Ben C. Adams v. Buchanan D. Dunavant, et al.

This is an appeal from an interpleader action filed by a trustee of a trust who held funds that were to be distributed to a beneficiary but were subject to claims by other parties. The trial court granted the trustee permission to deposit the funds, discharged him from liability, and ordered some of the funds to be disbursed in accordance with settlement agreements the beneficiary had entered into in other litigation involving his children. The trial court proceeded to consider the claims of various other parties to determine who was entitled to the remainder of the interpleaded funds. Law firms who had represented the beneficiary in separate litigation filed an answer and claimed that they had an attorney charging lien against the trust distributions. After an evidentiary hearing, the trial court determined that the law firms presented no proof of an attorney lien against the trust distributions. As such, the trial court ordered the remaining funds to be distributed to other parties. After an additional hearing on motions to revise, the trial court again found that no attorney lien existed. The law firms appealed. For the following reasons, the decision of the trial court is hereby affirmed and remanded.