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Seldin v. Estate of Silverman

Seldin v. Estate of Silverman

Supreme Court of Nebraska

March 6, 2020, Filed

Nos. S-19-310, S-19-311

Opinion

 [*189]  [**776]   Heavican, C.J.

I. INTRODUCTION

This is an appeal from a judgment of the district court for Douglas County, confirming an arbitration award of $2,997,031 under the Federal Arbitration Act (FAA)1 and awarding attorney fees as a sanction under Neb. Rev. Stat. § 25-824 (Reissue 2016).

II. BACKGROUND

These two cases arose out of an arbitration between family members designated as the "Omaha Seldins" and the "Arizona Seldins." The term "Omaha Seldins" refers to the following individuals, entities, and trusts: Theodore M. Seldin, individually and in his capacity as trustee of the Amended and Restated Theodore M. Seldin Revocable Trust, dated May 28, 2008; Howard Scott Silverman as trustee of the Amended and Restated [***8]  Stanley C. Silverman Revocable Trust, dated August 26, 2006; Silverman Holdings, LLC, a Nebraska limited liability company; SCS Family, LLC, a Nebraska limited liability company; TMS & SNS Family, LLC, a Nebraska limited liability company; Sarah N. Seldin and Irving B. Epstein, as trustees of the Theodore M. Seldin and Sarah N. Seldin Children's Trust, dated January 1, 1995; Uri Ratner as trustee of the Stanley C. Silverman and Norma R. Silverman Irrevocable Trust Agreement (2008), dated April 10, 2008; John W. Hancock, Irving B. Epstein, and Randall R. Lenhoff as trustees of the Theodore M. Seldin and Sarah N. Seldin Irrevocable Trust Agreement (2008),  [**777]  dated May 12, 2008. The term "Arizona Seldins" refers to the following individuals, entities, and trusts: Millard R. Seldin, individually and as trustee of the Millard R. Seldin Revocable Trust, dated October 9, 1993; Scott A. Seldin, individually and as trustee of the Seldin 2002 Irrevocable Trust, dated December 13, 2002; Seldin Real Estate, Inc., an Arizona corporation; Kent Circle Investments, LLC, an Arizona limited liability company;  [*190]  and Belmont Investments, LLC, an Arizona limited liability company.

For a period of more than [***9]  50 years, the parties held joint ownership interests as the Seldin Company in numerous entities located in the Omaha, Nebraska, area. The three principals of the Seldin Company were Millard; Millard's younger brother, Theodore; and Millard's brother-in-law, Stanley C. Silverman. The Seldin Company's principal place of business was Omaha. However, in 1987, Millard began relocating the business operations from Omaha to Scottsdale, Arizona. Theodore and Stanley co-owned the company, and they agreed to manage the jointly owned properties through management agreements.

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305 Neb. 185 *; 939 N.W.2d 768 **; 2020 Neb. LEXIS 34 ***

MILLARD R. SELDIN, INDIVIDUALLY AND AS TRUSTEE OF THE MILLARD R. SELDIN REVOCABLE TRUST, DATED OCTOBER 9, 1993, ET AL., APPELLANTS AND CROSS-APPELLEES, AND SCOTT A. SELDIN, INDIVIDUALLY AND AS TRUSTEE OF THE SELDIN 2002 IRREVOCABLE TRUST, DATED DECEMBER 31, 2002, APPELLANT, CROSS-APPELLANT, AND CROSS-APPELLEE, v. ESTATE OF STANLEY C. SILVERMAN ET AL., APPELLEES, CROSS-APPELLANTS, AND CROSS-APPELLEES. THEODORE M. SELDIN, INDIVIDUALLY AND AS TRUSTEE OF THE AMENDED AND RESTATED THEODORE M. SELDIN REVOCABLE TRUST, DATED MAY 28, 2008, ET AL., APPELLEES, CROSS-APPELLANTS, AND CROSS-APPELLEES, V. MILLARD R. SELDIN, INDIVIDUALLY AND AS TRUSTEE OF THE MILLARD R. SELDIN REVOCABLE TRUST, DATED OCTOBER 9, 1993, ET AL., APPELLANTS AND CROSS-APPELLEES, AND SCOTT A. SELDIN, INDIVIDUALLY AND AS TRUSTEE OF THE SELDIN 2002 IRREVOCABLE TRUST, DATED DECEMBER 31, 2002, APPELLANT, CROSS-APPELLANT, AND CROSS-APPELLEE.

Subsequent History: US Supreme Court certiorari denied by Seldin v. Estate of Silverman, 2021 U.S. LEXIS 2400 (U.S., May 17, 2021)

Prior History:  [***1] Appeals from the District Court for Douglas County: J RUSSELL DERR, Judge.

Seldin v. Seldin, 2016 U.S. Dist. LEXIS 168429, 2016 WL 7115985 (D. Neb., Dec. 6, 2016)

Disposition: Affirmed as modified.

CORE TERMS

arbitrator, district court, vacate, arbitration award, parties, modify, attorney's fees, final award, awards, costs, confirm, separate agreement, interim, public policy, cross-appeal, amend, grounds, interpleader, notice, partiality, damages, jointly, nunc pro tunc, sanctions, asserts, law firm, misbehavior, overruling, cases, assigned error

Civil Procedure, Appeals, Standards of Review, De Novo Review, Preliminary Considerations, Jurisdiction, Business & Corporate Compliance, Alternative Dispute Resolution, Arbitration, Federal Arbitration Act, Clearly Erroneous Review, Pretrial Matters, Judicial Review, Abuse of Discretion, Remedies, Costs & Attorney Fees, Attorney Fees & Expenses, Judgments, Relief From Judgments, Altering & Amending Judgments, Arbitration, Appellate Jurisdiction, Pleading & Practice, Motion Practice, Content & Form, Time Limitations, Inability to Proceed, Disqualification & Recusal, Waiver of Disqualification & Recusal, Grounds for Disqualification & Recusal, Attorney Fees & Expenses, Basis of Recovery, Bad Faith Awards, Appellate Jurisdiction, Lower Court Jurisdiction, Notice of Appeal, Federal Arbitration Act, Arbitration Agreements, Pleadings, Amendment of Pleadings, Leave of Court, Costs & Attorney Fees, Judicial Officers, Judges, Discretionary Powers, Remands, Reviewability of Lower Court Decisions, Reviewability of Lower Court Decisions, Adverse Determinations, Evidence, Burdens of Proof, Allocation