s t a t e of Ni xo n v. Ba rb er

, 3 40 Ga. Ap p. 1 0 3

, 1 0 5

(1 ) (7 9 6 SE2 d 4 89 ) (2 01 7 ) (“ [W ] e m ay a f f i r m a d i sm i s s al i f it is ri g h t fo r an y

reas on .”).

15l ack ed s tan d i ng i n her cap aci ty as ex ecu tri x o f th e Es t at e to p u rs u e rel i ef ag ai n s t t h e

Tru s t , we affi rm

t h e t ri al co u rt ’ s d i s m i s s al o f t h i s req ues t as wel l

. 1 9

Fo r al l t h es e reas o n s

, we affi r m t h e t ri al co u rt ’ s ju d g m en t i n b o t h Cas e No

.

A1 9 A1 16 5 an d Cas e No . A1 9A1 1 6 6

.

Ju d g men t s a f f ir med . Go b ei l

a n d Ho d g es , JJ., co n cu r

.

1 9 S ee Ga

. In s u r er

s In s o l ven cy Po o l v. Hu ls ey En vi r

. S er vs

., In c.

, 2 93 Ga. 5 0 4,

5 0 5 -0 6 (7 4 8 SE2 d 3 8 0) (2 0 1 3 ) (affi r m i n g g ran t o f m o t io n t o d i s m is s w h en p art y

l ack ed s t an d i n g t o b ri n g s u it ).

16