Dobbins Estate

74 Pa. D. & C. 106, 1951 Pa. Dist. & Cnty. Dec. LEXIS 390
CourtPennsylvania Orphans' Court, Philadelphia County
DecidedJanuary 4, 1951
Docketno. 135
StatusPublished

This text of 74 Pa. D. & C. 106 (Dobbins Estate) is published on Counsel Stack Legal Research, covering Pennsylvania Orphans' Court, Philadelphia County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dobbins Estate, 74 Pa. D. & C. 106, 1951 Pa. Dist. & Cnty. Dec. LEXIS 390 (Pa. Super. Ct. 1951).

Opinion

Hunter, J.,

Mary A. Dobbins died January 27,1929, and by the twenty-fourth paragraph of her will, in the exercise of a power conferred by the will of her brother, Edward T. Dobbins, she appointed legacies aggregating $2,020,000 to the Pennsylvania Company, etc., in perpetual trust for 27 charitable and religious institutions. One of these trusts (subparagraph XXIII) was of $100,000 “to pay the net income to the Kensington Hospital for Women, to be used for free beds in said Hospital and to be known as the ‘Edward T. Dobbins Fund’ ”. The several legacies suffered an abatement to 93 percent because of insufficient assets, and the Kensington Hospital fund is now valued at $70,000.

The question raised by these exceptions is the application cy pres of the income of the Kensington Hospital fund upon the dissolution of that corporation. The hospital was founded for the general purpose of [113]*113providing maternity service for women and treating women’s diseases generally described as gynecological, and it continued during the years 1905 to 1945 to provide substantially that type of service. It did not in practice become a general hospital, although its charter was so amended in 1922. It was located in the Kensington district of Philadelphia, which district has about 213,000 inhabitants. Its general service was to the women of that community.

. In 1941 it got into financial difficulties, which resulted in an operating agreement with the Episcopal Hospital, eight city blocks distant, and in numerous ways administration of the two hospitals was integrated. In 1945 Kensington Hospital closed its doors. Many of its patients, particularly maternity patients, were transferred to Episcopal. All of its staff except one were appointed to Episcopal, and its medical records transferred.

In .1947 Court of Common Pleas No. 3 of Philadelphia County in cy pres proceedings awarded Kensington’s assets of $78,000 to Episcopal, which award was confirmed by the Supreme Court in Kensington Hospital for Women case, 358 Pa. 458. The decision was that the court below had not abused its discretion in awarding the assets of a defunct nonsectarian institution to an institution which was sectarian under its charter but which in practice did not discriminate in any way as regards race, color or creed. Mr*. Justice Allen M. Stearne dissented, on the. ground that there were other nonsectarian hospitals in reasonable proximity who were qualified to receive the fund.

We are informed that Episcopal’s charter has since been amended to delete all references which may constitute it a sectarian organization.

The common pleas decree disposing of the absolute assets of the Kensington Hospital is not binding as to [114]*114a trust fund within the jurisdiction of the orphans’ court, but it is helpful and persuasive.

By decree of this court, Samuel R. Rosenbaum, Esq., was appointed amicus curiae, with the power of a master, to report his findings and recommendations as to the distribution of the fund. Appearances in behalf of 38 claimants were entered before the master, who after extensive hearings reported in favor of an award of the income of the fund to the Episcopal Hospital. Judge Klein, the auditing judge, approved the report and adopted the findings and conclusions of the master. The purpose of this opinion is to discuss only questions which have been raised by exceptions and arguments before the court in banc.

Exceptions of Pennsylvania Company, Trustee

The Pennsylvania Company for Banking and Trusts, trustee for the other charities named in the will, takes the position that since no trust received 100 percent of its legacy by reason of abatement of assets, the will requires proration of the fund among the other legatees, and if resort be had to cy pres, the same result is reached.

Exceptant refers to paragraph 24, subpar. XXVIII, where testatrix provides that any “undevised” portion of her brother’s estate not “disposed of” by her, shall be prorated among the'27 charities. Also to paragraph 25 wherein testatrix expressed her desire “beyond all possibility of doubt” to exercise the power, and directed that in case any or all of the provisions of paragraph 24 “shall fail”, then the portion of the estate over which she shall not have exercised her power shall pass to the 27 charities “absolutely” in the respective amounts of their legacies.

These provisions, in our opinion, refer to possible defects in her exercise of the power, and to contin[115]*115gencies which might occur before the vesting of the legacies. She anticipated the decision in Dobbins’ Estate, 13 D. & C. 331, wherein Judge Stearne (now Justice Stearne) held that testatrix’s power of appointment did not extend to the erection of trusts for the benefit of the named charities. Under this decision Wills Eye Hospital (paragraph 24, subpar. XXVI and paragraph 25, subpar. XXVI) demanded and was paid the principal of its legacy. Kensington Hospital for Women did not take advantage of. the decision, but with all other legatees agreed that their legacies be paid to the trustee under the trusts as set forth in paragraph 24 of the will.

Therefore, under any construction of the will, these legacies vested in the charities at the date of testatrix’s death. Upon the dissolution of a charity, its property does not revert to the donor or his heirs, but is to be applied cy pres to uses which approximate those for which it was created: Appeal of Humane Fire Co., 88 Pa. 389; McCully’s Estate, 269 Pa. 122; Wilkey’s Est., 337 Pa. 129.

In the application of the cy pres doctrine the court is not required to divide the fund among the other charities named by a testator, nor to make selection of one of them; see Wanamaker Estate, 364 Pa. 248; Dreer’s Estate, 13 D. & C. 257; Pentz’s Estate, 42 D. & C. 296. Also Ironmongers’ Co. v. Attorney-General, 8 Eng. Rep. 983 (1844); Mayor of Lyons v. Advocate-General, 1 App. Cas. 91 (1876) ; First Wisconsin Trust Co. v. Racine College et al., 225 Wis. 34 (1937); Attorney General v. Briggs et al., 164 Mass. 561 (1895). It is a satisfaction to know, however, that the master has recognized Episcopal Hospital, one of testatrix’s charities named in paragraph 24 of the will, and found it best fitted to carry out her intent with respect to the Kensington Hospital .fund.

[116]*116 Exceptions of Women’s Homeopathic Hospital

Women’s Homeopathic Hospital of Philadelphia has filed' exceptions which relate principally to the conclusion of the master, approved by the auditing judge, that the donor’s intent was to benefit the people of Kensington and the hospitals there were in a preferred position. Exceptant contends that it should not be disregarded because it is located outside of the Kensington ■ district.

Women’s Homeopathic is located at Twentieth Street and Susquehanna Avenue, Philadelphia. Like Episcopal, it is not devoted exclusively to women. It treats men also, in a proportion of 48 percent. It was well regarded by testatrix because it also was made beneficiary of the income of $100,000 by paragraph 24, subpar. Ill of the will.

We agree with the master that the intent of testatrix in selecting a local hospital in the Kensington district was to benefit the people of the designated area. As was said by the master, it is the court’s “duty to preserve the benefit for such people, if that can be done, rather than to strain for reasons to take it elsewhere”. See Williams Estate, 353 Pa.

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Related

Wanamaker Estate
72 A.2d 106 (Supreme Court of Pennsylvania, 1950)
Wilkey's Estate
10 A.2d 425 (Supreme Court of Pennsylvania, 1939)
Kensington Hospital for Women Case
58 A.2d 154 (Supreme Court of Pennsylvania, 1948)
Williams Estate
46 A.2d 237 (Supreme Court of Pennsylvania, 1946)
Humane Fire Company's Appeal
88 Pa. 389 (Supreme Court of Pennsylvania, 1879)
McCully's Estate
112 A. 159 (Supreme Court of Pennsylvania, 1920)
Attorney General v. Briggs
42 N.E. 118 (Massachusetts Supreme Judicial Court, 1895)
First Wisconsin Trust Co. v. Board of Trustees of Racine College
272 N.W. 464 (Wisconsin Supreme Court, 1937)

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Bluebook (online)
74 Pa. D. & C. 106, 1951 Pa. Dist. & Cnty. Dec. LEXIS 390, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dobbins-estate-paorphctphilad-1951.