§ 13.3.1.5 BENEFIT TO THE ESTATE ANALYSIS

• Jurisdiction: Arizona

§ 13.3.1.5 Benefit to the Estate Analysis

In Gordon, 207 Ariz. 401, 87 P.3d 89 (App. 2004), the court of appeals held that one factor in determining good faith, although not dispositive, is whether the actions of the personal representative benefited the estate. Gordon is particularly noteworthy as it marks a significant departure from prior case law.

Before Gordon, decisions of the court of appeals held that in order to recover under A.R.S. § 14-3720, in addition to being taken in good faith, the actions of the personal representative and his attorney also must have benefited the estate. See, e.g., In re Estate of Estes, 134 Ariz. 70, 80, 654 P.2d 4, 14 (App. 1982), ("An executor is entitled to reimbursement for attorneys' fees only for services rendered to benefit the estate, not if the services were rendered to protect the executor's personal interest."); In re Estate of Stephens, 117 Ariz. 579, 585, 574 P.2d 67, 73 (App. 1978) ("the only circumstances under which [the personal representative] may be reimbursed for her attorney's fees is if services rendered by her attorney benefited the estate"). In fact, Arizona courts employed a...