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HAMILTON v. MERCANTILE BANK OF CEDAR RAPIDS

Nos. 99-0476, 99-0740.

621 N.W.2d 401 (2001)

John A. HAMILTON, Ann Davenport, Greg Hamilton, Marcia Schunemann, and Jane Hamilton, Appellants, Virginia Haberstick, Plaintiff, v. MERCANTILE BANK OF CEDAR RAPIDS and Mercantile Investment and Trust Services, Appellees. John A. Hamilton, Ann Davenport, Greg Hamilton, Marcia Schunemann, and Jane Hamilton, Plaintiffs, Virginia Haberstick, Appellee, State of Iowa ex rel. Civil Reparations Trust Fund, Appellee, v. Mercantile Bank of Cedar Rapids and Mercantile Investment and Trust Services, Appellants.

Supreme Court of Iowa.

January 18, 2001.

Attorney(s) appearing for the Case

Roger T. Stetson and Margaret C. Callahan of Belin Lamson McCormick Zumbach Flynn, A Professional Corporation, Des Moines, and Gregory J. Epping and John D. Hedgecoth of Terpstra & Epping, Cedar Rapids, for Mercantile Bank, appellant in 99-0740 and appellee in 99-0476.

David J. Dutton and James F. Kalkhoff of Dutton, Braun, Staack & Hellman, P.L.C., Waterloo, for Virginia Haberstick, appellee in 99-0740, and John A. Hamilton et al., appellants in 99-0476.

Thomas J. Miller, Attorney General, Craig Kelinson, Special Assistant Attorney General, and Richard E. Mull, Assistant Attorney General, for appellee State.

Considered en banc.

NEUMAN, Justice.

These appeals involve a trust department's blatant breach of its fiduciary duties to the beneficiary of a trust established under the will of Julie McDaniel Hamilton. The trustee, Mercantile Bank, concedes mismanagement but disputes the amount of damages awarded by the jury, both compensatory and punitive. Contingent remaindermen, dismissed from the suit on summary judgment before trial, contest the court...

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