Callahan Estate

59 Pa. D. & C.2d 756, 1972 Pa. Dist. & Cnty. Dec. LEXIS 333
CourtPennsylvania Court of Common Pleas, Delaware County
DecidedOctober 19, 1972
Docketno. 207 of 1971
StatusPublished

This text of 59 Pa. D. & C.2d 756 (Callahan Estate) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Delaware County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Callahan Estate, 59 Pa. D. & C.2d 756, 1972 Pa. Dist. & Cnty. Dec. LEXIS 333 (Pa. Super. Ct. 1972).

Opinion

DIGGINS, P. J.,

The instant matter is before the court for disposition of the exceptions filed on behalf of Sheila Callahan Thompson (nee Sheila Ellen Callahan) to the adjudication of this court, dated January 25, 1972, relative to the above-captioned estate.

The subject decedent, James W. Callahan, died simultaneously with his wife, Agnes J. Callahan, in an aircraft accident on March 24, 1970. The subject decedent and his wife were survived by four daughters, two of whom are now of age. A fifth child, Michael Callahan, died in Vietnam, without having married and without issue on November 8, 1967. The exceptant, Sheila Callahan Thompson is the oldest child. Both she and Maureen Anne Callahan are of age. Deirdre Julia Callahan and Pegeen Veronica Callahan are minors.

By virtue of the issues herein raised, the court deems it necessary to set forth herein the will of decedent, James W. Callahan, in its entirety, same being as follows;

“I, James W. Callahan, being of sound mind, do [758]*758hereby devise and bequeath all my property, real and personal, whatsoever, to my beloved wife, Agnes J. Callahan.
“In the event of the deaths of James W. Callahan and Agnes J. Callahan within 90 days of each other, all property, real and personal, shall be devised and bequeathed to our children per stirpes subject to the following provisions:
“1. All life insurance will go in equal shares to our five children, per stirpes.
“2. The property at 455 Kenwood Road, Drexel Hill, Pa. will be devised in trust to our oldest child, Sheila Ellen Callahan, to be maintained as a family home so long as she or any of the other four children wish to reside in it. At the time when none of the children wish to reside in this home, it may be sold and the proceeds divided equally among the five children.
“3. The property at 119 Ramapo Lane, The Dunes, Beach Haven Terrace, N.J. may be sold or rented or retained for the use of the family within the discretion of the executor. If it should be sold, the money realized from its sale shall be placed in trust for use in maintaining 455 Kenwood Road, Drexel Hill, Pa. if this should be necessary. The Executor shall have the discretion to use the Principal as well as the Interest from such sale for such purposes as he deems fit. In the event that the proportionate share derived from the Jas. W. Callahan Co. is not sufficient for any of the children to complete their formal education, the interest or principal realized from the sale of the property at 119 Ramapo Lane should be so applied. It is expected that Sheila Ellen will complete her college education and also graduate school if she so desires. It is anticipated that Deirdre Julia and Pegeen Veronica will complete their secondary educations in Private Schools conducted by the Roman Catholic Nuns, and also college [759]*759and graduate school if they so desire. Michael John and Maureen Anne, who have voluntarily discontinued their education, may later decide to complete it, and should be permitted to do so through college and graduate schools if they later so desire. In order to provide for the needs of all, the rule of reason will be applied to what sums should be expended, and this will be within the discretion of the Executor.
“4. The Real Property in Thornton, Texas shall be subject to the same provisions as those set out in Paragraph 3 above. ;¡.
“5. Our interest in Jas. W. Callahan Co. shall be divided equally among the five children.
“6. In the event that Jas. W. Callahan Co. is continued and it is hoped that it can be, Sheila Ellen Callahan, who has shown the most interest in this business, will work in it in an executive capacity and will have the authority to represent the family’s interest in the business. In the event that subsequent to our deaths it becomes necessary to incorporate the business, Sheila Ellen Callahan shall have the right to vote all the family stock. Furthermore, in the event any one of the family members wishes to dispose of his or her interest, he or she must sell it to the other members of the family in equal shares. For the purposes of this will, the net worth of the Jas. W. Callahan Co. is $100,000.00 and hence a 1% share is $1,000.00. In the event the business is discontinued, the amount realized from its sale or liquidation shaR be devised and bequeathed equally among the five children. Regarding the continuation of the Jas. W. Callahan Co., this shall be within the discretion of the Executor. It is anticipated that if the business fails to return a profit for the family of approximately $15,000.00 a year, sale or liquidation should be considered. Joseph Quinlan, C.P.A., who has prepared all the company’s financial reports, [760]*760should be consulted in this matter. The profit referred to is over and above any salary paid to any member of the family employed by the Jas. W. Callahan Co.
“7. In the event of the death of any of the children without issue, his or her interest shall be divided proportionately among those surviving in equal shares.
“8. The expense of the bond required of the Executor who is an out of state citizen shall be borne by the Estate.
“9. William J. Regan, Esquire of 220 East 54th Street, New York, N.Y. shall be appointed Executor of this Estate and the First Pennsylvania Banking and Trust Company, 6th & Chestnut Streets, Philadelphia, Pa. shall be appointed co-Executor.
“10. All other property real and personal will be devised and bequeathed equally among the five children.”

The record indicates that the subject estate was called for audit on May 3, 1971. By virtue of the fact that certain issues were presented to the court, a hearing was held on May 25, 1971. It appears that the family-owned business had been incorporated prior to the subject decedent’s death. The issues then presented to the court concerned, inter alia, certain matters which are not now pertinent. In addition, the court was advised of a dispute which had arisen concerning the interpretation of decedent’s will, same being the subject of the within opinion. It was then hoped that this issue would be resolved amicably.

On August 10, 1971, a further hearing was held involving, inter alia, the question of whether or not the subject will provides for a voting trust of the aforementioned family business. It was further indicated at that time that this matter might be resolved amicably through a family agreement. However, on [761]*761September 14,1971, this court entered an order stating as follows:

“AND NOW, September 14, 1971, it appearing that the Accountant is asserting that the voting trust alleged in the Will is invalid, and, if so, would require a particular distribution of the stock. This position is challenged by a daughter, represented by Edward C. German.
“Efforts have been made to settle by negotiation which, as of now, have not materialized. In order to determine the issue it is ORDERED that the matter be listed for hearing on the 5th day of October, 1971, at 2:00 p.m., at which time any party in interest may appear and be heard.

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59 Pa. D. & C.2d 756, 1972 Pa. Dist. & Cnty. Dec. LEXIS 333, Counsel Stack Legal Research, https://law.counselstack.com/opinion/callahan-estate-pactcompldelawa-1972.