Lewis v. Worley

A settlor of a trust is entitled to attorney’s fees under ORS 20.105(1) if someone brings a claim against the trust without an objectively reasonable basis. "Although [ORS 130.815] says that the court may award fees 'to any party' in an action involving administration of a trust, it cannot justify an award of fees to a party that had no objectively reasonable basis for bringing the claims it did."

Respondent appealed the trial court's ruling that awarded attorney fees to Petitioner. Respondent assigned error the trial court's refusal to award him attorney fees under ORS 20.105(1) and instead awarded attorney's fees to Petitioner. On appeal, Respondent argued that he was entitled to fees because Petitioner had no objectively reasonable basis for pursuing trust claims against him. In response, Petitioner argued that he properly exercised his standing and the trial court's jurisdiction when he brought the trust claims because he was an "interested person" under ORS 130.050. A settlor of a trust is entitled to attorney’s fees under ORS 20.105(1) if someone brings a claim against the trust without an objectively reasonable basis. "Although [ORS 130.815] says that the court may award fees 'to any party' in an action involving administration of a trust, it cannot justify an award of fees to a party that had no objectively reasonable basis for bringing the claims it did." The Court held that Petitioner had no objectively reasonable basis to challenge the trust and was therefore ineligible to recover attorney's fees under ORS 130.815. Further, the Court held that Respondent was entitled to fees under ORS 20.105(1). Reversed and remanded.