First National Bank of Kansas City v. Jacques

470 S.W.2d 557
CourtSupreme Court of Missouri
DecidedSeptember 13, 1971
Docket55233
StatusPublished
Cited by6 cases

This text of 470 S.W.2d 557 (First National Bank of Kansas City v. Jacques) is published on Counsel Stack Legal Research, covering Supreme Court of Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
First National Bank of Kansas City v. Jacques, 470 S.W.2d 557 (Mo. 1971).

Opinion

STOCKARD, Commissioner.

This cause involves (1) the construction of the will of William R. Jacques, deceased, and if a charitable trust was therein created whether the trust failed, and (2) the validity of an antenuptial agreement.

William.R. Jacques (hereafter referred to as the “Decedent”) died on March 18, 1967, leaving a will which, as amended by codicils, in the parts here material provided as follows:

“ITEM XI — All the rest, residue and remainder of my property and estate, real, personal, and mixed, of whatever kind and wheresoever situated, of which I *559 shall die seized or possessed, or of which I shall be entitled to dispose at the time of my death, I give, devise, and bequeath to the FIRST NATIONAL BANK OF KANSAS CITY, a National banking association having its principal office in Kansas City, Missouri, IN TRUST, NEVERTHELESS; The Trustee shall divide the principal of the trust as it is then constituted into two equal shares, one share for my son, WILLIAM HORTON JACQUES, and one share for my son, SHELDON BARLOW JACQUES. Each share so created for each of my sons shall be held as a separate trust by the Trustee, and the Trustee shall manage, invest, and reinvest the same, collect the income, and pay over the net income in quarterly or more frequent installments to the son for whom the share was created, during his life. [In this opinion we refer to these two trusts as the “first trusts”]. Upon the death of each son, the remainder of the principal of each trust created for that son shall after payment of the gifts, if any, provided in Items IV, V, and X, be paid over, free from this present trust, by the Trustee to the BOARD OF TRUSTEES OF THE UNIVERSITY OF KANSAS CITY, Kansas City, Missouri, to be added to their scholarship aid funds, the income to be disbursed by grants or by loans to students of the undergraduate, graduate, or post-graduate departments of said university [this trust shall be referred to as the “second trust”], but my Trustee shall not be obligated to see to the application of any funds so paid to said university.”

The First National Bank of Kansas City (hereafter referred to as “Trustee”) is the acting executor of the estate of the Decedent and the trustee of the first trusts created by the will.

The Board of Trustees of the University of Kansas City is an unincorporated association, the individual members of which are appellants herein, which was the governing body of that university. On July 25, 1963 the physical property of the University of Kansas City was transferred to the Curators of the University of Missouri (hereafter referred to as the “Curators”), appellants herein, a public corporation organized under the laws of Missouri, who have thereafter operated an educational institution known as the University of Missouri-Kansas City using substantially the same real and personal property as did the University of Kansas City.

Sheldon B. Jacques is the sole surviving child of Decedent, and Virginia Jacques Church is the sole surviving descendant of William Horton Jacques, the only other child of Decedent and who predeceased his father. Both Sheldon and Virginia are appellants, but only as to that part of the judgment which held void the antenuptial agreement between the Decedent and Bernice Carrington Jacques, the Decedent’s second wife and surviving spouse.

John C. Danforth is the Attorney General of the State of Missouri and is a necessary litigant representing the public in the enforcement of the alleged charitable trust.

We shall first rule the issues pertaining to the construction of the will, and whether the second trust constitutes a charitable trust.

The trustee filed suit seeking the construction of several provisions of the will of Decedent, but the only construction sought that is material to the issues on this appeal is whether distribution of the principal of the first trusts, when called for, should be made to “the Board of Trustees of the University of Kansas City, the Curators of the University of Missouri (such assets to be used at the University of Missouri at Kansas City — formerly the University of Kansas City) or the intestate heirs-at-law of William R. Jacques.” The trial court sustained a motion for summary judgment and thereby ruled that the bequest under Item XI of Decedent’s will to the Board of Trustees of the University of Kansas City had lapsed, and that the prin *560 cipal of the first trusts should be distributed eventually to the heirs at law of the Decedent.

While the will does not in express terms designate the Board of Trustees of the University of Kansas City as trustee of the fund for the benefit of the class of persons named, the result is that by inference it was to he the trustee. See Ramsey v. City of Brookfield, Mo., 237 S.W.2d 143. None of the parties now contend otherwise. We consider it unimportant whether the Board of Trustees of the University of Kansas City, an association of individuals, continues to exist as a board. Neither that Board nor the University of Kansas City was designated as the beneficiary of the trust, and an otherwise valid trust will not be permitted to fail for want of a trustee. Rawlings v. Rawlings, 332 Mo. 503, 58 S.W.2d 735; 90 C.J.S. Trusts § 211. The essential question is whether the purpose of the trust is charitable, and in determining this issue we consider “the whole instrument in the light of all the circumstances,” Thatcher v. Lewis, 335 Mo. 1130, 76 S.W.2d 677, to find whether there was a “general charitable intent.” Ramsey v. City of Brookfield, Mo., supra.

The Decedent first directed that his debts and funeral expenses be paid. He then made specific bequests to his spouse, his son, daughters-in-law, granddaughter, the grandchildren of his spouse by a prior marriage, his sister, his secretary, and the Salvation Army. Each son was given a life estate in one half of the residue of the estate, and the remainder of the residuary estate was bequeathed to the Board of Trustees of the University of Kansas City, in trust, for the purposes previously set forth. When the will in its entirety is considered, it is clear that the Decedent intended to dispose of his entire estate by the provisions in his will, and he did not intend that any of his estate be subject to intestate disposition. Unless circumstances prevent it, that intention should be carried out.

As previously noted, the University of Kansas City was not the beneficiary of the trust created by the will. The beneficiaries were “students of the undergraduate, graduate, or postgraduate departments of said university” who were to receive “grants or loans” payable from the income of the trust property. The purpose of the trust was to furnish financial assistance to students in obtaining an education, and a trust for the advancement of education is universally recognized to be of a charitable nature. Restatement, Trusts § 370; 15 Am.Jur.2d Charities § 68; Quinn v. Peoples Trust & Savings Co., 223 Ind. 317, 60 N.E.2d 281, 157 A.L.R. 885.

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Bluebook (online)
470 S.W.2d 557, Counsel Stack Legal Research, https://law.counselstack.com/opinion/first-national-bank-of-kansas-city-v-jacques-mo-1971.