BankAtlantic v. Estate of Glatzer

Summary

The Florida Third District Court of Appeal held that an estate could not transfer funds from a professional association’s corporate account to an estate depository account. Because the professional association was a separate legal entity and the bank had contractual setoff rights against the association’s account, the transfer impaired the bank’s rights. The court reversed and remanded with directions to return the funds and any interest earned.

Holdings

1. The orders directing transfer of the funds were reviewable non-final orders under Florida Rule of Appellate Procedure 9.130(a)(3)(B).
2. The estate could not treat funds held in the professional association's corporate-name account as assets of the decedent's estate merely because the decedent owned all of the association's shares.
3. Transferring the professional association's funds from BankAtlantic to an estate depository account at another bank impaired BankAtlantic's possessory and contractual right of setoff.

Questions Presented

1. Whether the circuit court's orders directing transfer of the professional association's funds were reviewable non-final orders.
2. Whether the estate could take possession of and marshal funds held in the professional association's corporate account as estate assets.
3. Whether transferring the funds to an estate depository account impaired BankAtlantic's possessory and contractual right of setoff.
4. Whether the orders could be upheld because the probate court had not yet adjudicated competing claims to the funds.

Disposition

reversed_and_remanded