Inheritance – Constructive Trust

Listen to this article

WI Supreme Court

Case Name: J. Steven Tikalsky v. Susan Friedman, et al.

Case No.: 2019 WI 56

Focus: Inheritance – Constructive Trust

In a vigorous dispute over the distribution of Donald and Betty Lou Tikalsky’s estate, J. Steven Tikalsky sued his sister, Terry Stevens, to obtain part of the inheritance she received from their parents. His Complaint contains a count labeled “constructive trust,” which he deployed against his sister as a cause of action. Terry Stevens asks us whether a “constructive trust” may play that role, and whether it may be used against those who have engaged in no inequitable behavior. We hold that a constructive trust is a remedy, not a cause of action. We also hold that, under the proper circumstances, a constructive trust may be imposed on property in the possession of one who is wholly innocent of any inequitable conduct. But because the Complaint in this case does not state a cause of action against Terry Stevens, nor assert any other grounds upon which a constructive trust could be imposed, the circuit court properly dismissed her from the case with prejudice. We reverse the court of appeals’ decision reversing the circuit court.

Reversed

Concur: ZIEGLER, J. concurs (opinion filed).

Dissent: ROGGENSACK, C.J. dissents (opinion filed). A.W. BRADLEY, J. dissents, joined by ABRAHAMSON, J. (opinion filed).

Full Text

Derek A Hawkins is trademark corporate counsel for Harley-Davidson. Hawkins oversees the prosecution and maintenance of the Harley-Davidson’s international trademark portfolio in emerging markets.