Crocker-Citizens National Bank v. Yates

16 Cal. App. 3d 644, 94 Cal. Rptr. 295, 1971 Cal. App. LEXIS 1620
CourtCalifornia Court of Appeal
DecidedApril 13, 1971
DocketCiv. No. 1241
StatusPublished
Cited by3 cases

This text of 16 Cal. App. 3d 644 (Crocker-Citizens National Bank v. Yates) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Crocker-Citizens National Bank v. Yates, 16 Cal. App. 3d 644, 94 Cal. Rptr. 295, 1971 Cal. App. LEXIS 1620 (Cal. Ct. App. 1971).

Opinion

Opinion

GARGANO, J.

This is an appeal by several charitable organizations from a final decree of distribution distributing the entire estate of Henry W. Gatlin to decedent’s daughter, his sole surviving heir at law. Also appealing is the Attorney General under his duty to protect charitable trusts “because of the parens patriae position of the state with respect thereto.” (People v. Cogswell, 113 Cal. 129 [45 P. 270].)

The facts are undisputed. Henry W. Gatlin died testate on September 13, 1967. His holographic will dated September 29, 1953, named the [647]*647Crocker First National Bank as executor and bequeathed the sum of $1,000 to the decedent’s daughter, Frances C. Gatlin. The residue of the decedent’s estate was devised and bequeathed as follows: “. . . the Balance of my Estate to be equally divided between the home for the Blind and home for crippled children here in San Francisco, Calif.”

On March 6, 1968, the Crocker First National Bank petitioned the probate court to determine heirship. The executor alleged that it was uncertain as to who was entitled to the distribution of the estate because the institutions referred to in the will could not be identified by the names used. Thereafter, the petition was set for hearing and notice thereof was given to respondent, to appellants, to the Shriner’s Hospital for Crippled Children (not a party to this appeal), and to the Attorney General.

At the hearing on the executor’s petition no extrinsic evidence was offerred by the parties to identify the homes referred to by the testator in his will; it was merely stipulated that no organizations could be found in the City and County of San Francisco meeting the descriptions used in the will. It was also stipulated that appellants were engaged in charitable services in San Francisco, that they were proper organizations to receive distribution of the testator’s estate if it were determined that the gifts had not passed by intestate succession, and that any amount distributed to them would be allocated one-half to San Francisco Lighthouse for the Blind, one-sixth to Easter Seals, one-sixth to Children’s Hospital and one-sixth to Shriner’s Hospital for Crippled Children, with Lighthouse to act as trustee for the entire gift; the Attorney General did not participate in that part of the stipulation regarding the manner in which the charitable gifts should be distributed, apparently taking the position that if the gifts were upheld, it was the court’s function to name the trustee.

Because no extrinsic evidence was offered by any of the parties to clarify the latent ambiguity in the testator’s will (Estate of Russell, 69 Cal.2d 200 [70 Cal.Rptr. 561, 444 P.2d 353]), we must look solely to its terms in an effort to ascertain the testator’s intention; we are not, in short, bound by the trial judge’s interpretation (Parsons v. Bristol Development Co., 62 Cal.2d 861, 866 [44 Cal.Rptr. 767, 402 P.2d 839]; Estate of Platt, 21 Cal.2d 343 [131 P.2d 825]). Furthermore, no contention is made that the gifts the testator purported to make to the “home for the blind and home for crippled children here in San Francisco” are not charitable; the word “charity” in modern usage includes all humanitarian activities which are maintained for the care and well being of certain specified recipients and which make it less likely that they will become burdens of society (Fredericka Home v. County of San Diego, 35 Cal.2d 789 [221 P.2d 68]); [648]*648and a gift to an institution engaged in such humanitarian activities is a charitable gift even though there is no declaration in the will as to the use to which the gift is to be put (Estate of Faulkner, 128 Cal.App.2d 575, 578 [275 P.2d 818]). The sole issue, therefore, is this: Did the testator’s charitable gifts lapse because the institutions referred to in his will cannot be identified by the names used, or should the cy pres doctrine be applied to carry out his manifested charitable purpose.

Briefly, cy pres is an equitable power which makes it possible for a court to carry out a testamentary trust established for a particular charitable purpose if the testator has expressed a general charitable intent, and for some reason his purpose cannot be accomplished in the manner specified in the will (Estate of Tarrant, 38 Cal.2d 42 [237 P.2d 505, 28 A.L.R. 2d 419]); the court, to meet unexpected contingencies, directs the disposition of the property to some related charitable purpose in order to carry out the testator’s intention as nearly as possible (Estate of Loring, 29 Cal.2d 423 [175 P.2d 524]).1 The doctrine has been consistently applied to uphold gifts made to charitable institutions which do not accept them (Estate of Faulkner, supra, 128 Cal.App.2d 575). It has also been applied to uphold a gift to charity where the testator has not specified the precise charitable purposes to which his gift was to be applied or named a trustee to administer the gift (Estate of Quinn, 156 Cal.App.2d 684 [320 P.2d 219]). However, because of the deep-rooted belief that gifts should not be upheld merely to prevent intestacy, some courts have been reluctant to use the cy pres power to uphold gifts made to charitable institutions which do not exist or cannot be identified by the names used (Estate of Zilke, 115 Cal.App. 63 [1 P.2d 475]). Nevertheless, in Creech v. Scottish Rite Hosp. for Crippled Children, 211 Ga. 195 [84 S.E.2d 563], the Georgia Supreme Court brushed aside the artificial distinction and upheld a gift “to the Masonic Hospital of Georgia, for tubercular children,” albeit there was no such legal entity in existence when the will was made. The court stated: “From a consideration of the entire will and codicil, it is apparent that the legacy ‘to the Masonic Hospital of Georgia, for tubercular children’ was not intended for the benefit of any particular institution, but for the benefit of tubercular children as a class with the particular hospital named to perform the office of trustee. . . .

“Where, as here, the manifest intention was to create a charitable trust [649]*649for tubercular children, and even though the charitable institution named never existed, the purpose and object for which the trust was created still exists and a legacy does not lapse, and cy pres doctrine applies.”

The Creech rationale is the enlightened viewpoint. If the cy pres doctrine is applicable to a gift to a charitable institution which will not accept it (Estate of Faulkner, supra,

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Related

People v. Nunez
California Court of Appeal, 2013
Estate of Gatlin
16 Cal. App. 3d 644 (California Court of Appeal, 1971)

Cite This Page — Counsel Stack

Bluebook (online)
16 Cal. App. 3d 644, 94 Cal. Rptr. 295, 1971 Cal. App. LEXIS 1620, Counsel Stack Legal Research, https://law.counselstack.com/opinion/crocker-citizens-national-bank-v-yates-calctapp-1971.