Ballenger v. McMillan

106 A.2d 109, 205 Md. 94, 1954 Md. LEXIS 263
CourtCourt of Appeals of Maryland
DecidedJune 24, 1954
Docket[No. 166, October Term, 1953.]
StatusPublished
Cited by8 cases

This text of 106 A.2d 109 (Ballenger v. McMillan) is published on Counsel Stack Legal Research, covering Court of Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ballenger v. McMillan, 106 A.2d 109, 205 Md. 94, 1954 Md. LEXIS 263 (Md. 1954).

Opinion

Collins, J.,

delivered the opinion of the Court.

This is an appeal from a decree distributing the corpus of a trust estate.

On July 26, 1912, William H. Gorman, the grantor, executed a deed to the Safe Deposit & Trust Company of Baltimore, assigning to it 302 shares of capital stock of the Cumberland Coal Company of Baltimore City to *97 be held in trust, certain payments to be made to the grantor during his' life. Mr. Gorman died on July 7, 1915. The pertinent parts of the deed with respect to the trust estate after the death of William H. Gorman follow. (1) After the death of the Settlor, one-third of the income was to be paid to Ada Rogers Gorman, wife of the Settlor; the remaining income (and all of the income after the death of Ada Rogers Gorman) was to be paid to the children of William H. Gorman from time to time surviving, the share of any deceased child “to be paid to the children and descendants of such deceased child per stirpes”; (2) With respect to corpus the Deed provided that “the trust is to continue during the lives of all the children of the said William H. Gorman, and upon the death of the last surviving child of the said William H. Gorman the trust shall terminate and the principal of the trust estate shall go to all the descendants of the said William H. Gorman then living, to be divided among them per stirpes and not per capita * * *.” (Italics supplied).

The facts as stated in the brief of the appellants are adopted by the appellees and are substantially as follows. The grantor was survived by his second wife, Ada Rogers Gorman, who died on June 21, 1949. The grantor’s last surviving child, Elizabeth Gorman McMillan, died on March 17, 1953, upon which event the principal of the trust estate became distributable “to all the descendants of the said William H. Gorman then living, to be divided among them per stirpes and not per capita * *

The grantor had four children, Douglas Gorman, Albert Gorman, Nora Clark Gorman Ballenger, and Elizabeth Gorman McMillan. At the death of the last surviving child, Elizabeth Gorman McMillan, the following were the living descendants (exclusive of great-grandchildren with living parents) : (a) Douglas Gorman’s children (hereinafter called “Clan Douglas”) : Douglas Gorman, Jr., Edmund N. Gorman, Ogden C. Gorman, Kenneth A. Gorman, and Gwendolen Nash Gorman, II, infant, the sole surviving child of Arthur P. Gorman, *98 II, who was killed in World War II in 1944; (b) Elizabeth Gorman McMillan’s children (hereinafter called “Clan McMillan”) : Carolee McMillan Allen, Anne Goddard McMillan Findlay, William Gorman McMillan, Gaines McMillan; (c) Albert Gorman’s children (hereinafter called “Clan Albert”) : Sallie Gorman Smith, William H. Gorman, II, Albert Gorman, Jr.; (d) Nora Clark Gorman Ballenger’s child and grandchildren (hereinafter called “Clan Ballenger”) : Edgar G. Ballenger (child), Marshall G. Foster, Edgar G. B. Foster (the latter two being children of Mary Clark Ballenger Foster, a deceased daughter of Nora Ballenger).

As each of the children of the grantor died, the share of the income of such deceased child, in accordance with the stirpital direction in the deed, was paid to the clans. As a result, at the death of the grantor’s last surviving child, Elizabeth Gorman McMillan, the income was being distributed to the grandchildren on the basis of one-fourth to each of the clans and within the respective clans as follows: Clan Douglas, % of % — yz0; Clan McMillan, % of *4 — %eClan Albert, % of % — Vi2", Clan, Ballenger, y% of ^4 — Vs as to each grandchild and y?, of i/s — y16 as to each great-grandchild. Upon the death of Elizabeth Gorman McMillan, the Trustee, Safe Deposit & Trust Company of Baltimore, one of the appellees, filed a bill of complaint asking for direction from the chancellor as to the proper method of distribution of the income and principal of the trust estate. The appellants, the members Of Clan Ballenger and the members of Clan Albert, by answer contended that the grantor contemplated a stirpital distribution in which the children of the grantor would comprise the “stock” or stirpes and, therefore, the proper construction of the limitation in remainder required the corpus to be divided into four parts, one- part of which would pass to the children and descendants of each of the four children of William H. Gorman. On the other hand, Clan Douglas by answer contended that the grandchildren of the grantor constituted the stirpes or. stock and that division *99 of the corpus should be into fourteen equal parts. Clan McMillan answered in proper person and took no position with respect to the distribution, although it would have been to their financial advantage to have taken the same position as taken by Clan Douglas.

The chancellor by decree decided with the contention of the appellees, that the grandchildren of the grantor constituted the stock or stirpes and that the division of the corpus should be into fourteen equal parts. From that decree the appellants appeal.

The question, therefore, before this Court is whether the phrase “shall go to all the descendants of the said William H. Gorman then living, to be divided among them per stirpes and not per capita, * * *” means that the children of the grantor are the stocks or stirpes, or whether it means that the grandchildren of the grantor are the stocks or stirpes.

The chancellor based his decision on the case of Patchell v. Groom, 185 Md. 10, 43 A. 2d 32. In that case the will provided: “At the death of the last survivor of my children . . . the trust . . . shall cease and determine, and thereupon I do hereby devise and direct that all my estate . . . shall be divided equally among all of my descendants then living per stirpes and not per capita ...” The majority opinion, written by Chief Judge Marbury, in which three other judges concurred, held that the grandchildren of the testator constituted the stocks or stirpes and that the division of the corpus should be in equal parts among the grandchildren. It was admitted therein that it made no practical difference in that case, on account of the provisions in the will, whether the Court there determined that the grandchildren were the stocks or stirpes rather than the children. In a separate opinion in that case, written by Judge Henderson, concurring in the result and in which two other judges concurred, it was held that the children.were the stocks or stirpes and agreed that the contrary statement in the majority opinion was not necessary to the decision of the case. The majority opinion discussed in *100 detail the English cases of Robinson v. Shepherd, 32 Bevans 665 (1863) (Sir John Romilly, Master of the Rolls), reversed on appeal to the chancellor (4 D. J. & S. 129) ; Gibson v. Fisher, L. R. 5 Eq. 51 (1867); In re Wilson, L. R. 24 Chan. Div. 664, (1883); In re Dering, 105 L. T. 404 (1911); In re Alexander, L. R. 1919, 1 C. D. 371.

Patchell v. Groom, supra,

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Bluebook (online)
106 A.2d 109, 205 Md. 94, 1954 Md. LEXIS 263, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ballenger-v-mcmillan-md-1954.