An Illinois appeals court holds that beneficiaries to an estate do not have standing to sue a law firm that used a power of attorney to sell property belonging to the decedent after the decedent died because the law firm did not owe a duty to the beneficiaries. Mareskas-Palcek v. Schwartz, Wolf, & Bernstein, LLP (Ill. Ct. App., 4th Dist., No. 15 L 009435, Sept. 29, 2017).
Denise Mareskas executed a power of attorney so that the law firm of Schwartz, Wolf, & Bernstein, LLP, could represent her during the closing of the sale of her house without her being present. Ms. Mareskas died one day before the closing. The attorneys were aware that Ms. Mareskas had died, but continued with the closing without disclosing her death.
The beneficiaries of Ms. Mareskas’ estate sued the law firm for breach of fiduciary duty and conversion, arguing that the power of attorney was void due to her death and that the law firm did not get the permission of the estate for the sale. The law firm filed a motion to dismiss, arguing that the beneficiaries did not have standing to sue the firm. The trial court granted the law firm's motion, and the beneficiaries appealed.
The Illinois Appellate Court, 4th District, affirms, holding that the beneficiaries did not have standing to sue the law firm. According to the court, because "there is nothing to suggest that [Ms. Mareskas] engaged in the real estate closing specifically for the purpose of passing the proceeds to [the beneficiaries]," the law firm did not owe a duty the beneficiaries.
For the full text of this decision, go to: https://www.illinoiscourts.gov/Opinions/AppellateCourt/2017/1stDistrict/1162746.pdf
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