Bongaards v. Millen

768 N.E.2d 1107, 55 Mass. App. Ct. 51, 2002 Mass. App. LEXIS 748
CourtMassachusetts Appeals Court
DecidedJune 4, 2002
DocketNo. 99-P-1631
StatusPublished
Cited by8 cases

This text of 768 N.E.2d 1107 (Bongaards v. Millen) is published on Counsel Stack Legal Research, covering Massachusetts Appeals Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bongaards v. Millen, 768 N.E.2d 1107, 55 Mass. App. Ct. 51, 2002 Mass. App. LEXIS 748 (Mass. Ct. App. 2002).

Opinion

Jacobs, J.

Background. In 1978, Josephine D’Amore, Jean’s mother, created the 291 Commonwealth Avenue Trust and at the same time conveyed to the trust real estate in Boston consisting of an apartment building at that address. D’Amore then also declared herself the sole trustee and beneficiary of the trust during her life. Upon D’Amore’s death, Jean would, if she accepted, become the sole trustee and the sole beneficiary during her life. About a year later, in 1979, D’Amore purported to convey the real estate to Jean by a deed signed by D’Amore as an individual, and running to Jean as an individual. The 1979 deed, which made no reference to the trust, was drafted by an attorney different from the one who had drafted the Í978 deed and trust. D’Amore died in July, 1979. Jean and the plaintiff continued to live in one of the apartments, as they had since their marriage in 1965, and Jean managed the property until her death in July, 1996. About ten days before she died, Jean executed an acceptance of appointment as trustee, a confirma[53]*53tory deed of the real estate to herself as trustee, and an appointment of the remainder in trust in favor of her sister, Nina Millen.

Discussion. On appeal, the plaintiff argues several grounds in support of his claim that the real estate was not trust property. Additionally, he seeks a spousal share of a bank savings account (see note 4, supra).

1. Validity of the trust. Article II of the trust provides: “The original beneficiaries of this Trust are the persons listed as beneficiaries in the Schedule of Beneficiaries this day executed by them and the Trustee and filed with the Trustee; and the interests of the beneficiaries are as stated in said Schedule.” The plaintiff asserts the trust was void ah initia for the lack of a beneficiary, noting that only D’Amore, as trustee, signed the schedule of beneficiaries, and that the trust instrument required the beneficiaries to execute that schedule. The schedule had been signed by D’Amore contemporaneously with the trust and clearly identified the beneficiaries by name or description and their respective interests.5 The provision for beneficiary signatures may not be read as a condition precedent to the validity of the schedule. The uncontroverted fact is that the schedule came into existence at the same time as the trust instrument and was signed by the person who was the settlor, sole trustee and only present beneficiary of the trust. Accordingly, the absence of beneficiary signatures relied upon by the plaintiff may not be equated with a lack of beneficiaries or a failure of contemporaneous identification. See 2 Scott & Fratcher, Trusts §§ 112, 112.1 (4th ed. 1988). Compare Arlington Trust Co. v. Caimi, 414 Mass. 839, 848 (1993) (where the settlor never [54]*54identified any beneficiary in writing, as required by the declaration of trust, the trust “never came into existence and the attempted conveyance fail[ed] for lack of a cognizable recipient”). At most, and to the extent Jean Bongaards may be regarded as an “original” beneficiary of the trust, the absence of her signature on the schedule is a purely technical failing and, at most, suggests that she then may have been unaware of her status under the trust. “[T]here is no principle of general application that knowledge or consent of the cestui que trust at the time is necessary to the validity of a declaration of trust.” Stuart v. Sargent, 283 Mass. 536, 542 (1933). See Aronian v. Asadoorian, 315 Mass. 274, 276-278 (1943); Cohen v. Newton Sav. Bank, 320 Mass. 90, 93 (1946).

2. Effect of the 1979 deed. The plaintiff argues that the conveyance of the real estate in 1979 effectively terminated the trust as it transferred the only trust asset.6 He also cites circumstances he believes indicate that D’Amore intended to convey the property to Jean as an individual.7

The reason for the 1979 deed is not readily apparent from the record.8 On its face, the deed contains critical facts which are inconsistent with the 1978 deed conveying the property to the trust. The 1979 deed is signed by D’Amore individually, and [55]*55not in her capacity as trustee. There is no description of the property as trust property. It states that D’Amore’s title is derived not from the prior recorded deed to the trust in 1978, but from a 1962 deed to D’Amore which she cited as the origin of her title when conveying the property to herself as trustee. There is nothing in the 1979 deed indicating that the property was being conveyed free of the trust, nor is there any indication that D’Amore was then aware she had previously placed the property in trust. Signing the deed as an individual, and not as trustee, D’Amore could bind only herself and not the trust. See Rogaris v. Albert, 431 Mass. 833, 835-836 (2000), and cases cited. Because she previously conveyed the property to the trust in 1978, and the 1979 deed purported to convey title from the same source (i.e., the 1962 deed), the 1979 deed could convey nothing, and thus was a nullity. See Daly v. Donovan, 258 Mass. 226, 227 (1927) (“The grantor, however, not having title, her deed conveyed nothing”).9

3. Management of the property. The plaintiff asserts that Jean treated the property as her own over some sixteen years, thereby confirming that it was not trust property. Although Jean did not, when D’Amore died, formally assume office as a successor [56]*56trustee,10 there is no indication in the record that Jean maintained the property in a manner inconsistent with her duties as trustee. The indicia of individual ownership relied upon by the plaintiff relate merely to Jean’s failure to identify herself as trustee or to identify the property as trust property, and are not reflective of any substantive failure to preserve the property for the future beneficiaries.11 Also, many of the asserted indicia cannot be distinguished from the use of the property to which Jean was entitled as the beneficiary of a life estate. As such, she was “entitled to receive all of the net income of the Trust as shall be earned from year to year.” Because there is no evidence that Jean failed to conform to her duties as trustee even though she had not formally accepted those duties, and no evidence that she wrongly acquired or retained for herself any assets or income, the property was not diverted from the trust.12

4. Extension of Sullivan v. Burkin. The plaintiff argues that Jean held such complete control over the trust property that it should be included in her estate under the principle of Sullivan [57]*57v. Burkin, 390 Mass.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Harris v. PHH Mortg. Corp.
103 N.E.3d 769 (Massachusetts Appeals Court, 2018)
Carlson v. Mayer
30 Mass. L. Rptr. 3 (Massachusetts Superior Court, 2012)
In re Moise
463 B.R. 197 (D. Massachusetts, 2012)
North Falmouth Realty Corp. v. Rogers
24 Mass. L. Rptr. 398 (Massachusetts Superior Court, 2007)
Rowey v. Children's Friend and Service, 98-0136 (2003)
Superior Court of Rhode Island, 2003
Bongaards v. Millen
793 N.E.2d 335 (Massachusetts Supreme Judicial Court, 2003)

Cite This Page — Counsel Stack

Bluebook (online)
768 N.E.2d 1107, 55 Mass. App. Ct. 51, 2002 Mass. App. LEXIS 748, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bongaards-v-millen-massappct-2002.