Bullock v. BankChampaign, N.A., No. 11-1518; U.S. Supreme Court; opinion by Breyer, J.; decided May 13, 2013. On certiorari to the U.S. Court of Appeals for the Eleventh Circuit.
Petitioner’s father established a trust for the benefit of petitioner and his siblings, and made petitioner the (nonprofessional) trustee. The trust’s sole asset was the father’s life insurance policy. Petitioner borrowed funds from the trust three times; all borrowed funds were repaid with interest. His siblings obtained a judgment against him in state court for breach of fiduciary duty, though the court found no apparent malicious motive. The court imposed constructive trusts on certain of petitioner’s interests including his interest in the original trust in order to secure petitioner’s payment of the judgment, with respondent serving as trustee for all of the trusts.
