Kohlsaat v. First National Bank of St. Paul

33 N.W.2d 712, 226 Minn. 471, 1948 Minn. LEXIS 619
CourtSupreme Court of Minnesota
DecidedJuly 2, 1948
DocketNo. 34,598.
StatusPublished

This text of 33 N.W.2d 712 (Kohlsaat v. First National Bank of St. Paul) is published on Counsel Stack Legal Research, covering Supreme Court of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kohlsaat v. First National Bank of St. Paul, 33 N.W.2d 712, 226 Minn. 471, 1948 Minn. LEXIS 619 (Mich. 1948).

Opinion

Thomas Gallagher, Justice.

Plaintiff, trustee under a testamentary trust established by the last will of John H. Bullard, who died December 29, 1916, brought this action to obtain possession of certain securities and property alleged to belong to said trust and held in a safe-deposit box on defendant’s premises in St. Paul, and for damages for the wrongful detention thereof.

The safe-deposit box was leased by defendant to Caroline D. Bul-lard as an individual on February 8,1938, under an agreement which provided:

“1. The relation of the Bank and the renter is hereby agreed to be that of landlord and tenant. The Bank shall, under no circumstances, except as provided in Section 11 of this lease, be considered as a bailee or otherwise in possession of the contents of rented safes. * * *
“2. Except as hereinafter provided, no one shall have access to said safe except the renter or his attorney-in-fact (hereinafter called ‘deputy’), or,.in case of death, legal disability or insolvency of the renter, then his legal representatives. * * *
*473 “9. The Bank will retain no key or combination that will open any rented safe. * * * The Bank will exercise the right, which is hereby agreed to by the renter, to consider that a safe is not surrendered until the keys are returned or the combination delivered to the manager of the vault.”

On January 22, 1946, while said lease was still in effect, Caroline D. Bullard died testate at Evanston, Illinois. By the terms of her will she described the contents of the aforesaid safe-deposit box as assets belonging to the John EL Bullard trust, of which she was trustee and one of the beneficiaries, and directed that all of the same should be disposed of in accordance with the provisions of such trust. Her will further provided that all her individual property, including any accumulated income derived from the John H. Bullard trust, should go to the trustee of a living trust created by her on June 9, 1942, the beneficiaries of which differed from those of the John H. Bullard trust.

Caroline Bullard’s will further provided that Marjorie Kohlsaat, who in her capacity as trustee of the John H. Bullard trust is plaintiff herein, should succeed testatrix as trustee of the John H. Bul-lard trust, and designated Caroline D. Mehring as executrix under the will of said Caroline D. Bullard. On March 21,1946, the district court of Ramsey county appointed said Marjorie Kohlsaat as trustee of the John H. Bullard trust to succeed the aforesaid Caroline D. Bullard.

The will of Caroline D. Bullard was never offered or admitted to probate, either here, in Illinois, or elsewhere. No executrix or other representative has ever been appointed under it. At no time prior to the death of Caroline D. Bullard was defendant advised by anyone that the contents of the safe-deposit box belonged to the John H. Bullard trust. Nothing in the lease covering the safe-deposit box or in any other communication prior to the death of Caroline D. Bullard ever disclosed to defendant that Caroline D. Bullard, in renting said safe-deposit box, was acting in other than her individual capacity.

No information was available to defendant as to the source of the contents of said safe-deposit box or as to whether the assets therein *474 were derived from the income of the John H. Bullard estate, to which Caroline D. Bullard was entitled, or from the principal thereof, which was to go to certain other heirs of said John H. Bullard. The clause in the will of Caroline D. Bullard above referred to and certain assertions made by her prior to her death with reference to the ownership of the property in said safe-deposit box first came to defendant’s attention after her death. Prior to this action, no court had ever passed upon the effect of such declarations or assertions, or determined the ownership of the property in the safe-deposit box. No decree was ever' made determining the heirs of Caroline D. Bullard who might claim title to the contents of such safe-deposit box adversely to plaintiff herein.

Plaintiff, as previously indicated, is acting as trustee of the John H. Bullard trust. Her predecessor was Caroline D. Bullard, and, while plaintiff has succeeded Caroline D. Bullard in the latter’s representative capacity as trustee, she has at no time been designated as the legal representative of said Caroline D. Bullard in her individual capacity, either during her lifetime or subsequent to her death. The order appointing her trustee of the John H. Bullard trust did not designate the properties covered by the trust, nor the location thereof.

Following the death of Caroline D. Bullard, a representative of the county treasurer of Ramsey county, Minnesota, as authorized by M. S. A. 291.20, opened the safe-deposit box and caused an inventory of the contents thereof to be taken. This inventory disclosed that a number of bonds, cash, and securities were registered in the name of Caroline D. Bullard, while other securities were registered in the name of John H. Bullard or the John H. Bullard estate. Shortly thereafter, on March 28, 1946, plaintiff presented to defendant a certified copy of the order appointing her trustee and the key to the box, and requested permission to open it and remove the property therein, on the claim that such property formed a part of the corpus of the John H. Bullard trust, to which she was entitled as trustee. Defendant refused the request, but stated that it stood ready to permit access to the box by the legal representative of Caro *475 line D. Bullard or her estate, in accordance with the lease agreement. It contended that plaintiff did not stand in such capacity, and therefore had no right thereunder to demand the contents of said box.

Defendant subsequently proposed that an executor or special administrator be named by the probate court under the will of said Caroline D. Bullard, to whom access to the box would be given and who might be designated as defendant in an action to determine the possessory rights and title to the contents thereof. This proposal was refused by plaintiff. Defendant at all times has been willing to permit such access to the legal representative of the estate of said Caroline D. Bullard.

Following defendant’s refusal to permit plaintiff access to said box and to deliver the contents thereof to her as trustee, plaintiff, through her attorneys, notified defendant that if she had possession of such property she would apply to the district court for authority to sell any securities therein which were not legal for investment of trust funds under Minnesota law, and in the event of defendant’s refusal to accede to such request she would hold it liable for any damages sustained by reason of her inability to obtain possession of such securities.

Thereafter, on April 18, 1946, ■ plaintiff commenced this action. At the conclusion thereof, the trial court made findings and conclusions in effect determining that title to the contents of the safe-deposit box was in plaintiff, and ordered judgment against defendant for delivery thereof and for $3^045.55 damages for defendant’s wrongful detention thereof prior to the action.

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Related

Wells v. Cole
260 N.W. 520 (Supreme Court of Minnesota, 1935)

Cite This Page — Counsel Stack

Bluebook (online)
33 N.W.2d 712, 226 Minn. 471, 1948 Minn. LEXIS 619, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kohlsaat-v-first-national-bank-of-st-paul-minn-1948.