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Detailed settlement agreement not specific enough for son to claim funds

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Although a settlement agreement worked out between siblings included details about who would receive the comic books, the Indiana Court of Appeals ruled because the document did not specifically address the accounts receivable, one of the surviving sons would not be entitled to the money.

After George W. King Sr. died in 2001, his three children began fighting over the ownership of his many businesses. His daughter, Kay King, and her son, Christopher King, filed a complaint against her brothers, George King and Bob King, and against five of her father’s corporations and three partnerships.

In June 2003, the trial court appointed a receiver. About a year later, the receiver paid more than $2 million for the estate’s outstanding tax liabilities. He drew the bulk of the funds from one particular company, Crown Associates Inc. because that entity had more liquid assets available than the other businesses. The receiver credited Crown by creating an account receivable which in 2007 was valued at $687,278.

On Feb. 22, 2005, the siblings entered into a Term Sheet for Settlement of Litigation which represented their partial agreement on the broad outlines of asset distribution. As a part of that document, the assets and/or equity interest of Crown was conveyed to the son, George Dean King.  

Concluding the accounts receivable were not part of the assets, the trial court ruled the receiver should eliminate all inter-company accounts prior to transferring Crown to George King.

On appeal, George King argued the court abused its discretion when it approved the elimination of certain Crown accounts receivable prior to conveyance. He asserted the accounts receivable were still on the books when the Term Sheet was executed in February 2005.
 
The COA disagreed in George Dean King v. Kay S. King, et al., 49A02-1202-MF-73. It noted the receiver initially proposed that all receivership entities be liquidated with the proceeds being divided equally between the siblings. However, that goal was altered after the siblings executed the Term Sheet which made the assets included in each receivership entity important.  

While the Term Sheet divided a multitude of assets ranging from real estate to safety deposit boxes and even comic books, it did not address Crown’s accounts receivable.

“Given the level of detail embodied in the Term Sheet,” Judge Patricia Riley wrote, “the absence of a clear expression by the parties to repay the accounts receivable which had been expressly created by the Receiver during the Receivership and which existed during the execution of the Term Sheet, is evidence of intent that no such offset was bargained for.”


 

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  1. Such things are no more elections than those in the late, unlamented Soviet Union.

  2. It appears the police and prosecutors are allowed to change the rules halfway through the game to suit themselves. I am surprised that the congress has not yet eliminated the right to a trial in cases involving any type of forensic evidence. That would suit their foolish law and order police state views. I say we eliminate the statute of limitations for crimes committed by members of congress and other government employees. Of course they would never do that. They are all corrupt cowards!!!

  3. Poor Judge Brown probably thought that by slavishly serving the godz of the age her violations of 18th century concepts like due process and the rule of law would be overlooked. Mayhaps she was merely a Judge ahead of her time?

  4. in a lawyer discipline case Judge Brown, now removed, was presiding over a hearing about a lawyer accused of the supposedly heinous ethical violation of saying the words "Illegal immigrant." (IN re Barker) http://www.in.gov/judiciary/files/order-discipline-2013-55S00-1008-DI-429.pdf .... I wonder if when we compare the egregious violations of due process by Judge Brown, to her chiding of another lawyer for politically incorrectness, if there are any conclusions to be drawn about what kind of person, what kind of judge, what kind of apparatchik, is busy implementing the agenda of political correctness and making off-limits legit advocacy about an adverse party in a suit whose illegal alien status is relevant? I am just asking the question, the reader can make own conclsuion. Oh wait-- did I use the wrong adjective-- let me rephrase that, um undocumented alien?

  5. of course the bigger questions of whether or not the people want to pay for ANY bussing is off limits, due to the Supreme Court protecting the people from DEMOCRACY. Several decades hence from desegregation and bussing plans and we STILL need to be taking all this taxpayer money to combat mostly-imagined "discrimination" in the most obviously failed social program of the postwar period.

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