Carter v. Smith

Summary

The Oregon Court of Appeals affirmed judgments resolving a dispute between beneficiaries of a living trust and dividing the trust’s real property. The court held that statutory partition under ORS 105.205 was unavailable because the trust, rather than multiple individuals, owned the property, but concluded that the trial court had properly distributed the property as a remedy for the trustee’s breaches under the Uniform Trust Code. The court also held that any error in awarding attorney fees under ORS 130.815 without a more specific pleading was not plain error.

Holdings

1. Partition under ORS 105.205 was unavailable because that statute applies when several persons hold real property as tenants in common, whereas the trust was the sole owner of the property. Nevertheless, the circuit court properly distributed the property as a remedy for Smith's breaches of trust under the Uniform Trust Code.
2. The attorney-fee award was not plainly erroneous because Carter did not completely fail to allege a right to attorney fees; he included attorney fees in the caption of his complaint. Whether that constituted a sufficient attempt to comply with ORCP 68 C(2)(a), and whether the pleading satisfied the applicable notice and prejudice requirements, was reasonably disputable under existing law.

Questions Presented

1. Whether the circuit court could divide the trust's real property and impose an equalizing judgment when the trust, rather than multiple individuals as tenants in common, owned the property.
2. Whether the circuit court plainly erred by awarding Carter attorney fees when the complaint did not expressly plead a statutory entitlement to fees.

Disposition

affirmed