HomeMy WebLinkAbout1239 .
No. 1 allowing distribution of principal asse~ts would in effect permit
termination of the trust prior ta the time set for termination. Since
such power of termination was not reserved in the original trust anc3
since all cantingent beneficiaries have not consented, it foll.aws that
Amendment No. 1 could not and does not confer upon the Trustee the
legal authority to distribute principal assets to all present bene- ~
ficiaries prior to ten (10) years of the date of the trust.
THIRD QUESTION
The third and last question raised by the Trustee goes to
the question of whether there can be a partial modification or termi-
nation of the Trust in relation to indi~~idual beneficiaries. As to
ths interest of present beneficiary Dorothy Binney Palmer, whose
contingent beneficiaries"are her great-granddaughters living at the
time ~f her death, and also present beneficiaries Helen Binney Kitchel,
Barbara Kitchel Girdler, Allan Farrand Kitchel, Jr. and Douglas Binney
Kitchel, whose contingent beneficiaries are their respective children,
~ ep_r stirpes, the answer is clear. In these cases there are contingent
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I beneficiaries, both known and urilcnown, who have not or could not
I consent to any distribution of ~principal. As to the interest of Dorothy
Binney Palmer, Helen Binney Kitchel, Barbara Kitchel Girdler, Allan
Farranc~ Kitchel, Jr. and Douglas Binney Kitchel, the Trustee's third
question is answered in the negative; there can be r_o principal asset
distribution to any of these beneficiaries, except as provided by the
original terms of the Trust. -
A different factual situation zxists as to Donors Elizabeth
Peters Binney, Happy Kitchel Egler and Edwin Binney 3rd. These three,
under the terms of the Declaration of Trust, had the right by Will to
make any disposition of their interest in the trust, in the event of
their death, which is allowed by law. They nameci no con}ingent bene-
ficiaries, who would be assured of receiving an interest in the trust
in the event of their death prior to termination of thP trust.
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