ÿWPCi" ÑäŒ|U=öBˆd2v]ÂÕM;òù›nûÙ[›‘RïKÕ‰ öGˆÿP#¢ãOw°¤`Š.Æ'£¤²i »¯$`ÞßW4Âbz2½–x”G›H L,¾''÷bwŒø¸;ÕŽßtÑaÊC*çø?ƒ.ææQ«ÏIÝù¿ëF^h•sŽ{€†tMì·€÷`^+ £Uf¦¹ *j&©Óˆ‡òæ–;<ðãšÚ¯©Á• LØ:ˆ²Íƒjvrl(‡°®âs;\”ËcÌc¯ •:¦ªIc·ìå/2ü8½h‡(V¡ÊÃh•µZ?M#K|õÜÝvPäW‘E[}+LÈ‘ú’Ó‰Tól`ïvÆÁ¢§%§L{ÄE®÷÷°òƒúJtbØL ®þ͉ղ“-•Ê4zgºwy z5~£I—'lGÜNžuäŸYï'²™’ +K¿‘7 ÐN=hñ5GÅBê¹5'·®Èú¸ÁŒì)‡Ç¥÷1¨Q¤ ¥ízyœ cEÕ~ªãܳÛ/ßênàá7ÒEt·ëþþú[5Ùtf> ~#Û¬duO?WDn=킆~›bÖ[Å…‡jskâðöìófŽ¢'Â"2ûäõ¸Ãó£·b#É\ %% U N+ 0ˆy U!N 0cO 1u² z' Ò¡ ps Èã 72« 0DÝÆ!ÆçÆ­Æs 1‡9NÀ^ Âw ÎEØ(ÚÚ43IX mZ 0¢q Cf-a/ULCUTUNããããããããããb1 B-99999999999999999999999999999999999 0ëffff BQQ 0¤n D3 D-E 0Krr AS½Æ 0¤Ö 0Dz! A«¾!˜\\IB01S02\CLERKJACÈÈ,,,,ÈÈ0»(ÖÃ9 Z‹6Times New Roman Regular(`£ª$¡¡Ñ€.ÑÑ8€½­»»d»»d8ÑÑ ý ÑÓ  Ó(í€"  Z6Times New Roman Regular(;3£$´´Ô2#ÔÚ  Ú0Ú  Ú.Ô3  Ôà0  à3#37=CIQYag­­1.a.i.(1)(a)(i)1)a) ˜C:\PROGRA~1\COREL\WORDPE~1\TEMPLATE\CUSTOM~1\REVISE~1.WPTC:\Program Files\Corel\WordPerfect Office 2000\Template\Custom WP Templates\revised standard opinion.wpt fÝ ƒR $ÝÓ  Óà  àòòÚ  Ú2Ú  ÚóóÔ€ô Œò»»ÔÝ  ÝÔ_Ôà ` àWe€are€mindful€that€such€an€arrangement€in€the€Note€creates€negative€amortization,€meaning€that€theÐ ° Ðmonthly€payments€of€$600€are€inadequate€to€fulfill€the€interest€obligation€accruing€at€9%€per€annum. ¾Ý ƒR $ÝÓ  Óà  àòòÚ  Ú1Ú  ÚóóÔ€ô Œò»»ÔÝ  ÝÔ_Ôà ` àThough€the€Paper€Birch€house€was€appraised€at€$172,500€and€held€a€sale€price€of€$172,000,€the€closingÐ ° Ðstatement€for€the€sale€of€the€house€denotes€that€an€allowance€of€$17,500€was€given€to€Danny€and€Kathy€for€repairs€toÐ qÁ Ðthe€wiring€of€the€home,€the€city€and€county€taxes€on€the€house€(totaling€$618)€were€subtracted€from€the€sale€price,€andÐ 2‚ Ða€ð ðgiftðð€was€given€to€Danny€and€Kathy€in€the€amount€of€$27,382,€which€worked€to€reduce€the€amount€of€indebtednessÐ óC Ðon€the€Note€to€$126,500.€i)(#Ã$òòÚ  Ú0Ú  ÚóóLevel 1Level 2Level 3Level 4Level 5‚Level 1Level 2Level 3Level 4Level 5„Level 1Level 2Level 3Level 4Level 5…Level 1Level 2Level 3Level 4Level 5(5hCEKQW]cioAutoList1I.I.I.I.I.I.I.I. W}1Ï  Ý ƒR $ÝÓ  Óà  àòòÚ  Ú4Ú  ÚóóÔ€ô Œò»»ÔÝ  ÝÔ_Ôà ` àDuring€the€time€period€involved€in€this€case,€the€annual€exclusion€amount€for€gifts€was€$10,000Ð ° Ðpursuant€to€26€U.S.C.€ðð€2503.6hö0ê:i¢×+00 )Ý ƒR $ÝÓ  Óà  àòòÚ  Ú3Ú  ÚóóÔ€ô Œò»»ÔÝ  ÝÔ_Ôà ` àThe€Appellants€make€no€argument€concerning€the€treatment€of€the€$55,500€down„payment,€and,Ð ° Ðtherefore,€we€do€not€address€it€in€this€opinion.3|x ÿU‹ÿÀÀÀJR¾ã0_Style2ContemporaryÔ*‹ƒ !ddd Xdd Xdd X°(#°(#‹ÔÔ,P ÔÔ,( ÔÔ+  ÔÐ ," ° €h€‚‚ƒƒ„„,ÐÔ‡"XÛXXXÔÔ‡"L!çMXXÛÔinterofficeÔ‡"XÛXML!çÔÐ °D ÐÐ 1'° h ‚‚ƒƒ„„1ÐÔ‡#XÛXXXÛÔÔ‡#¼·‰»XXÛÔMEMORANDUMÔ‡#XÛX»¼·‰ÔÐ hD ÐÐ +€h €à€+ÐÐ '€/”ä. 'ÐÐ-#!”ä à  / -ÐÌÔ‡$X¬éXXXÛÔÔ‡$X¬éXXX¬éÔÓ ÓÌÔ‡"XÛXXXÔÔ‡"L!çMXXÛÔÓ Ó÷ÿdÿÿÿdHÇTABLE BÕ@FÐAZ‹4Swis721 BlkEx BT BlackŠM@ÂAZ‹<EngraversGothic BT RegularxÖÃ9 Z ‹6Times New Roman Regular- ù-)Hairline d(|G2 $¤¤Ý ƒ£ª!ÝÑ€.ÑÑ8€Š»»dd8ÑÑ ý ÑÓ  ÓÝ  Ýà  àòòÚ  Ú0Ú  ÚóóÔ€ô Œò»»Ô d(|3¿$££Ý ƒ£ª!ÝÑ€.ÑÑ8€Š»»dd8ÑÑ ý ÑÓ  ÓÝ  ÝVVVV'ÿÿdxd)!ÈÈÈÈdxdx( ±þ$’’ò òFigure€Ú  Ú1Ú  Úó ó^_X`YEþÿ<<CÿÿƒLevel 1Level 2Level 3Level 4Level 5(|3¿$¢¢Ý ƒ£ª!ÝÑ€.ÑÑ8€Š»»dd8ÑÑ ý ÑÓ  ÓÝ  Ý($$””ò òÚ  Ú1Ú  Úó óX[Z&OLE 2.0 Box <=8ÿÿÿÿÿÿÿÿÿÿCÿÿ HKKKKÝ ƒ£ª!ÝÑ€.ÑÑ8€Š»»ddÈ8ÑÑ ý ÑÓ  ÓÝ  ÝÔ_ ÔÑ  ÑÔ€¼Š»»»ÔÑ8€ÅWXXdé»»d8ÑÑ  Ñà@ò ò ìàÔ‡îiŠÔIN€THE€COURT€OF€APPEALS€OF€TENNESSEEˆÐ ° Ðà@òò%ìàAT€JACKSONÔ#†¼Š»îîi #ԈРÓ# ÐÓ  ÓJULY€21,€2004€SessionÐ öF ÐÔ‡XÅWX»¼ŠÔÌò òÔ#†¼Š»XXÅWð#ÔIN€RE:€THE€ESTATE€OF€JOAN€M.€HAWKINS,€DECEASEDÐ ï? ÐJAN€RECTOR€&€SARA€TUCKERòòóó€Ð  P Ðv.€Ð  a ÐFRANK€DANIEL€MURCHISON,€JR.òòóóÔ‡XÅWX»¼ŠÔó óÐ " r ÐÌà@@½½ìàò òDirect€Appeal€from€the€Probate€Court€for€Shelby€CountyÐ l  Ðà@@øøìàNo.€C„3697€€€€€€Donn€Southern,€JudgeÐ V  ÐÌÌà@@ìì*ìàßA€V) °°` d€÷E<Ã` AßÐ Ä  ÐÌà@@TTìàNo.€W2003„02279„COA„R3„CVññ€„€Filed€December€16,€2004ññÐ ½  ÐÌßA€V) °°` dE<` AßÐ ‘á Ðó óÌÓ  ÓÔ‡X(FXXXÅWÔThis€case€arises€out€of€a€petition€filed€by€Appellants€to€compel€the€executor€of€Decedentððs€estate€toÐ ‰Ù Ðcollect€certain€assets€and€a€petition€for€declaratory€judgment€filed€by€Appellee.€€The€trial€courtÐ r Ðdetermined€that€Appellantsðð€motion€òòin€limineóó€to€exclude€certain€evidence€based€on€the€parolÐ [« Ðevidence€rule€should€be€denied.€€Additionally,€the€trial€court€denied€Appellantsðð€objection€to€certainÐ D” Ðtestimony€based€on€the€statute€of€frauds.€€The€trial€court€further€denied€Appellantsðð€objections€toÐ -} Ðexclude€testimony€based€on€the€Dead€Manððs€Statute.€€The€trial€court€determined€that€DecedentÐ f Ðsuccessfully€gifted€annual€$10,000€sums€to€Appellee€in€the€form€of€forgiving€interest€and€principalÐ ÿO Ðowed€by€Appellee€to€Decedent€as€stated€in€a€promissory€note,€finding€there€was€clear,€cogent,€andÐ è8 Ðconvincing€evidence€to€rebut€the€presumption€that€such€transfers€were€advancements.€€Further,€theÐ Ñ! Ðcourt€determined€that€such€promissory€note€called€for€simple,€rather€than€compound,€interest,€findingÐ º  Ðthat€Appellee€owed€Decedentððs€estate€the€sum€of€$64,297.78.€€Appellants€seek€review€by€this€CourtÐ £ó Ðand,€for€the€following€reasons,€we€affirm.Ð ŒÜ ÐÔ#†XÅWXXX(FÛ#ÔÔ#†¼Š»XXÅWæ#ÔÔ‡XÅWX»¼ŠÔÌÓÏÓÌò òTenn.€R.€App.€P.€3;€Appeal€as€of€Right;€Judgment€of€the€Probate€Court€Affirmedó óÐ G"—! ÐÌòòÓ  ÓÔ#†¼Š»àXÅW° #ÔÔ‡XÅWX.¼ŠÔAlan€E.€Highers,€J.óó,€delivered€the€opinion€of€the€court,€in€which€òòW.€Frank€Crawford,€P.J.,€W.S.,€óóÐ $j# Ðand€òòHolly€M.€Kirby,€J.óó,€joined.Ð %S $ ÐÌW.€Chris€Harrison,€J.€Anthony€Bradley,€Memphis,€TN,€for€AppellantsÐ Õ&%"& ÐÌBlanchard€E.€Tual,€Kelly€P.€Bridgforth,€Memphis,€TN,€for€AppelleeÐ §(÷#( ÐÓN ÓÌò òÌÌÌÐ 7-‡(-ý ÐOPINIONó óÔ#†¼Š»XXÅW} #ÔÔ‡XÅWX»¼ŠÔÐ ° ÐÌòòóóÔ#†¼Š»XXÅWa #ÔÔ‡XÅWX»¼ŠÔÓ  Óò òÔ‡X(FXXXÅWÔà@ûûìàFacts€and€Procedural€Historyó óˆÐ ƒÓ ÐÌà  àJoan€Murchison€Hawkins€(ð ðDecedentðð)€has€four€children,€Jan€Elizabeth€Murchison€RectorÐ V¦ Ð(ð ðJanðð),€Sara€Jo€Murchison€Tucker€(ð ðSaraðð€or€collectively€with€Jan,€the€ð ðAppellantsðð),€Frank€DanielÐ ?  ÐMurchison,€Jr.€(ð ðDannyðð€or€ð ðAppelleeðð),€and€Nancy€Jean€Murchison€Jones€(ð ðNancyðð),€from€herÐ ( x Ðmarriage€to€her€deceased€husband,€Frank€Hawkins,€Sr.€(ð ðFrankðð).€€After€Frank€died,€DecedentÐ  a Ðremarried€Luther€B.€Hawkins,€Jr.€(ð ðLutherðð),€in€1991.€€Luther€and€Decedent€lived€in€separate€homes,Ð ú J Ðbut€after€they€married,€Decedent€decided€to€move€into€Lutherððs€home€in€Cordova,€Tennessee.€€AsÐ ã 3  Ða€result,€Decedent€desired€to€sell€her€home€at€2370€Paper€Birch€Lane€(the€ð ðPaper€Birch€houseðð)€toÐ Ì   ÐDanny,€and€on€three€occasions,€Danny€turned€down€Decedentððs€attempts,€explaining€that€he€couldÐ µ  Ðnot€afford€the€payments€on€the€Paper€Birch€house€at€that€time.€Ð žî  ЀÌà  àUltimately,€Decedent€reached€an€agreement€with€Danny€and€his€wife,€Kathryn€B.€MurchisonÐ pÀ  Ð(ð ðKathyðð),€for€the€sale€of€the€Paper€Birch€house.€€On€May€2,€1991,€Danny€and€Kathy€signed€aÐ Y©  ÐPromissory€Note€(the€ð ðNoteðð)€and€a€Deed€of€Trust€(the€ð ðDeed€of€Trustðð)€securing€such€Note.€€TheÐ B’ Ðpertinent€provisions€of€the€Note€provide€the€following:Ð +{ ÐÌÓ XÓà0  àà ` àFor€value€received,€We€promise€to€pay€to€the€order€of€Joan€HeadÐ ýM ÐMurchison/Hawkins€the€principal€sum€of€One€Hundred€Twenty€Six€Thousand€FiveÐ æ6 ÐHundred€($126,500.00)€Dollars,׃ ×Ý ƒ #ÃÝòòÚ  Ú1Ú  ÚóóÝ  Ý×  ×€together€with€interest€thereon€at€a€rate€of€9€per€centÐ Ï Ðper€annum€from€date€until€maturity,€each€unpaid€installment€of€principal€and€interestÐ ¸ Ðto€bear€interest€at€the€rate€of€9€per€cent€per€annum€after€maturity.СñÐ Ð  Ðà  àÌà0  àà ` àSaid€principal€and€interest€are€payable€in€installments€in€the€followingÐ sà Ðmanner,€to€wit:€Six€Hundred€and€No/100€($600.00)€Dollars€on€the€1st€day€of€August,Ð \¬ Ð1991,€and€a€like€amount€on€the€first€day€of€each€month€thereafter€until€payment€inÐ E• Ðfull.׃ U×Ý ƒ #ÃÝòòÚ  Ú2Ú  ÚóóÝ  Ý×  ×Ð.~Ð Ð  ÐÌà  à.€.€.€.Ð  P ÐÌà0  àà ` àThis€note€is€secured€by€a€deed€of€trust€on€real€estate,€of€even€date€herewith,Ð Ò!"  Ðrecorded€in€the€office€of€the€Register€of€Shelby€County,€Tennessee.л" !Ð Ð  Ðâ âÐ ¤#ô" ÐÓ XÓAdditionally,€Decedent€executed€a€warranty€deed€dated€May€2,€1991,€conveying€the€Paper€BirchÐ ° Ðâ âhouse€to€Danny€and€Kathy.€€Though€the€Note€provided€that€payments€were€to€begin€on€August€1,Ð ™é Ð1991,€and€Danny€and€Kathy€moved€into€the€Paper€Birch€house€in€May€1991,€Danny€and€Kathy€didÐ ‚Ò Ðnot€begin€making€the€$600€monthly€payments€until€July€1992,€because€they€were€unable€to€sell€theirÐ k» Ðprevious€home€until€that€time€and€could€not€afford€to€make€payments€on€two€houses.€There€wasÐ T¤ Ðtestimony€by€John€M.€Walker€(ð ðMr.€Walkerðð),€Decedentððs€certified€public€account€and€executor€ofÐ =  ÐDecedentððs€estate,€that€Decedent€gifted€the€missed€payments€from€August€1991€to€July€1992€byÐ & v Ðforgiving€them€and€would€not€charge€Danny€and€Kathy€any€payments€until€they€sold€their€previousÐ  _ Ðhouse.€€Danny€further€corroborated€such€testimony,€stating€that€it€was€his€understanding€that€theseÐ ø H Ðpayments€from€May€1991€until€July€1992€were€forgiven.€€Therefore,€Danny€and€Kathy€paid€$3,600Ð á 1  Ðin€interest€in€1992€and€$7,200€every€year€afterward.€€On€her€income€tax€returns,€Decedent€reportedÐ Ê   Ðonly€the€payments€made€by€Danny€and€Kathy€as€interest€income.€Ð ³  ÐÌà  àOn€April€26,€1991,€prior€to€the€closing€on€the€Paper€Birch€house,€Decedent€executed€a€Will,Ð …Õ  Ðcontaining€the€following€provision:Ð n¾  ÐÌÓ XÓà0  àà ` àI€have€heretofore€executed€a€Warranty€Deed€conveying€my€former€home€asÐ @ Ð[sic]€2370€Paper€Birch€Lane€in€Memphis,€Shelby€County,€Tennessee,€to€my€son,Ð )y ÐFrank€Daniel€Murchison,€Jr.,€and€his€wife,€Katherine€B.€Murchison,€at€an€agreed€andÐ b Ðfairly€appraised€price€of€$172,000.€€In€turn,€my€son€and€wife€executed€a€Trust€DeedÐ ûK Ðand€a€Promissory€Note€to€me€for€$126,500.00€at€nine€per€cent€per€annum€interest.€Ð ä4 ÐNone€of€the€difference€or€balance€of€$55,500.00€was€paid€to€me€by€my€son.€€At€theÐ Í Ðtime€of€this€transfer€of€this€real€property,€I€made€a€transfer€to€him€of€$45,500.000€asÐ ¶ Ðan€advancement€against€his€one„fourth€share€of€my€interest€in€my€home€at€2370Ð Ÿï ÐPaper€Birch€Lane.€€In€addition€thereto,€I€also€made€an€advancement€of€$10,000.00Ð ˆØ Ðto€him€making€a€total€of€$55,500.00€as€the€credit€towards€the€purchase€of€thisÐ qÁ Ðproperty€and€representing€the€entire€down„payment.€€By€agreement,€I€will€continueÐ Zª Ðto€give€Frank€Daniel€Murchison€and€[sic]€additional€annual€credit€of€$10,000.00€onÐ C“ Ðthe€note€and€Trust€Deed€until€either€the€house€is€paid€in€full€or€I€die.€€ThisÐ ,| Ð$45,500.00€and€the€initial€$10,000.00€plus€$10,000.00€annually€is€to€be€credited€toÐ e Ðhim€on€June€1st€of€each€and€every€year€beginning€in€the€year€of€1992€and€is€to€beÐ þN Ðcharged€against€his€share€of€my€estate€and€all€is€considered€as€an€advancement€andÐ ç 7 Ðto€be€deducted€from€whatever€proceeds€of€my€estate€Frank€Daniel€Murchison€wouldÐ Ð!   Ðinherit.€€Frank€Daniel€Murchison€agreed€in€the€Promissory€Note€to€pay€me€$600.00Ð ¹" ! Ðper€month€towards€the€initial€indebtedness€of€$126,500.00€and€each€monthlyÐ ¢#ò" Ðpayment€is€to€be€used€towards€reducing€the€debt€he€owes€me.€€When€Frank€DanielÐ ‹$Û# ÐMurchison€satisfies€this€debt€of€$126,500.00€by€the€monthly€payments€of€$600.00Ð t%Ä $ Ðand€the€annual€additional€gifts€of€$10,000.00€plus€any€other€additional€payments€heÐ ]&­!% Ðwants€to€make,€then€I€or€my€executor€will€execute€the€necessary€release€deedÐ F'–"& Ðcancelling€this€trust€debt€and€lien€against€this€property.Ð/(#'Ð Ð  ÐÌÓ XÓÓ  ÓOn€July€11,€1998,€Decedent€executed€a€holographic€Will€which,€after€stating€it€takes€precedenceÐ *Q%) Ðover€all€prior€Wills€executed€by€Decedent,€articulates€the€following€statement€regarding€DannyððsÐ ê*:&* Ðindebtedness:Ð Ó+#'+ Ð‡Ó XÓÓ  Óà0  àà ` àThe€estate€is€to€be€divided€equally€among€my€four€children.€€In€the€event€ofÐ ° Ðthe€death€of€one€of€my€children,€that€childððs€offspring€(children)€share€equally€in€hisÐ ™é Ðor€her€estate.ЂÒÐ Ð  ÐÌà  à.€.€.€.Ð T¤ ÐÌà0  àà ` àMy€son,€Frank€Daniel€Murchison,€Jr.€owes€each€of€his€sisters€1/4€of€theÐ & v Ðamount€owed€me€for€2370€Paper€Birch€at€the€time€of€my€death.€€That€is€to€be€paid€toÐ  _ Ðthem€from€his€share€of€the€estate.Ðø HÐ Ð  ÐÌÓ XÓFinally,€later€in€1998,€Decedent€retained€James€T.€Lowry,€an€attorney,€to€draft€another€Will,€whichÐ Ê   ÐDecedent€executed€on€October€1,€1998.€€After€revoking€all€of€Decedentððs€prior€Wills€and€Codicils,Ð ³  Ðthe€October€Will€makes€no€mention€of€any€agreement€with€Danny€or€any€debt€Danny€owesÐ œì  ÐDecedent.€€Instead,€the€Will€has€a€residuary€clause€which€provides€as€follows:Ð …Õ  ÐÌÓ XÓòòà0  àà ` àOutright€Gift€of€All€Property€to€Childrenóó.€€I€give,€devise€and€bequeath€all€theÐ W§  Ðrest,€residue€and€remainder€of€my€property€of€every€kind€and€description€(includingÐ @ Ðlapsed€legacies€and€devises)€wherever€situate€and€whether€acquired€before€or€afterÐ )y Ðthe€execution€of€this€Will,€absolutely€in€fee€simple€to€my€surviving€children,€in€equalÐ b Ðshares,€provided,€however,€the€then€living€issue€of€a€deceased€child€of€mine€shallÐ ûK Ðtake€per€stirpes€the€share€their€parent€would€have€taken€had€he€or€she€survived€me.Ðä4Ð Ð  ÐÌÓ XÓà  àDecedent€died€on€February€27,€2001,€at€the€age€of€seventy„four.€€On€December€31,€2001,Ð ¶ ÐAppellants€filed€a€Petition€to€Compel€Executor€to€Collect€Assets€of€the€Estate,€seeking€an€order€fromÐ Ÿï Ðthe€probate€court€requiring€the€executor€to€collect€the€balance€due€under€the€Note€and€distribute€suchÐ ˆØ Ðamount€in€accordance€with€Decedentððs€Last€Will€and€Testament.€€On€January€7,€2002,€Appellee€filedÐ qÁ Ða€Petition€for€Declaratory€Judgment,€seeking€a€determination€of€the€amount€due€under€the€NoteÐ Zª Ðwhich€considers€the€fact€that€Decedent€allegedly€forgave€$10,000€of€the€amount€due€under€the€NoteÐ C“ Ðeach€year€until€her€death€as€an€outright€gift.€€After€a€hearing€on€this€matter,€the€trial€court€determinedÐ ,| Ðthat€the€Note€called€for€simple€interest,€Decedent€made€outright€annual€gifts€of€$10,000€to€AppelleeÐ e Ðin€the€form€of€forgiving€a€portion€of€the€principal€balance€on€the€Note,€and,€consequently,€AppelleeÐ þN Ðowed€Decedentððs€estate€the€sum€of€$64,297.78.€€Appellants€seek€review€from€this€Court€and€presentÐ ç 7 Ðthe€following€issues€for€our€review:Ð Ð!   ÐÌÓ€ (5h83ÓÝ"‚3£"ÝÝ  Ýà  àÝ‚3£Ö6ÝÔ25hÔÚ  ÚIÚ  Ú.Ô3  Ôà0 ` àÝ  ÝWhether€the€trial€court€erred€when€it€denied€Appellantsðð€motion€òòin€limineóó€andÐ ¢#ò" Ðallowed€parol€evidence€of€Decedentððs€Wills€and€alleged€advancements€or€gifts€byÐ ‹$Û# ÐDecedent€despite€the€existence€of€a€Note€and€Deed€of€Trust€detailing€the€sale€of€theÐ t%Ä $ ÐPaper€Birch€house;݃3£Ö67ÝŒÐ]&­!%` (#` (# ÐŒÝ  ÝÝ"‚3£"ÝÝ  Ýà  àÝ‚3£ø8ÝÔ25hÔÚ  ÚIIÚ  Ú.Ô3  Ôà0 ` àÝ  ÝWhether€the€trial€court€erred€when€it€denied€Appellantsðð€objections€based€on€theÐ F'–"& ÐDead€Manððs€Statute;݃3£ø819ÝŒÐ/(#'` (#` (# ÐŒÝ  ÝÝ"‚3£"ÝÝ  Ýà  àÝ‚3£L:ÝÔ25hÔÚ  ÚIIIÚ  Ú.Ô3  Ôà0 ` àÝ  ÝWhether€the€trial€court€erred€when€it€denied€Appellantsðð€defense€of€the€statute€ofÐ )h$( Ðâ âfrauds€and€allowed€evidence€of€alleged€oral€advancements€or€gifts;݃3£L:…:ÝŒÐ*Q%)` (#` (# ÐŒÝ  ÝÝ"‚3£"ÝÝ  Ýà  àÝ‚3£Ù;ÝÔ25hÔÚ  ÚIVÚ  Ú.Ô3  Ôà0 ` àÝ  ÝWhether€the€trial€court€erred€when€it€found€that€Decedent€intended€to€give€andÐ ° Ðdelivered€outright€gifts€to€Appellee€in€the€form€of€the€$10,000€credits€on€the€Note;׃×Ý ƒ #ÃÝòòÚ  Ú3Ú  ÚóóÝ  Ý×  ×݃3£Ù;<݌Йé` (#` (# Ðâ âŒÝ  ÝÝ"‚3£"ÝÝ  Ýà  àÝ‚3£Ã=ÝÔ25hÔÚ  ÚVÚ  Ú.Ô3  Ôà0 ` àÝ  ÝWhether€the€trial€court€erred€when€it€allowed€the€expert€testimony€of€John€M.Ð ‚Ò ÐWalker,€Decedentððs€certified€public€accountant,€over€Appellantsðð€objections€of€lackÐ k» Ðof€disclosure€and€lack€of€qualification;€and݃3£Ã=ü=ÝŒÐT¤` (#` (# ÐŒÝ  ÝÝ"‚3£"ÝÝ  Ýà  àÝ‚3£”?ÝÔ25hÔÚ  ÚVIÚ  Ú.Ô3  Ôà0 ` àÝ  ÝWhether€the€trial€court€erred€when€it€determined€the€amount€owed€under€the€NoteÐ =  Ðshould€be€computed€using€simple,€rather€than€compound,€interest,€resulting€in€anÐ & v Ðamount€of€$64,297.78€due€under€the€Note.݃3£”?Í?݌Р_` (#` (# ÐŒÝ  ÝÌFor€the€following€reasons,€we€affirm.Ð á 1  ÐÌÓ  Óò òStandard€of€Reviewó óÐ ³  ÐÌÓ  Óà  àð ð[R]eview€of€findings€of€fact€by€the€trial€court€in€civil€actions€shall€be€òòde€novoóó€upon€theÐ †Ö  Ðrecord€of€the€trial€court,€accompanied€by€a€presumption€of€the€correctness€of€the€finding,€unless€theÐ o¿  Ðpreponderance€of€the€evidence€is€otherwise.ðð€€Tenn.€R.€App.€P.€13(d).€€For€questions€of€law,€thisÐ X¨  ÐCourtððs€scope€of€review€is€òòde€novoóó€with€no€presumption€of€correctness€for€the€trial€courtððsÐ A‘ Ðconclusions€of€law.€€òòUnion€Carbide€Corp.€v.€Huddlestonóó,€854€S.W.2d€87,€91€(Tenn.€1993)€(citingÐ *z ÐòòEstate€of€Adkins€v.€White€Consol.€Indus.,€Inc.óó,€788€S.W.2d€815,€817€(Tenn.€Ct.€App.€1989)).Ð c ÐÌà@„„!ìàò òParol€Evidence€Ruleó óˆÐ å5 Ðò òó óÌà  àAs€an€initial€matter,€Appellants€present€this€Court€with€various€evidentiary€issues€we€mustÐ ¸ Ðresolve€before€addressing€the€substantive€issues.€€First,€Appellants€argue€that€the€trial€court€erredÐ ¡ñ Ðwhen€it€admitted€evidence€of€an€ð ðagreementðð€between€Decedent€and€Danny€to€forgive€$10,000€ofÐ ŠÚ Ðthe€Note€each€year,€when€the€agreement€between€the€parties€is€contained€in€the€Note€and€Deed€ofÐ sà ÐTrust€in€clear€and€unambiguous€terms.€€To€admit€such€evidence,€Appellants€argue,€violates€the€parolÐ \¬ Ðevidence€rule.Ð E• ÐÌà  àThe€general€rule€in€Tennessee€is€that€parol€evidence€is€inadmissible€to€contradict€or€vary€theÐ g Ðterms€of€a€written€agreement.€€òòStarnes€v.€First€Am.€Natððl€Bank€of€Jackson,€Tenn.óó,€723€S.W.2d€113,Ð  P Ð117€(Tenn.€Ct.€App.€1986)€(citing€òòMaddox€v.€Webb€Constr.€Co.óó,€562€S.W.2d€198€(Tenn.€1978);Ð é 9 ÐòòSanta€Barbara€Capital€Corp.€v.€World€Christian€Radio€Found.,€Inc.óó,€491€S.W.2d€852€(Tenn.€Ct.Ð Ò!"  ÐApp.€1972)).€€However,€parol€evidence€may€be€used€to€prove€the€existence€of€an€independentÐ »" ! Ðcollateral€agreement.€€òòIdóó.€(citing€òòEarly€v.€Streetóó,€241€S.W.2d€531€(Tenn.€1951)).€€The€TennesseeÐ ¤#ô" ÐSupreme€Court€has€further€elaborated€on€how€to€determine€whether€an€oral€agreement€is€separateÐ $Ý# Ðand€distinct€from,€or€collateral€to,€an€agreement€in€writing:Ð v%Æ $ ÐÌÓ XÓà0  àIn€answering€this€question€it€seems€to€us€that€the€authors€of€A.L.R.€have€given€a€veryÐ H'˜"& Ðpractical€and€satisfactory€answer€when€they€say€that€the€ð ðtest€for€determiningÐ 1(#' Ðwhether€the€alleged€oral€agreement€is€distinct€and€separate€from€the€contractÐ )j$( Ðevidenced€by€the€writing,€so€as€to€permit€proof€thereof€by€parol€or€extrinsic€evidenceÐ ° Ðnot€inconsistent€with€or€contradictory€to€the€writing,€is€whether€the€oral€agreementÐ ™é Ðis€one€which,€considering€the€circumstances€of€the€parties,€the€subject„matter,€andÐ ‚Ò Ðthe€nature€of€the€writing,€would€ordinarily€have€been€embodied€in€the€writtenÐ k» Ðinstrument,€had€the€parties€intended€that€they€should€be€bound€thereby.ðð€€70€A.L.R.Ð T¤ Ð759.Ð= Ð Ð  ÐÌÓ  ÓÓ XÓòòEarlyóó,€241€S.W.2d€at€535.€€Ð  _ ÐÓ  Óà  àIt€appears€to€this€Court€that€any€such€credits€from€Decedent€to€Appellee,€whetherÐ ø H Ðcharacterized€as€a€gift€or€an€advancement,€would€not€act€to€contradict€or€vary€the€terms€of€the€NoteÐ á 1  Ðor€the€Deed€of€Trust.€€As€the€trial€court€noted,€the€Note€and€Deed€of€Trust€ð ðdo€not€relate€to€gifts€orÐ Ê   Ðrefer€to€giftsðð€and€make€no€reference€to€any€future€credits€between€Decedent€and€Appellee.€Ð ³  ÐTherefore,€such€future€credits€given€by€Decedent€to€Appellee€could€not€alter€or€contradict€any€termsÐ œì  Ðin€the€Note€or€Deed€of€Trust.€€In€addition,€we€note€that,€given€that€the€subject€matter€involves€eitherÐ …Õ  Ðgifts€or€advancements,€the€writing€is€a€promissory€note,€and€an€agreement€of€future€gifts€orÐ n¾  Ðadvancements€is€a€subject€that€would€not€ordinarily€be€embodied€in€such€a€writing.€€Therefore,€anyÐ W§  Ðð ðagreementðð€between€Decedent€and€Appellee€would€appear€to€be€separate€and€distinct€from€theÐ @ Ðagreement€contained€in€the€Note€and€Deed€of€Trust.Ð )y ÐÌà  àAdditionally,€we€note€that,€even€if€the€credits€did€vary€or€contradict€the€Note€and€Deed€ofÐ ûK ÐTrust€such€that€the€parol€evidence€rule€would€apply,€the€credits€involved€transactions€which€occurredÐ ä4 Ðsubsequent€to€the€execution€of€the€Note€and€Deed€of€Trust.€€ð ð[T]he€parol€evidence€rule€does€notÐ Í Ðforbid€the€introduction€of€evidence€of€an€agreement€made€subsequent€to€the€execution€of€the€writing,Ð ¶ Ðalthough€the€effect€of€the€subsequent€agreement€might€add€to,€change,€modify€or€abrogate€theÐ Ÿï Ðcontract€as€evidenced€by€the€writing.ðð€€òòStarnesóó,€723€S.W.2d€at€118€(citing€òòBrunson€v.€Gladishóó,€125Ð ˆØ ÐS.W.2d€144€(Tenn.€1939)).€€The€testimony€at€trial€is€undisputed€that€all€such€credits€occurred,€if€atÐ qÁ Ðall,€at€some€point€subsequent€to€the€execution€of€the€Note€and€Deed€of€Trust.€€Therefore,€if€suchÐ Zª Ðcredits€altered€or€modified€the€Note€or€Deed€of€Trust€within€the€contemplation€of€the€parol€evidenceÐ C“ Ðrule,€the€rule€would€not€apply€because€any€and€all€credits€occurred€after€the€Note€and€Deed€of€TrustÐ ,| Ðwere€executed.Ð e ÐÌà  àFinally,€though€Decedentððs€Will€is€dated€April€26,€1991,€and€was€executed€by€DecedentÐ ç 7 Ðbefore€Appellee€signed€the€Note€and€Deed€of€Trust,€such€prior€writing€does€not€constitute€a€contractÐ Ð!   Ðor€an€agreement€such€that€the€parol€evidence€rule€would€apply€to€exclude€any€evidence€of€creditsÐ ¹" ! Ðgiven€to€Appellee€by€Decedent.€€Rather,€the€1991€Will,€as€the€trial€court€determined,€ð ðreflects€anÐ ¢#ò" Ðunderstanding€of€a€plan€at€the€time€but€not€a€contract€or€agreement.ðð€€This€is€supported€by€theÐ ‹$Û# Ðtestimony€of€Kathy,€who€stated€she€was€unaware€of€what€was€in€the€1991€Will€when€it€was€written,Ð t%Ä $ Ðand€Danny,€who€stated€that€he€did€not€see€any€of€Decedentððs€Wills€until€after€she€died.€€Therefore,Ð ]&­!% Ðthe€admission€of€the€1991€Will,€and€the€admission€of€the€testimony€relating€to€subsequent€creditÐ F'–"& Ðtransfers€from€Decedent€to€Appellee,€were€not€in€violation€of€the€parol€evidence€rule.Ð /(#' ÐÌÓ  Óò òDead€Manððs€Statuteó óÐ *Q%) Ðâ âÐ ë*;&* ÐÓ  Óà  àNext,€Appellants€argue€that€the€trial€court€erred€when€it€admitted€evidence€of€statements€byÐ ° Ðâ âDecedent€that€she€gave€credits€on€the€Note€of€$10,000€per€year€as€outright€gifts€to€Appellee.€€SectionÐ ™é Ð24„1„203€of€the€Tennessee€Code€articulates€Tennesseeððs€version€of€the€Dead€Manððs€Statute:Ð ‚Ò ÐÌÓ XÓà0  àIn€actions€or€proceedings€by€or€against€executors,€administrators,€or€guardians,€inÐ T¤ Ðwhich€judgments€may€be€rendered€for€or€against€them,€neither€party€shall€be€allowedÐ =  Ðto€testify€against€the€other€as€to€any€transaction€with€or€statement€by€the€testator,Ð & v Ðintestate,€or€ward,€unless€called€to€testify€thereto€by€the€opposite€party.€€If€aÐ  _ Ðcorporation€is€a€party,€this€disqualification€shall€extend€to€its€officers€of€every€gradeÐ ø H Ðand€its€directors.Ðá 1 Ð Ð  ÐÌÓ  ÓÓ XÓTenn.€Code€Ann.€ðð€24„1„203€(2000).€€Further,€we€note€that€ð ð[t]he€courts€of€this€State€have€takenÐ ³  Ðthe€view€that€our€statute€must€be€strictly€construed€as€against€the€exclusion€of€the€testimony€andÐ œì  Ðin€favor€of€its€admission.ðð€€òòBaker€v.€Bakeróó,€142€S.W.2d€737,€744€(Tenn.€Ct.€App.€1940)€(citingÐ …Õ  ÐòòMontague€v.€Thomasonóó,€18€S.W.€264€(Tenn.€1891);€òòRielly€v.€Englishóó,€77€Tenn.€16€(Tenn.€1882);Ð n¾  ÐòòHughlett€v.€Conneróó,€59€Tenn.€83€(Tenn.€1873)).€€Ð W§  ÐÌÓ  Óà  àInitially,€we€note€that,€because€the€Dead€Manððs€Statute€eliminates€the€testimony€of€only€aÐ )y Ðparty€to€an€action€by€or€against€an€executor€of€an€estate,€it€is€clear€that€all€witnesses€except€DannyÐ b Ðand€Mr.€Walker€are€outside€the€scope€of€the€Dead€Manððs€Statute,€because€none€of€them€could€beÐ ûK Ðconsidered€a€ð ðpartyðð€to€the€suit€as€instituted€against€Decedentððs€estate.€€Next,€with€regard€to€Mr.Ð ä4 ÐWalkerððs€testimony,€we€note€that€his€testimony€falls€outside€of€the€scope€of€the€Dead€Manððs€Statute.€Ð Í ÐMr.€Walker€is€the€executor€of€the€estate€and€was€called€as€a€fact€and€expert€witness.€€His€testimonyÐ ¶ Ðwas€elicited€by€Appellee,€who€filed€a€petition€for€declaratory€judgment€against€Decedentððs€estate.€Ð Ÿï ÐòòSee€Atchley€v.€Rimmeróó,€255€S.W.€366,€369€(Tenn.€1923).€€Therefore,€Mr.€Walker€is€a€party€who€wasÐ ˆØ Ðð ðcalled€to€testify€thereto€by€the€opposite€party,ðð€and€his€testimony€was€properly€admitted€overÐ qÁ ÐAppellantsðð€objections€based€on€the€Dead€Manððs€Statute.Ð Zª ÐÌà  àFinally,€we€note€that€it€appears€Appelleeððs€testimony€should€have€been€excluded€based€onÐ ,| Ðthe€Dead€Manððs€Statute.€€Appellee€sought€a€declaratory€judgment€from€the€trial€court€to€establishÐ e Ða€lesser€liability€on€the€Note€exhibiting€an€indebtedness€to€Decedentððs€estate.€€There€is€no€questionÐ þN Ðthat€portions€of€Appelleeððs€testimony€related€to€transactions€or€statements€by€Decedent.€€Finally,€weÐ ç 7 Ðnote€that€Appellee€was€called€to€testify€by€Appellants€and€not€the€estate,€and€Appelleeððs€interest€inÐ Ð!   Ðreducing€his€liability€on€the€Note€is€contrary€to€the€estate.€€Therefore,€it€cannot€be€said€that€AppelleeÐ ¹" ! Ðwas€called€to€testify€by€the€ð ðopposite€partyðð€such€that€the€Dead€Manððs€Statute€would€not€apply.€Ð ¢#ò" ÐHowever,€the€record€indicates€the€trial€court€relied€not€only€on€Appelleeððs€testimony,€but€theÐ ‹$Û# Ðtestimony€of€all€witnesses€and€the€trial€exhibits.€€After€reviewing€the€record,€we€conclude€that€suchÐ t%Ä $ Ðerror€by€the€trial€court€in€admitting€Appelleeððs€testimony€concerning€the€statements€of€Decedent€wasÐ ]&­!% Ðharmless€because€the€judgment€is€supported€by€evidence€other€than€such€incompetent€evidence€andÐ F'–"& Ðthere€is€no€material€evidence€to€the€contrary€with€respect€to€statements€by€Decedent.€€òòSee€DurhamÐ /(#' Ðv.€Webbóó,€330€S.W.2d€355,€359€(Tenn.€Ct.€App.€1959).€€For€these€reasons,€we€cannot€say€that€the€trialÐ )h$( Ðcourt€committed€reversible€error€when€it€determined€the€Dead€Manððs€Statute€did€not€apply€to€theÐ *Q%) Ðtestimony€of€the€witnesses,€concerning€statements€made€by€Decedent€evidencing€an€alleged€gift€orÐ ê*:&* Ðadvancement€to€Appellee.Ð Ó+#'+ ÐÓ  Óò òÌStatute€of€Fraudsó óÐ šê ÐÌÓ  Óà  àAppellantsðð€final€evidentiary€issue€concerns€the€statute€of€frauds.€€Specifically,€because€theÐ m½ Ðindebtedness€at€issue€that€was€allegedly€forgiven€is€a€debt€for€the€transfer€of€real€property,Ð V¦ ÐAppellants€contend€that€such€a€transfer€must€be€in€writing€pursuant€to€the€statute€of€frauds€whichÐ ?  Ðprovides€as€follows:Ð ( x ÐÌÓ XÓà  à(a)€No€action€shall€be€brought:Ð ú J Ðà0  à(1)€To€charge€any€executor€or€administrator€upon€any€special€promise€to€answer€anyÐ ã 3  Ðdebt€or€damages€out€of€such€personððs€own€estate;ÐÌ  Ð Ð  Ðà0  à(2)€To€charge€the€defendant€upon€any€special€promise€to€answer€for€the€debt,€default,Ð µ  Ðor€miscarriage€of€another€person;Оî Ð Ð  Ðà  à(3)€To€charge€any€person€upon€any€agreement€made€upon€consideration€of€marriage;Ð ‡×  Ðà0  à(4)€Upon€any€contract€for€the€sale€of€lands,€tenements,€or€hereditaments,€or€theÐ pÀ  Ðmaking€of€any€lease€thereof€for€a€longer€term€than€one€(1)€year;€orÐY© Ð Ð  Ðà0  à(5)€Upon€any€agreement€or€contract€which€is€not€to€be€performed€within€the€spaceÐ B’ Ðof€one€(1)€year€from€the€making€of€the€agreement€or€contract;Ð+{Ð Ð  Ðà0  àunless€the€promise€or€agreement,€upon€which€such€action€shall€be€brought,€or€someÐ d Ðmemorandum€or€note€thereof,€shall€be€in€writing,€and€signed€by€the€party€to€beÐ ýM Ðcharged€therewith,€or€some€other€person€lawfully€authorized€by€such€party.Ðæ6Ð Ð  ÐÌÓ XÓÓ  ÓTenn.€Code€Ann.€ðð€29„2„101(a)€(2000).Ð ¸ ÐÓ  Óà  àAs€noted€above€in€our€discussion€of€the€inapplicability€of€the€parol€evidence€rule,€we€do€notÐ ¡ñ Ðbelieve€the€statute€of€frauds€should€apply€to€these€facts.€€The€transfer€of€the€Paper€Birch€house,Ð ŠÚ Ðwhich€falls€under€section€29„2„101(a)(4)€of€the€Tennessee€Code,€was€memorialized€in€writing€withÐ sà Ðthe€warranty€deed,€Note€and€Deed€of€Trust.€€However,€the€transaction€at€issue€concerns€either€a€giftÐ \¬ Ðor€an€advancement€in€the€form€of€forgiveness€of€a€debt,€neither€of€which€is€encompassed€by€theÐ E• Ðstatute€of€frauds.Ð .~ ÐÌà  àAdditionally,€Appellants€argue€that€Appellee€and€Decedent€had€an€agreement€of€gifting,Ð  P Ðconstituting€a€contract€which€could€not€be€performed€within€the€space€of€one€year.€€We€disagree.€Ð é 9 ÐAt€no€point€was€there€a€binding€contract€or€agreement€that€Decedent€would€give€Appellee€$10,000Ð Ò!"  Ðper€year€either€as€a€gift€or€an€advancement.€€As€the€trial€court€determined,€Decedent€and€AppelleeÐ »" ! Ðhad€only€an€understanding€of€what€would€occur€in€the€future.€€Decedent€could€have€at€any€timeÐ ¤#ô" Ðrefused€to€continue€to€forgive€Appelleeððs€debt.€€Therefore,€there€was€no€ð ðagreement€or€contractððÐ $Ý# Ðbetween€the€parties,€and€section€29„2„101(a)(5)€of€the€Tennessee€Code€does€not€apply.€€For€theseÐ v%Æ $ Ðreasons,€we€affirm€the€trial€courtððs€decision€that€the€statute€of€frauds€is€inapplicable€to€the€facts€ofÐ _&¯!% Ðthis€case.Ð H'˜"& ÐÌÓ  Óò òEvidence€of€a€Giftó óÐ )j$( ÐÌÓ  Óà  àNext,€Appellants€argue€that€the€trial€court€erred€when€it€found€that€Decedent€intended€andÐ í*=&* Ðdelivered€outright€gifts€to€Appellee€of€$10,000€each€year€after€the€sale€of€the€Paper€Birch€house€inÐ Ö+&'+ Ðthe€form€of€forgiving€Appelleeððs€indebtedness€to€Decedent€as€memorialized€in€the€Note€executedÐ ° Ðby€Appellee.€€Appellee€contends€that€the€evidence€established€the€necessary€elements€for€an€outrightÐ ™é Ðgift€in€the€form€of€forgiving€the€debt.Ð ‚Ò ÐÌà  àIn€Tennessee,€a€party€claiming€a€gift€has€the€burden€of€proving€two€essential€elements:Ð T¤ Ðdonative€intent€and€delivery.€€òòIn€re€Estate€of€Garrettóó,€No.€M1999„01282„COA„R3„CV,€2001€Tenn.Ð =  ÐApp.€LEXIS€764,€at€*28„29€(Tenn.€Ct.€App.€Oct.€12,€2001)€(citing€òòIn€re€Estate€of€Blighóó,€30€S.W.3dÐ & v Ð319,€321€(Tenn.€Ct.€App.€2000)).€€Delivery€of€a€gift€may€be€either€actual€or€constructive.€€òòAtchleyóó,Ð  _ Ð255€S.W.€at€371.€€Additionally,€we€note€that€the€party€claiming€a€gift€must€prove€these€elements€byÐ ø H Ðð ðclear,€cogent€and€convincing€evidence.ðð€€òòIn€re€Estate€of€Garrettóó,€2001€Tenn.€App.€LEXIS€764,€atÐ á 1  Ð*29€(citing€òòBlighóó,€30€S.W.3d€at€321).€€ð ðAny€doubt€must€be€resolved€against€the€gift.ðð€€òòIdóó.€(citingÐ Ê   ÐòòState€ex€rel.€Teague€v.€Home€Indem.€Co.óó,€442€S.W.2d€276€(Tenn.€Ct.€App.€1967)).€€Ð ³  ÐÌà  àOur€review€of€Tennessee€jurisprudence€reveals€no€prior€case€with€like€circumstances.€Ð …Õ  ÐHowever,€we€note€that,€in€general,€ð ð[a]€debt€may€be€the€subject€of€a€gift€by€a€creditor€to€his€or€herÐ n¾  Ðdebtor.ðð€€38€Am.€Jur.€2d€òòGiftsóó€ðð€45€(1999)€(citations€omitted);€òòsee€alsoóó€38A€C.J.S.€òòGiftsóó€ðð€48€(1996).€Ð W§  ÐAdditionally,€such€gift€in€the€form€of€forgiveness€requires€not€only€donative€intent,€but€also€ð ðsomeÐ @ Ðobjective€act€which€extinguishes€the€debt€or€divests€the€creditor€of€his€or€her€title€thereto,€such€asÐ )y Ðthe€cancellation,€surrender,€or€destruction€of€the€instrument€evidencing€the€debt,€or€the€executionÐ b Ðof€a€release,€receipt,€or€satisfaction€evidencing€the€extinguishment€of€the€debt.ðð€€38€Am.€Jur.€2d€òòGiftsóóÐ ûK Ððð€45€(1999)€(citations€omitted);€òòsee€alsoóó€38A€C.J.S.€òòGiftsóó€ðð€48€(1996);€C.R.€McCorkle,€Annotation,Ð ä4 ÐòòGift€of€Debt€to€Debtoróó,€63€A.L.R.€2d€259€(1959).€€Additionally,€this€type€of€gift€ð ðmay€be€effectuatedÐ Í Ð.€.€.€by€other€means,€such€as€.€.€.€instructions€to€a€third€person€as€to€the€disposition€of€the€obligationÐ ¶ Ð.€.€.€.ðð€€C.R.€McCorkle,€Annotation,€òòGift€of€Debt€to€Debtoróó,€63€A.L.R.€2d€259€(1959)Ô#†XÅWXXX(Fí #ÔÔ‡X(FXXXÅWÔÔ#†¼zØ»XX(F¿ #ÔÔ‡X(FX»¼zØÔ€(citationsÐ Ÿï Ðomitted).€€Ð ˆØ ÐÌà  àThe€Tennessee€Supreme€Court€has€held€that€the€cancellation€of€a€note€does€not€have€to€beÐ Zª Ðin€writing.€€òòHenson€v.€Hensonóó,€268€S.W.€378,€380€(Tenn.€1924).€€However,€in€òòHensonóó,€the€courtÐ C“ Ðaddressed€the€circumstance€where€the€creditor/decedent€directed€his€wife€to€destroy€the€notesÐ ,| Ðevidencing€the€indebtedness€of€the€debtor,€and€the€wife€carried€out€this€instruction.€€òòIdóó.€at€378.€€ð ðAÐ e Ðgift€of€a€debt€to€the€debtor€cannot€ordinarily€be€effectuated€by€a€mere€verbal€declaration.ðð€€38€Am.Ð þN ÐJur.€2d€òòGiftsóó€ðð€45€(1999)€(citations€omitted);€òòsee€also€Atchley€v.€Rimmeróó,€255€S.W.€366,€372€(Tenn.Ð ç 7 Ð1923)€(stating€that,€in€the€case€requiring€the€actual€delivery€of€a€note,€ð ðthe€declarations€of€a€donorÐ Ð!   Ðthat€he€had€given€the€property€in€controversy€to€the€claimant€thereof€will€not€perfect€a€giftÐ ¹" ! Ðincomplete€for€want€of€actual€delivery,€and€the€fact€of€delivery€must€be€shown€by€other€evidenceÐ ¢#ò" Ðthan€the€mere€declaration€of€the€donor.ðð).€€Ð ‹$Û# ÐÌà  àIn€this€case,€Appellee€sought€to€prove€the€existence€of€outright€gifts€in€the€form€of€theÐ ]&­!% Ð$55,500€down„payment€at€the€time€of€the€sale€of€the€Paper€Birch€house€and€the€$10,000€annualÐ F'–"& Ðcredits€on€the€home€for€each€year€until€the€year€2000.€€The€trial€court€found€that€such€amounts€wereÐ /(#' Ðintended€to€be€outright€gifts€by€the€Decedent€to€Appellee€and€reduced€the€amount€due€on€the€NoteÐ )h$( Ðto€reflect€this€intention.€€Under€the€facts€and€circumstances€of€this€case,€we€agree€with€the€trialÐ *Q%) Ðcourtððs€finding€that€there€was€clear,€cogent€and€convincing€evidence€that€such€credits€were€outrightÐ ê*:&* Ðgifts.€€Ð Ó+#'+ Їà  àInitially,€we€note€that€there€is€no€written€evidence€in€the€form€of€an€executed€release,€receiptÐ ° Ðor€satisfaction€of€these€credits.€€The€only€written€evidence€in€the€record€to€establish€the€existenceÐ ™é Ðof€the€credits€is€Decedentððs€1991€Will.€€That€Will€states€that€such€credits€were€to€be€treated€asÐ ‚Ò Ðð ðadvancementsðð€and€were€to€be€charged€against€Appelleeððs€share€of€Decedentððs€estate.€€However,Ð k» ÐDecedent€instructed€her€certified€public€accountant,€Mr.€Walker,€to€ð ðcreditðð€the€balance€due€on€theÐ T¤ ÐNote€by€$10,000€each€year€until€the€year€2000.Ô#†XÅWXXX(F’ˆ#ÔÔ‡X(FXXXÅWÔÔ#†¼zØ»XX(FÔˆ#ÔÔ‡X(FX»¼zØÔ€€Kathy€further€testified€that€Decedent€told€her€of€theÐ =  Ðinstructions€to€Mr.€Walker.€€Additionally,€there€was€testimony€by€Mr.€Walker€that€he€advisedÐ & v ÐDecedent€of€the€$10,000€annual€exemption€from€the€federal€gift€tax.׃×Ý ƒ #ÃÝòòÚ  Ú4Ú  ÚóóÝ  Ý×  ×€€Further,€Decedent€revokedÐ  _ Ðher€1991€Will€when€she€executed€her€1998€holographic€Will€and€1998€attested€Will,€establishingÐ ø H Ðher€intention€to€revoke€the€characterization€of€the€prior€credits€as€ð ðadvancements.ðð€€In€addition,€thereÐ á 1  Ðwas€evidence€that€Appellee€and€his€family€could€not€afford€to€purchase€the€Paper€Birch€house,Ð Ê   Ðnecessitating€smaller€payments€on€the€interest€and€resulting€in€negative€amortization€on€the€Note.Ô#†¼zØ»XX(F½“#ÔÔ‡X(FX»¼zØÔÔ#†XÅWXXX(F{“#ÔÔ‡X(FXXXÅWԀР³  ÐSuch€evidence€may€be€construed€to€establish€an€intent€on€the€part€of€Decedent€to€treat€the€allegedÐ œì  Ðcredits€as€outright€gifts.€€€Ð …Õ  ÐÌà  àThough€a€written€release,€receipt,€or€satisfaction€executed€by€Decedent€as€donor€and€givenÐ W§  Ðto€Appellee€as€donee€would€have€firmly€established€constructive€delivery€of€an€outright€gift€of€thisÐ @ Ðnature,€we€agree€with€the€trial€court€that,€under€the€circumstances€of€this€case,€the€actions€andÐ )y Ðstatements€of€the€Decedent€are€adequate€proof,€by€clear,€cogent,€and€convincing€evidence,€ofÐ b Ðconstructive€delivery€and,€therefore,€outright€gifts€in€the€form€of€forgiveness€of€the€debt.€€TheÐ ûK Ðtestimony€of€various€witnesses,€interested€and€disinterested€alike,€was€that€Decedent€madeÐ ä4 Ðdeclarations€to€the€effect€that€she€was€forgiving€$10,000€of€Appelleeððs€indebtedness€each€year.€€ThisÐ Í Ðincluded€instructions€by€Decedent€to€Mr.€Walker,€her€certified€public€accountant,€that€she€wishedÐ ¶ Ðto€reduce€Appelleeððs€indebtedness€on€the€Note€by€$10,000€each€year.€€Additionally,€Decedentððs€1991Ð Ÿï ÐWill,€which€refers€to€such€credits€as€advancements,€was€revoked€by€the€terms€of€her€1998Ð ˆØ Ðholographic€Will€and€1998€attested€Will.€€For€these€reasons,€we€affirm€the€trial€courtððs€finding€thatÐ qÁ Ðthe€alleged€transfers€were€outright€gifts€from€Decedent€to€Appellee.Ð Zª ÐÌÓ  Óò òJohn€Walkerððs€Expert€TestimonyÐ ,| Ðó óÌÓ  Óà  àNext,€Appellants€argue€that€the€trial€court€erred€when€it€permitted€Mr.€Walker,€DecedentððsÐ ÿO Ðcertified€public€accountant,€to€testify€as€to€the€value€of€the€Note,€specifically€whether€the€NoteÐ è 8 Ðrequired€simple€or€compound€interest,€due€to€Appelleeððs€lack€of€disclosure€of€Mr.€Walker€as€anÐ Ñ!!  Ðexpert€witness€and€Mr.€Walkerððs€lack€of€qualification€as€an€expert.€€Ð º" ! ÐÌà  àAs€an€initial€matter,€we€note€that€ð ðquestions€regarding€the€admissibility,€qualifications,Ð Œ$Ü# Ðrelevancy€and€competency€of€expert€testimony€are€left€to€the€discretion€of€the€trial€court.ðð€€òòMcDanielÐ u%Å $ Ðv.€CSX€Transp.,€Inc.óó,€955€S.W.2d€257,€263€(Tenn.€1997)€(citing€òòState€v.€Ballardóó,€855€S.W.2d€557,Ð ^&®!% Ð562€(Tenn.€1993)).€€In€this€case,€Mr.€Walker€testified€that€he€had€worked€as€a€certified€publicÐ G'—"& Ðaccountant€since€1961,€he€held€his€Bachelor€of€Science€degree€in€accounting€from€the€UniversityÐ 0(€#' Ðof€Southern€Mississippi,€and€he€had€experience€in€reviewing€promissory€notes€over€his€tenure€as€anÐ )i$( Ðaccountant,€classifying€such€documents€as€ð ðcommonðð€in€his€profession.€€Additionally,€Mr.€WalkerÐ ° Ðstated€in€his€deposition€that€he€routinely€prepared€amortization€schedules€for€promissory€notes.€Ð ™é ÐUnder€the€circumstances€of€this€case,€we€cannot€say€that€the€trial€court€abused€its€discretion€whenÐ ‚Ò Ðit€determined€Mr.€Walker€was€qualified€to€testify€as€an€expert€witness€with€regard€to€the€manner€inÐ k» Ðwhich€interest€would€be€calculated€on€the€Note.Ð T¤ ÐÌà  àNext,€Appellants€argue€that€the€trial€court€erred€when€it€allowed€Mr.€Walker€to€testify€as€toÐ & v Ðwhether€the€Note€called€for€simple€or€compound€interest€when€Appellee€had€not€stated€that€Mr.Ð  _ ÐWalker€would€be€utilized€as€an€expert€witness€during€discovery.€€As€previously€stated€by€theÐ ø H ÐTennessee€Supreme€Court,€ð ð[n]o€sanctions€against€a€party€are€provided€for€the€failure€toÐ á 1  Ðððseasonablyðð€supplement€a€response€to€an€interrogatory€requesting€the€identity€of€expert€witnessesÐ Ê   Ðexpected€to€testify€at€trial.ðð€€òòLyle€v.€Exxon€Corp.óó,€746€S.W.2d€694,€699€(Tenn.€1988).€€ð ðExcludingÐ ³  Ðthe€testimony€of€an€expert€witness€òòmayóó€be€an€appropriate€sanction€for€failure€to€name€the€witness.ðð€Ð œì  ÐòòIdóó.€(emphasis€ours).€€ð ðTo€determine€the€proper€sanction,€Ð …Õ  ÐÌà  à[T]he€trial€judge€should€consider:Ð W§  Ðà  à1.€€The€explanation€given€for€the€failure€to€name€the€witness;Ð @ Ðà  à2.€€The€importance€of€the€testimony€of€the€witness;Ð )y Ðà  à3.€€The€need€for€time€to€prepare€to€meet€the€testimony;€andÐ b Ðà  à4.€€The€possibility€of€a€continuance.ððÐ ûK ÐÌòòIdóó.€(citing€òòStrickland€v.€Stricklandóó,€618€S.W.2d€496,€501€(Tenn.€Ct.€App.€1981)).Ð Í ÐÌà  àIn€this€case,€we€note€that,€in€Appellantsðð€request€for€the€identity€of€expert€witnesses€testifyingÐ Ÿï Ðon€behalf€of€Appellee,€Appellee€lists€the€identity€of€Mr.€Walker.€Additionally,€Mr.€Walker€had€aÐ ˆØ Ðdeposition€taken€prior€to€trial€in€which€he€testified€to€what€he€believed€the€value€of€the€Note€was€andÐ qÁ Ðincluded€an€amortization€schedule€for€the€Note.€€Therefore,€we€cannot€say€that€the€trial€court€abusedÐ Zª Ðits€discretion€when€it€admitted€the€testimony€of€Mr.€Walker€concerning€the€interest€called€for€in€theÐ C“ ÐNote.Ð ,| ÐÌà  àAs€an€ancillary€matter,€we€note€that,€after€reviewing€the€record,€even€if€the€trial€court€erredÐ þN Ðin€admitting€Mr.€Walkerððs€testimony€regarding€the€interest€called€for€by€the€Note,€such€error€wouldÐ ç 7 Ðbe€harmless€because€of€the€testimony€of€John€McKee,€a€prior€attorney€of€Decedent€who€preparedÐ Ð!   Ðthe€Note.€€Tenn.€R.€App.€P.€36(b)€(2004).€€Mr.€McKee€stated€that€the€Note€would€only€result€inÐ ¹" ! Ðinterest€computed€on€interest€if€Appellee€fell€behind€in€payments.€€For€these€reasons,€we€affirm€theÐ ¢#ò" Ðtrial€courtððs€admission€of€Mr.€Walkerððs€testimony€concerning€the€type€of€interest€called€for€in€theÐ ‹$Û# ÐNote.Ð t%Ä $ ÐÓ  Óò òÌSimple€or€Compound€Interestó óÐ G'—"& ÐÌÓ  Óà  àFinally,€Appellants€contend€that€the€trial€court€erred€when€it€determined€that€the€Note€calledÐ )j$( Ðfor€simple,€rather€than€compound,€interest.€€The€cardinal€rule€for€interpreting€contracts€is€to€ascertainÐ *S%) Ðthe€intention€of€the€parties€and€give€effect€to€that€intention.€€òòBob€Pearsall€Motors,€Inc.€v.€RegalÐ ì*<&* ÐChrysler„Plymouth,€Inc.óó,€521€S.W.2d€578,€580€(Tenn.€1975)€(citing€òòPetty€v.€Sloanóó,€277€S.W.2d€355Ð Õ+%'+ Ð(Tenn.€1955)).€€Where€there€is€no€ambiguity,€this€Court€must€attribute€the€ordinary€meaning€to€theÐ ° Ðwords€used€and€neither€party€is€to€be€favored€in€their€construction.€€òòBrown€v.€Tenn.€Auto.€Ins.€Co.óó,Ð ™é Ð237€S.W.2d€553,€554€(Tenn.€1951).€€In€other€words,€this€Courtððs€duty€is€to€enforce€contractsÐ ‚Ò Ðaccording€to€their€plain€terms.€€òòBob€Pearsall€Motorsóó,€521€S.W.2d€at€580€(citing€òòEleogrammenos€v.Ð k» ÐStandard€Life€Ins.€Co.óó,€149€S.W.2d€69€(Tenn.€1941)).€€ð ðThe€interpretation€of€a€written€contract€isÐ T¤ Ða€matter€of€law€and€not€of€fact.ðð€€òòCampora€v.€Fordóó,€124€S.W.3d€624,€628€(Tenn.€Ct.€App.€2003)Ð =  Ð(citing€òòRainey€v.€Stansellóó,€836€S.W.2d€117€(Tenn.€Ct.€App.€1992)).Ð & v ÐÌà  àIn€this€case,€the€only€reference€the€Note€makes€to€interest€on€interest,€which€would€constituteÐ ø H Ðcompound€interest,€states€ð ðeach€unpaid€installment€of€principal€and€interest€to€bear€interest€at€theÐ á 1  Ðrate€of€9€per€cent€per€annum€after€maturity.ðð€€The€Note€further€states€that€ð ð[s]aid€principal€andÐ Ê   Ðinterest€are€payable€in€installments€in€the€following€manner,€to€wit:€Six€Hundred€and€No/100Ð ³  Ð($600.00)€Dollars€on€the€1st€day€of€August,€1991,€and€a€like€amount€on€the€first€day€of€each€monthÐ œì  Ðthereafter€until€payment€in€full.ðð€€The€Note€calls€for€interest€on€any€ð ðunpaid€installmentðð€of€interest.€Ð …Õ  ÐThe€Note€defines€ð ðinstallmentðð€as€a€payment€of€$600€on€the€first€day€of€each€month€beginning€onÐ n¾  ÐAugust€1,€1991.€€After€reviewing€the€Note€and€the€testimony€of€Mssrs.€Walker,€Nunan,€and€McKee,Ð W§  Ðwe€conclude€the€trial€court€properly€found€that€the€interest€on€the€Note€is€simple€interest€and€thatÐ @ Ðinterest€could€only€accumulate€on€interest€in€the€event€that€Appellee€failed€to€pay€a€monthlyÐ )y Ðð ðinstallmentðð€of€$600.€€Therefore,€we€affirm€the€trial€courtððs€conclusion€that€the€amount€due€on€theÐ b ÐNote€should€be€computed€using€simple,€rather€than€compound,€interest.€€For€this€reason,€we€alsoÐ ûK Ðaffirm€the€amount€due€on€the€Note€determined€by€the€trial€court.Ð ä4 ÐÌÓ  Óò òÌÌÌÌÌConclusionó óÐ H˜ ÐÌÓ  Óà  àFor€the€reasons€stated€above,€we€affirm€the€trial€courtððs€determination€that€the€parol€evidenceÐ k Ðrule€did€not€apply€to€the€testimony.€€We€also€affirm€the€trial€courtððs€decision€that€the€statute€of€fraudsÐ  T Ðdid€not€apply€to€the€testimony.€€Further,€we€affirm€the€trial€courtððs€determination€that€the€DeadÐ í = ÐManððs€Statute€did€not€apply€to€the€testimony€regarding€statements€made€by€Decedent€except€for€theÐ Ö!&  Ðtestimony€of€Appellee,€Frank€Daniel€Murchison,€Jr.€€We€affirm€the€trial€courtððs€finding€thatÐ ¿"! ÐDecedent€successfully€made€outright€gifts€to€Appellee.€€We€affirm€the€trial€courtððs€admission€of€JohnÐ ¨#ø" ÐWalkerððs€testimony€regarding€the€type€of€interest€called€for€in€the€Note€and€affirm€the€trial€courtððsÐ ‘$á# Ðconclusion€that€the€amount€due€on€the€Note€should€be€calculated€using€simple€interest.€€Costs€of€thisÐ z%Ê $ Ðappeal€are€taxed€to€Appellants,€Jan€Elizabeth€Murchison€Rector€and€Sara€Jo€Murchison€Tucker,€andÐ c&³!% Ðtheir€surety€for€which€execution€may€issue€if€necessary.Ð L'œ"& Ðà  àÌÌà  àÌà  àÔ#†XÅWXXX(FŽ—#ÔÔ#†¼Š»XXÅWL—#ÔÔ€XÅWX»¼ŠÔÌÐ Ù+)'+ ЇÌà  àà ` àà ¸ àà  àà h àà À àà  à___________________________________€Ð ™é Ðà  àà ` àà ¸ àà  àà h àà À àà  àALAN€E.€HIGHERS,€JUDGE