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Case Citations [1] (April 2023 - August 2023)

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                                 THE   AMERICAN
                                 LAW INSTITUTE



                                       Spring 2023 Citations



                                     TRUSTS 2D



Generally

C.A.8, 2022. Cit. generally in sup. After a worker was injured in an iron ore mine and the Secretary of
Labor obtained civil penalties against mine operator for, among other things, recklessly disregarding
mandatory  maintenance standards in violation of a federal statute, this court denied operator's petition
for review. In making its decision, the court found that the Secretary of Labor's definition of
recklessness, which was adopted from Restatement Second of Torts § 500, was reasonable and aligned
with the purpose of the statute, noting that federal courts had previously looked to other sections of the
Restatement Second, including the Restatement Second of Agency, the Restatement Second of
Contracts, and the Restatement Second of Trusts. Northshore Mining Company v. Secretary of Labor,
46 F.4th 718, 731.

Cal.App.2022.  Cit. generally in disc. Regional group that belonged to a worldwide organization for
recovering drug addicts sued trustee of a revocable charitable trust that controlled organization's
intellectual property assets, seeking, among other things, to remove trustee based on alleged breaches of
fiduciary duties. The trial court sustained trustee's demurrer without leave to amend, finding that group
lacked standing. Affirming, this court held, as a matter of law, that group was not a settlor of the trust
with standing to sue. In making its decision, the court cited cases relying on the Restatement Second of
Trusts and noted that the California Supreme Court had adopted a common-law approach and made the
Restatement Second  of Trusts a part of California trust law. Autonomous Region of Narcotics
Anonymous   v. Narcotics Anonymous  World Services, Inc., 292 Cal.Rptr.3d 851, 857.



                       CHAPTER 1. DEFINITIONS AND DISTINCTIONS

                                    TOPIC   1. DEFINITIONS

§ 1. Scope of the Restatement

D.Colo.Bkrtcy.Ct.2022.  Com.  (b) cit. in disc. After spendthrift trust filed for Chapter 11 bankruptcy
relief, secured creditor filed a motion to dismiss, alleging that debtor was not eligible for federal
bankruptcy relief. This court granted secured creditor's motion to dismiss, holding that debtor was not a
business trust such that it qualified for Chapter 11 relief, because the terms of the trust agreement
creating debtor made no mention of business activities, and debtor's sole activity was maintaining a
residential home for trust beneficiaries to live in without paying rent and taxes, which did not constitute

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          For earlier citations, see the Appendices, Supplements, or Pocket Parts, if any, that correspond to the subject matter under examination.

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