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Case Citations [i] (Spring 2026)

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                             THE AMERICAN


                               LAW INSTITUTE



                                      Spring 2026 Citations



                                    TRUSTS 2D



Generally

C.A.7, 2025. Cit. in case cit. generally in sup. Employee benefit fund governed by ERISA sued limited-
liability company that agreed to contribute to the fund and company's sole principal, seeking to hold
principal liable for company's failure to make contributions to the fund, alleging that principal had
signed the agreement in his representative capacity in addition to signing a provision that held all
officers of company personally liable for underpayment. The district court granted fund's motion for
summary  judgment, reasoning that the personal-liability clause in the agreement demonstrated
principal's intent to be bound by the agreement's terms. This court reversed and remanded, holding that
general principles of contract law indicated there was ambiguity as to principal's intent to be personally
bound. The court noted that it sometimes looked to general common-law principles when determining
issues on which ERISA had no governing law, such as those set forth in the Restatement Second of
Trusts. Railroad Maintenance and Industrial Health and Welfare Fund v. Mahoney, 144 F.4th 957, 962.



                      CHAPTER 1. DEFINITIONS AND DISTINCTIONS

                                   TOPIC   1. DEFINITIONS

§ 2. Definition of Trust

S.D.Ohio Bkrtcy.Ct.2025. Com.  (b) cit. in case quot. in sup. United States Trustee moved to dismiss
Chapter 11 reorganization proceedings for debtor that held title to seven residential rental properties, or
to convert debtor's case to a Chapter 7 liquidation proceeding, alleging, among other things, that debtor
had filed late, inaccurate, and incomplete monthly operating reports for nearly a year. This court granted
trustee's motion to convert the case to Chapter 7, holding that the Trustee had established cause for the
conversion on the ground that debtor failed to carry out its basic fiduciary duties by not only filing non-
compliant reports, but also by failing to take steps to correct the deficiencies and make accurate
disclosures. The court explained that the duties of a debtor-in-possession were fiduciary in nature, and
that, under Restatement Second of Trusts § 2, fiduciary duties were particularly serious and important

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