Girard Trust Co. v. Rector of St. Anne's Protestant Episcopal Church

52 A.2d 591, 30 Del. Ch. 1, 1947 Del. Ch. LEXIS 62
CourtCourt of Chancery of Delaware
DecidedApril 24, 1947
StatusPublished
Cited by15 cases

This text of 52 A.2d 591 (Girard Trust Co. v. Rector of St. Anne's Protestant Episcopal Church) is published on Counsel Stack Legal Research, covering Court of Chancery of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Girard Trust Co. v. Rector of St. Anne's Protestant Episcopal Church, 52 A.2d 591, 30 Del. Ch. 1, 1947 Del. Ch. LEXIS 62 (Del. Ct. App. 1947).

Opinion

Seitz, Vice-Chancellor:

The court is required to determine the validity and scope of what purports to be a testamentary trust.

Girard Trust Company, a Pennsylvania corporation having its place of business in Philadelphia, Pennsylvania, was designated as trustee under the Ninth Item of the will of Dr. Martin W. Barr, who died December 25, 1938, a resident of Middletown, Delaware. Girard Trust Company as trustee under the Ninth Item (hereinafter called the “trustee”) filed a bill for instructions which, with its amendment, joined as defendants The Rector, Wardens and Vestrymen of St. Anne’s Protestant Episcopal Church (hereinafter called the “Church”) and thirty-eight individuals who con[6]*6stituted all the known next of kin of the testator. Answers were filed by the Church and by sixteen of the individual defendants (“defendants” as used herein will refer only to the individuals, other than Sarah K. Stelle, who have appeared by counsel). Thereafter, a final hearing was held on the pleadings and testimony of witnesses.

The problem of construction is presented by the following Items of the testator’s will:

“Seventh: I give and bequeath unto Girard Trust Company, a corporation of the City of Philadelphia, State of Pennsylvania, and unto its successors and assigns, a sum sufficient when invested to produce an annual net income of Fifteen Hundred Dollars ($1500), IN TRUST, NEVERTHELESS, to invest, reinvest and keep the same invested and to pay over the net income therefrom from the date of my death periodically, but not less frequently than quarterly, unto Dr. A. W. Wilmarth, for and during the term of his natural life, and, upon the death of the said Dr. A. W. Wilmarth to pay over and distribute such net income unto his wife, the present Mrs. A. W. Wilmarth, for and during the term of her natural life, and upon the death of the survivor of said Dr. A. W. Wilmarth and Mrs. A. W. Wilmarth the corpus or principal held hereunder shall fall into and become a part of my residuary estate, to be disposed of as hereinafter directed.
“Eighth: I give and bequeath unto said Girard Trust Company and unto its successors and assigns, a sum sufficient when invested to produce an annual net income of Five Hundred Dollars ($500), IN TRUST NEVERTHELESS, to invest, reinvest and keep the same invested and to pay over the net income therefrom from the date of my death periodically, but not less frequently than quarterly, unto Arnold H. Benchley, now of Burley, Washington, for and during the term of his natural life, and upon the death of the said Arnold H. Benchley the corpus or principal held hereunder shall fall into and become a part of my residuary estate, to be disposed of as hereinafter directed.
“Ninth: All the rest, residue and remainder of my estate of whatsoever kind, whether real, personal or mixed and wheresoever situate and whether now owned or hereafter acquired by me, I give, devise, bequeath, limit, and appoint unto said Girard Trust Company, and unto its successors and assigns, IN TRUST, NEVERTHELESS, to hold, manage, rent, invest, reinvest and keep the same invested in such investments as trustee in its wise discretion shall deem prop[7]*7er, not limiting trustee to what are known as legal investments, and to accumulate the income therefrom until, in the opinion of trustee, a sufficient amount has been accumulated, both as to principal and income, to build a small Chapel of Ease and a Parish House in connection with St. Anne’s Protestant Episcopal Church at Middletown, Delaware, whereupon the corpus or principal of my said residuary estate, together with the accumulations thereon, shall be paid over for the erection of such Chapel and Parish House, such erection to be under the supervision of the Rector of said Church and to be a memorial to my father, Joseph M. Barr, my mother, Hannah M. Barr, my brother, Eugene J. Barr, and my aunt, Susan G. Justis, and I direct that a bronze tablet bearing a suitable inscription be erected in an appropriate place in such buildings.”

The trustee has asked for instructions with respect to the following matters:

“(a) Whether complainant as such Trustee may pay over to any one any amount of the accumulated principal and income of the residuary estate prior to the termination of the Item Eighth trust, the principal of which is to fall upon and become a part of the residuary estate trust upon the death of Arnold H. Benchley.
“(b) If the accumulated principal and income now held by complainant as Trustee under Item Ninth of said Will may now be paid over to any one by said Trustee, whether the whole thereof is to be paid over to or for the Church, or whether only such amount thereof as is sufficient for the mere construction of the memorial, provided for in said Item Ninth, is to be so paid over to the Church and the remainder is to be paid over to the next of kin of the Testator under the intestate laws of the State of Delaware.
“(c) If the whole or any part of the accumulated principal and income of the residuary estate trust under Item Ninth of said Will may now be paid over, and if the whole thereof is to be paid over to more than one person, to what person or persons is such accumulated principal and income to be paid over by complainant, and what amount is to be paid to each.
“(d) If the whole or any part of the accumulated principal and income of the residuary estate trust under Item Ninth of said Will may now be paid over to the Church, whether complainant is charged with the duty of seeing to the application by the Church of the funds so paid over to it by the Trustee.
“(e) If the presently accumulated principal and income of the residuary estate trust may now be paid over by complainant, to what [8]*8person or persons and in what amount or amounts are the funds that will come into the hands of complainant on the termination of the trust under Item Eighth of said Will to be paid over by complainant.”

The Church claims in its answer that the trustee should now pay to it the whole of the residuary estate trust funds, as presently constituted, and that, upon the termination of the Item Eighth trust, the trustee should pay to the Church the whole of the Item Eighth trust fund, as then constituted, principal and accumulated income, if any.

The answer of Sarah K. Stelle states that she believes it was the testator’s intention that the trustee should pay the whole of the residuary estate to' the Church.

The contentions contained in the answers of the other individual defendants who have appeared fall into two classes:

(1) The bequest by way of a trust for the Church is void in its entirety and, therefore, the entire residuary estate should be paid over by the trustee to the testator’s next of kin as intestate property.

(2) It is the trustee’s duty to pay to the Church only so much of the testator’s residuary estate as is necessary for the mere construction of a small Chapel of Ease and Parish House and to pay the residue of the residuary estate, if any, to the next of kin as intestate property.

It thus appears that with one exception the claims advanced by the individual defendants are adverse in varying degrees to that of the Church. Since all the next of kin must here stand or fall together, no attempt will be made to identify the particular individual defendants who have urged the various points discussed.

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Bluebook (online)
52 A.2d 591, 30 Del. Ch. 1, 1947 Del. Ch. LEXIS 62, Counsel Stack Legal Research, https://law.counselstack.com/opinion/girard-trust-co-v-rector-of-st-annes-protestant-episcopal-church-delch-1947.