WPC vkӻbqi5 S߶1=q:hg{= kQcp܎qv ]FdO\,#3# gjYv>w^c! .\PpudʘSSfHFhsOGOaCpwӲcr}nJE k,Q',Y.6*[ida.-uw96;&Apm}7OjUa~uϾRAvԒ"Hk)N^X\# $g?3N 0c' 1 z  1] 1 U>ko5 0DN 1u 72|E 1^ 7wC4G[j mlllllllllllllllllb 0 Bvv 0 D37 D-j 0K 0w ASY 0r 0D AZZ 1 1 1HP LaserJet 4050 Series PCL 6,,,,0(hH  Z(Times New Roman (`$.8dd8    ("  Z6Times New Roman Regular(;3$2#  0  .3  0  (ʽCEKQW]cioAutoList5A:A:A:A:A:A:A:A: C:\PROGRA~1\COREL\WORDPE~1\TEMPLATE\CUSTOM~1\REVISE~1.WPTC:\Program Files\Corel\WordPerfect Office 2000\Template\Custom WP Templates\revised standard opinion.wpt(ڽCEKQW]cioAutoList6A:A:A:A:A:A:A:A:(CEKQW]cioAutoList7A:A:A:A:A:A:A:A:\  `&Times New RomanLevel 1Level 2Level 3Level 4Level 5Level 1Level 2Level 3Level 4Level 5Level 1Level 2Level 3Level 4Level 5Level 1Level 2Level 3Level 4Level 5(#$  0  3#37=CIQYag1.a.i.(1)(a)(i)1)a)i)0eTCEKQW]cioAutoList4I.A:I.I.I.I.I.I.#+s 8n_+GRA~1\3|xU- -(|G2Jk$ !.8^}dd8         0  u d(|3G$ !.8^}dd8     VVVV'dxd)!dxdx( $ Figure  1  (O;$0  2#  a  .3  0` (#(#^_X`YE<<CLevel 1Level 2Level 3Level 4Level 5(|3G$ !.8^}dd8     ($$   1  X[Z&OLE 2.0 Box <=8C HKKKK(CEKQW]cioAutoList8A:A:A:A:A:A:A:A:0 CEKQW]cioAutoList9A:A:A:A:A:A:A:A:(*EGMSY_ekqAutoList10A:A:A:A:A:A:A:A:  RJk$      1  u  _ԀUnderthispolicy,Ms.WestwastheinsuredandMs.Cunninghamwasthebeneficiary.Thepolicyalsolisted  a certificateholder.Althoughnotabundantlyclearfromtherecord,thepolicylistedafuneralhomereferredtoasa t certificateholder.Thecertificateholderwasapparentlytocollectontheproceedsfromthebeneficiaryforthefuneral 8 costs.Thus,whendiscussingthetransferofthepolicytoMr.Blackwellsfuneralhome,weareindicatingachangein L thelistedcertificateholder.XXu  RJk$      2  u  _ԀMs.Cunninghampassedawaybeforetheproceedingswereheld.Accordingly,Ms.Cunninghamstestimony  wasunavailable. !.8^}dd8     _  ^}8XXdd8  @ D4^}INTHECOURTOFAPPEALSOFTENNESSEE  @kk$ATNASHVILLE#^}D4 #Ԉ &   JULY9,2001Session L XX^} #^}XX#DAVID_PITTS_v.FLOYDR.BLACKWELL,SR.XX^}  J @@ DirectAppealfromtheProbateCourtforFranklinCounty  J @@NoTrialCourtNumberAvailable;TheHonorableFloydDonDavis,Judge  6 @@*AV) ` dE<` A   @@TTNo.M200001733_COA_ԄR3CVFiledDecember28,_2001_   AV) ` dE<|` A }     XXXXThisappealinvolvesthedecisionofaprobatecourttoapprovetheamendedfirstandfinal x  accountingofaconservatorshipandawardattorneysfeesfortheconservatorsdefenseofthe d accounting.Theconservator,ownerofafuneralhome,conducteda$26,367.75funeralforthe P _conservatee_.Aninterestedpartyobjectedtoapprovalofthefuneralexpensesandahearingwas < held.Theprobatecourtorderedtheconservatortoreturntheproceedsfromaprepaidburiallife (x insurancepolicytotheestate,butconfirmedtheaccountinginallotherrespects.Forthefollowing d reasons,weaffirminpart,reverseinpart,vacateinpartandremandforfurtherproceedings. P #XXXX##^}XX#XX^} Tenn.R.App.P.3;AppealasofRight;JudgmentoftheProbateCourtAffirmedinPart,  ReversedinPart,VacatedinPartandRemanded     #^}X#XX.^}AlanE.Highers,J.,deliveredtheopinionofthecourt,inwhichDavidR.Farmer,J.,andHolly  KirbyLillard,J.,joined. t GuyR._Dotson_,Sr.,GregoryM.Reed,Murfreesboro,TN,forAppellant L  FannieJ.Harris,Nashville,TN,forAppellee $"t!   OPINION #^}XX #XX^} #L# #^}XX #XX^}  XXXX@FactsandProceduralHistory %$!%    JeanHelenWest(Ms.West)wasanelderlypatientatWinchesterHealthCareCenter '"' sufferingfromAlzheimerstypedementia.DuringmuchofthetimeMs.Westwasapatientatthe (#( carecenter,JohnB.Cunningham(Mr.Cunningham)heldapowerofattorney,whichenabledhim )$) tohandleherfinancialaffairs.Mr.Cunningham,however,passedawayleavingnoonetoattendto p*%* Ms.Westsneeds. \+&+   H,',   OnMay19,1998,FloydR.Blackwell,Sr.(Mr.Blackwell)andTheresaJoanCunningham   (Ms.Cunningham)petitionedtheprobatecourtofFranklinCounty,Tennesseetobeappointedco  conservatorsofthepersonandestateofMs.West.Theprobatecourtgrantedthepetitionand  appointedMr.BlackwellandMs.CunninghamcoconservatorsonJune2,1998.The t conservatorshipwouldlastlessthaneightmonths,however,duetoMs.WestsdeathonJanuary23, ` 1999.Ms.CunninghamandMr.Blackwellwerebothcompensated$1,200.00fortheirservicesas L  coconservators. 8    Mr.Blackwell,atalltimesrelevanttothisappeal,ownedandoperatedJohnsonBlackwell  ` FuneralHome.Mr.BlackwelltestifiedthatbeforehebecameacoconservatorandbeforeMs.  L  Westsdeath,Mr.CunninghamprofessedadesiretotransferMs.Westsprepaidburialinsurance  8  policyfromMoore_Cortner_ԀFuneralHometoMr.Blackwellsfuneralhome.p #  1      ׀Thepolicy,however, $  wasnevertransferredbyMr.Cunningham.Instead,afterMr.CunninghamsdeathandafterMr.   Blackwellbecameacoconservator,Mr.BlackwellandMs.Cunninghamtransferredthepolicyto   Mr.Blackwellsfuneralhome.     UponMs.Westsdeath,Ms.CunninghamandMr.Blackwellapproachedtheirattorneyto p determineiftheyhadtheauthoritytohandleMs.Westsfuneralarrangements.Theattorney \ indicatedthatascoconservators,theirauthorityovertheestateextendedpastMs.Westsdeathfor H thepurposeofarrangingherfuneral.ThedecisionwasmadetoallowMr.Blackwellsfuneralhome 4 toarrangethefuneral.Mr.BlackwelltestifiedthatMs.Cunninghammadeallofthedecisions  p regardingMs.Westsfuneralincludingtheservicesandproductsselected.Mr.Blackwells  \ testimonyindicatesthathemerelyprovidedMs.Cunninghamwiththecatalogsusedtoselectthe H casketandvaultandplayednopartinthedecisionmakingprocess.rd #  2      ׀ 4   Thecostofthefuneraltotaled$26,367.75andwasthemostexpensivefuneralever   performedbyMr.Blackwell.#XXXX3 #XXXXOtherthanMs.Wests,thecostliestfuneralarrangedbyMr.Blackwell  wascompletedforapproximately$12,000.#XXXX#XXXXTheunusuallyhighcostsassociatedwithMs.Wests  funeralresultedfromthepurchaseofahighendcasketandvault.Thecasket,costingtheestate  $7,227.50,wasmarkedupapproximately300percentaccordingtothetestimonyofMr.Blackwell. l Thesolidbronzevault,costingtheestate$14,100,wasmarkedupapproximately100percent. X  Accordingly,itappearsonthepurchaseandsaleofthevaultandcasketalone,Mr.Blackwellearned D! aprofitofapproximately$12,000.Mr.Blackwelltestifiedthatpercentagemarkupsonthecasket 0"  andvaultwerethemarkupsheappliedtoallcasketsandvaults.Accordingly,thehighertheprice #l! oftheitemssold,thehigherMr.Blackwellsprofitswouldbe.   $X"     Ms.WestsfuneralwaspaidforoutofMs.Westsestateaswellasbytheprepaidburial  insurancepolicy.Beforethefuneral,achecktotaling$3,000.00waswrittenbyMs.Cunningham  toMr.Blackwellsfuneralhome.Mr.Blackwellutilizedthesefundsasadownpaymentonthe t casket.Thefundsfromtheburialpolicy,totaling$7,731.93werealsogiventoMr.Blackwell.The ` amountstillowedonthefuneralwaspaidtoMr.Blackwellbycheck.Mr.Blackwellfilledoutthis L  checkfor$15,527.83andtookittoMs.Cunninghamforhersignature.Ms.Cunninghamsignedthe 8  checkandMr.Blackwellcashedit. $ t   Ms.CunninghamandMr.Blackwellfiledafirstandfinalaccountingwiththeprobatecourt  L  onMarch15,1999.Theaccountinglistedonlythe$3000.00downpaymentcheckforfuneral  8  expenses.Mr.Blackwellgaveseveralreasonsinhistestimonyastowhythe$15,527.83checkand $  theburialpolicyfundswerenotlisted.First,Mr.Blackwelltestifiedthatthecheckhadnot    clearedthebankwhentheaccountingwaswritten.Itappearsfromtherecord,however,thatthe   checkhadclearedthebankonMarch5,1999,tendaysbeforetheaccountingwasfiled.Weassume,   mostlikely,Mr.Blackwellmeantthatthecheckhadnotyetbeenreturnedwiththefollowing   monthsstatement.Mr.BlackwellfurthertestifiedthatalthoughbothheandMs.Cunningham p signedtheaccounting,Ms.Cunninghamhadcontrolovertheinformationneededfortheaccounting \ andthatshewastheonetopreparetheaccounting. H   Ms.CunninghampassedawayonMarch11,1999,soonafterthefirstandfinalaccounting  p wasfiled.InAugust1999,Mr.Blackwellfiledamotionwiththeprobatecourttoamendthefirst  \ andfinalaccounting.Theamendedfirstandfinalaccountingcontainedseveralalterationstothe H originalaccounting,includingtheadditionofthe$15,527.83checkpaidtoMr.Blackwellsfuneral 4 homeandtheburialpolicyproceeds.     David_Pitts_Ԁ(Mr._Pitts_),aninterestedparty,objectedtotheaccountingandahearingwasheld  onApril18,2000.Atthehearing,Mr.Blackwellwastheonlyonetotestifytothetransactionsdue  tothedeathsofotherknowledgeableparties.Thecourtrequestedbriefsfromallinterestedparties  beforeadecisioncouldbemade.OnJune7,2000thecourtissuedanorderacknowledgingMr. l Blackwellstestimonythathedeclinedtoactinhiscapacityasconservatorwithrespecttothe X  funeralarrangementsandneversignedanychecks.TheorderrequiredMr.Blackwelltoreturnthe D! proceedsfromtheburialpolicytoMs.Westsestate,approvedtheaccountinginallotherrespects, 0"  andclosedtheconservatorship.Thus,theprobatecourtapprovedonly$18,635.82ofthe$26,367.75 #l! funeralbill.Theprobatecourtfurtherorderedthatallattorneysfeesresultingfromthelitigation $X" bepaidbyMs.Westsestate. $D #   Mr._Pitts_Ԁappealstheprobatecourtsdecisionandraisesthefollowingthreeissuesfor &"% review: '#&  (eT03"3"  3-2eT  I  .3  0    WhetherMr.BlackwellbreachedhisfiduciarydutytoMs.Westwhenheprovidedfuneral )$( andburialservicesforherwhilecontinuingtomaintainhispositionascoconservator;3--݌|*%)(#(# Ќ   h+&* "3"  3# XXXXԀAconservatorshouldnotchangethecharacterofthe_conservatee_'sproperty %0!$ interestsunlessthechangeisnecessarytoprotectandpromotetheinterestsofthe &"% _conservatee_.Id.#XXX X@# XXXXInconsideringaconservator'srequesttocashalifeinsurancepolicyforthe '#& benefitofthe_conservatee_'sestate,thisCourt,in_Folts_Ԁv.Jones#XXX X"B# XXXXstated:(#'(#(# #XXX XVC# XXXX<(r r4 <DLX<0 r 0r(#r(#Beforethecharacteroftheinterestinpropertyheldbya[_conservatee_]canbechanged, |*%) itmustbemademanifestthatitisnecessarytoprotectandpromotehisinterest. h+&* Althoughasarule,thecourtwillpreserve,asfaraspossible,theinterestsofthe  succession,thisruleyieldstotheparamountrulewhichmakesthe[_conservatee_'s]  welfarethefirstconsiderationwithoutregardtotherightsofthosewhomayhave  eventuallyrightstosuccession.t(#(# 0 r Id.;seealsoMorrisv.Morris,195Tenn.133,258S.W.2d732(1953).#XXX XC# XXXX?( 4 <DLrr4X?L r(#r(# <(r r4 <DLX<0 r   Aconservatorisnotthealteregoofthe_conservatee_,however,andhasnoauthorityto $ t exerciseanelectiverightorpowerofthe_conservatee_._Folts_,132S.W.2dat207.#XXX XNG# XXXXԀTherefore,  ` aconservatorhasnoauthoritytoterminatejointaccountsinwhichthe_conservatee_Ԁhasan  L  interestortochangeabeneficiaryonalifeinsurancepolicy._Folts_,132S.W.2dat207;see  8  alsoHowardv._Imes_,265Ala.298,90So.2d818(1956);Inre:EstateofWright,430Mich. $  463,424N.W.2d268(1988);_Hendricks_Ԁv.GrantCountyBank,379P.2d693,697(Okla.   1963);Matterof_Guardinaship_ԀofRich,520N.W.2d63(S.D.1994);_Rozycke_Ԁv._Sroka_,3   _Ill.App_.3d741,279N.E.2d155(1972);MatterofEstateof_Briley_,16_Kan.App_.2d546,825   P.2d1181(1992);_Maess_Ԁv.Greenfield,547S.W.2d777(Ky.Ct.App.1977);Strainv.   _Rossman_,47_Or.App_.57,614P.2d102(1980).#XXX XmI# XXXXԀInstead,theconservatormustpetitionthe p court,andthecourt,onbehalfofthe_conservatee_,canexercisesuchanelectionifitisclearly \ proventobeinthebestinterestsofthe_conservatee_._Folts_Ԁv.Jones,132S.W.2dat207;see H also_Schlieper_Ԁv.Rust,46_Ill.App_.3d319,4_Ill.Dec_.817,822,360N.E.2d1192,1197(1977); 4 _Rozycke_Ԁv._Sroka_,279N.E.2dat158. pr(#r(# #XXX XN# XXXX?(r r4 <DLrr4X?0 r   Aconservatorowesthe_conservatee_Ԁanundivideddutyofloyalty.18Tenn._Juris_., H MentallyIIIandOtherIncompetents,#XXX XR# XXXXԀ8,p.323(1984).Theconservatorcannotbeallowed 4 bylawtohaveanyinducementtoneglecttheinterestsofthe_conservatee_.Freemanv.Martin,   181Tenn.470,181S.W.2d745,746(1944).#XXX XzS# XXXXԀTherefore,itisgenerallyheldthataconservator   violateshisorherfiduciarydutybyacquiring,bypurchaseorotherwise,thepropertyofthe  _conservatee_.Id.;seealsoLaniusv.Donnell,222Tenn.58,432S.W.2d659(1968).#XXX XT# XXXX# ^}X X # u ^}r(#r(# # ^} uV# XX ^}#XXX XRV#  XXXX_Grahl_,971S.W.2dat37778(footnoteomitted). l    r #XXXXCW#XXXXTheTennesseeSupremeCourthasalsodiscussedpossibleconflictsarisingfromtransactions D! betweenaconservatorandward.In_Meloy_,thecourtnotedthesimilarityofthefiduciaryduties 0"  owedbytrusteesandconservatorsandstatedthatthedutiesoftheconservatoraremorestringently #l! appliedthantootherclassesoftrusts._Meloy_,149S.W.2dat75.Thecourt,borrowingfromthecase $X" lawofasisterstate,furtherstated, Nothinginthelawoffiduciarytrustsisbettersettledthanthat $D # thetrusteeshallnotbeallowedtoadvantagehimselfindealingswiththetrustestate.Heshallnot %0!$ beallowedtoservehimselfunderthepretenseofservinghis_cestui_Ԁ_que_Ԁtrust.Id.(citationomitted) &"% (emphasisadded). '#&  r Here,thetestimonygivenbyMr.Blackwelldemonstratesthedifficultyinherentinany )$( transactionbetweenconservatorandward: |*%)  h+&*  (ʽ80! !"3"   r 3]2ʽ  Q  :3  0    Now,asconservatorofherestate,didyounotrealizethatyouweredoingbusiness  withyourself?3]]݌(#(# Ќ   r "\;"  \;_0 r 2ʽ  A  :3  0r(#r(#  No,Ididnot.\;_0_݌t(#(# Ќ   (ڽ88! !"3"   r 3`2ڽ  Q  :3  0    Youdidntrealizethatyouasaconservatorwhenyoumadethistransactionyouwere L  goingtobedoingbusinesswith[Floyd]Blackwell,theundertaker?3``݌8 (#(# Ќ   r ... $ t Ѐ"\;"  \;