Court Dismisses Motion for Professional Estate Trustee During Litigation in Dispute Over Deceased’s Will

 Sadollah Zarrinmehr passed away on November 15, 2020, leaving behind his wife, Soraya Shokrai, and two children: Mehdi Zarrin-Mehr (from a previous marriage) and Maral Zarrin-Mehr (with Soraya). Soraya sought to propound the Deceased’s 1999 Will, appointing herself as the estate trustee. Mehdi challenged the validity of the 1999 Will and sought various remedies, including directions on its interpretation, trust claims, and objections to Soraya’s administration of the Estate.

In his motion, Mehdi requested the appointment of a professional estate trustee during litigation. However, the court dismissed this motion.

Mehdi sought the appointment of an Estate Trustee During Litigation (ETDL) due to allegations of hostility, lack of transparency, and disregard of his interests by Soraya, the Estate Trustee. He cited several issues, including Soraya’s failure to provide documents, misstatements in affidavits, and improper actions regarding estate assets.

Justice Sanfilippo rejected Mehdi’s motion for the appointment of a professional estate trustee during litigation (ETDL) for several reasons:

1. Lack of Evidence for Hostility or Mismanagement: Mehdi’s allegations of hostility, lack of transparency, and disregard for his interests by Soraya were not substantiated. The judge found that the disputes between Mehdi and Soraya primarily stemmed from errors, such as the incorrect application regarding the Deceased’s intestacy status and delays in providing the 1999 Will. These issues were resolved without demonstrating significant hostility or mismanagement of the estate.
2. Lack of Impact on Estate Administration: The judge concluded that the issues raised by Mehdi, including disagreements about the ownership of assets and delays in document production, did not negatively affect the administration of the estate or its assets. There was no evidence suggesting that Soraya’s actions had impaired the estate’s administration or harmed its interests.
3. Estate’s Simplicity: The judge found that the estate was straightforward, with assets totaling approximately $1.2 million. The estate’s composition was simple, consisting mainly of a condominium, shares in a corporation, and a debt owed to the Deceased’s estate. Therefore, the appointment of a professional estate trustee during litigation would not be necessary and could unnecessarily increase the costs of the estate, which would reduce the value available for the beneficiaries.
4. Costs Consideration: The judge expressed concern that appointing a professional estate trustee during litigation would incur additional costs that could be detrimental to the estate. The ongoing litigation expenses, combined with the cost of appointing a professional trustee, would reduce the amount available for distribution among the beneficiaries.

In conclusion, the judge found that the issues did not warrant the appointment of a professional estate trustee during litigation and dismissed Mehdi’s motion.

Case: Zarrin-Mehr v. Shokrai, 2024 ONSC 6319 (CanLI