In Re Estate of John Jefferson Waller

Syllabus

A reverse mortgage borrower died. The administrator of his estate petitioned the probate court to enjoin the lender from foreclosing and to set aside the loan and mortgage based on lack of capacity and fraud. While the injunction against the lender was in place, the mortgaged property was sold. On the administrator's motion, the probate court ordered the administrator to escrow the payoff amount for the reverse mortgage pending the outcome of the litigation. After a bench trial, the probate court dismissed the estate's claims against the lender. The administrator then asked the court for leave to release the escrowed funds in an amount equal to a payoff provided by the lender shortly before the sale. The lender objected because the sale had occurred over four years before. The lender requested payment of interest accruing since the sale and recovery of its attorney's fees and costs. The probate court sided with the administrator and denied the lender's motion for attorney's fees and costs. We affirm.