In re Alessandrini (Lawyers Weekly No. 15-07-0154, 10 pp.) (John Tyson, J.) Appealed from Rowan County Superior Court (Mark Klass, J.) N.C. App.
Holding: The respondent-custodian paid his children’s expenses out of pocket and then reimbursed himself from their Uniform Transfers to Minors Act accounts. In a matter of first impression, the court finds no fault with this practice.
We affirm summary judgment for respondent.
Petitioners do not argue that respondent used the custodial funds to reimburse himself for expenses paid within the normal support obligations of parenthood. The uncontested evidence shows that respondent paid expenses for the benefit of his daughter, Ainsley, and his son, Vince, from personal funds and later reimbursed himself from their UTMA accounts.
No evidence tends to show respondent reimbursed more than he expended or incurred expenses or took funds unrelated to the benefit of the children. Nothing on the record tends to show respondent acted with a dishonest purpose or a lack of reasonable judgment in managing and dispersing the funds in the UTMA accounts.
While respondent may have refrained from paying himself from Ainsley’s account prior to paying the tuition, the evidence before the trial court fails to show respondent acted dishonestly or unreasonably as custodian in managing and dispersing the funds in the UTMA accounts, or otherwise breached his fiduciary duty.