National Bank v. Squire

22 Ohio Law. Abs. 85, 1936 Ohio Misc. LEXIS 1211
CourtOhio Court of Appeals
DecidedMarch 5, 1936
DocketNo 677
StatusPublished
Cited by1 cases

This text of 22 Ohio Law. Abs. 85 (National Bank v. Squire) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Bank v. Squire, 22 Ohio Law. Abs. 85, 1936 Ohio Misc. LEXIS 1211 (Ohio Ct. App. 1936).

Opinion

OPINION

By GUERNSEY, J.

This case comes before this court on appeal from the Court of Common Pleas of Allen County, Ohio.

This is an action brought by The National Bank of Lima, Lima, Ohio, trustee under the last will and testament of Ella E. Patterson, deceased, as plaintiff, against S. H. Squire, Superintendent of Banks for the State of Ohio, in charge of the liquidation of The Lima First American Trust Company; The Lima First American Trust Company and Harry S. Day, treasurer of i'ie Stale of Ohio, as defendants, to compel the allcrvance of two deposit accoun.s of The Lima First American Trust Company, trustee under the will of Ella E. Patterson, deceased, with said The Lima First American Trust Co., which were transferred by The Lima First American Trust Company, trustee under said will, to The National Bank of Lima, Lima, Ohio, as successor trustee under said will, as preferred claims against all the assets of said The Lima First American Trust Company, a closed bank, in the cusiody of said Superintendent of Banks in charge of the liquidation of said Trust Company, and as a lien on the fund, deposited by said Trust Company with the Treasurer of the Slate of Ohio, pursuant to the provisions of old. 8710-150, GC,. which has been de'ivered to said Superintendent of Banks by .he Treasurer and is now held by him.

A demurrer of the defendant Harry S. Day, Treasurer of the State of Ohio, was sustained in the Common Pleas Court and final judgment entered thereon dismissing him . from said action.

After said cause came into this court an order was entered therein vhat di~-p:s'fon of the cause be deferred to permit the minor beneficiaries of the testamentary trust to have the rights preserved to them by Subdivision (e) of 810506-40 GC, adjudicated in Probate Court, and to permit such adjudication, when made, to be pleaded by the plaintiff in this court. Following the making of such order, the plaintiff filed its supplemental petition in this court wherein it is alleged, among o.her things, that on January 2, 1936, Lee G. Van Blargen was appointed guardian ad litem for the minor beneficiaries under the will of Ella E. Patterson, deceased; that exceptions to the second and final account of S. H. Squire, Superintendent of Banks of Ohio, in charge of the liquidation of The Lima First American Trust Company, trustee U/W of Ella E. Patterson, deceased, were filed by said guradian ad litem in the Probate Court of Allen County, Ohio; that a hearing was had on said exceptions and a finding made by the court that the investment in a savings account of $517.58 (being one of the deposit accounts described in the petition) of the funds of the estate by the defendants was illegal; that the sum of $85.75 on deposit in the uninvested trust fund account of the defendants’ bank in its commercial department (being the other deposit account described in said petition) was not an unreasonable amount of money to keep on hand to defray possible expenses of the administraton of said estate, and that there is due and owing to The Na.ional Bank of Lima, as successor trustee U/W of Ella E. Patterson, deceased, the sum of $517.58, to be administered as a part of the trust estate for the benefit of the minor beneficiaries.

A certified copy of the journal entry of the Probate Court incorporating such findings and judgment is attached to the supplemental petition, which shows that Ruth Aiken and Walter Aiken are the minor beneficiaries under .he last will and testament of said Ella E. Patterson.

No pleading was filed by the defendants-to the supplemental petition and the allegations thereof are therefore taken to be true. Counsel for the par.ies after the filing of said supplemental petition filed in this court in this cause a stipulation ihat no error proceedings will be prosecuted irom the finding of the Probate Court of Allen County on said exceptions, and the cause was then submitted to this court by the parties upon the original and-supplemental proceedings, and transcript of the evidence upon the trial of this casein the Court of Common Pleas, and ".he stipulation of fact of the parties filed there[87]*87in. The stipulation agreed to by the parties is as follows:

“1. It is agreed that the plaintiff is a banking corporation organized and existing under and by virtue of the laws of the United States of America and qualified to carry on a trust business under the laws of the State of Ohio.
“2. That on July 19, 1934, by consideration of the Probate Court of Allen .County, Ohio, said plaintiff was appointed success- or trustee for the trust created under the will of Ella E. Patterson, deceased, succeeding The Lima First American Trust Company, Trustee, resigned, and that said plaintiff has qualified as trustee and is now acting in such capacity.
“3. That The Lima First American Trust Company is a corporation organized and existing under the banking laws of the State of Ohio and was duly appointed and qualified as trustee of said trust.
“4. That Ella E. Patterson created a trust estate by will, plaintiff succeeding The Lima First American Trust Company as trustee of said estate.
“5. That the will of Ella E. Patterson creating said trust estate, a true copy of which is hereto attached and marked Exhibit A, contains the provision:
“ ‘My said trustee hereinbefore appointed to hold and keep on interest the share of my estate so bequeathed to it as trustee for said niece and nephew and manage and invest and re-invest the same until such trust, etc.,’
“6. That on September 9, 1933, the then Supt. of Banks of Ohio took possession of the property and assets of The Lima First American Trust Company and S. H. Squire, the duly qualified and acting Supt. of Banks of the State of Ohio is as such still liquidating such property and assets.
“7. That The Lima First American Trust Company was closed by action of the Board of Directors at the close of business on February 24, 1933, and was placed in the hands of a Conservator appointed' by the Supt. of Banks on April 10, 1933.
“8. That on June 30, 1934, the Probate (Jourfc of Allen County, Ohio, accepted the resignation of Ira J. Fulton, on behalf of himself and on behalf of The Lima First American Trust Company as said trustee and ordered said trustee to file his account within thirty days.
“9. That said Supt. of Banks filed a second and final account, as above directed, on July 23, 1934.
“10. That no exceptions have been filed to said account.
“11. That plaintiff duly filed claim for preference with this defendant Supt. of Banks and the same -was duly rejected as averred in the petition.
“12. That as a part of the assets of said trust estate the defendant turned over to the plaintiff an assignment, dated July 20, 1934, of I. J. Fulton, Supt. of Banks, of all his interest in and to savings account No. 32075 in The Lima First American Trust Company, balance September 9, 1933, of $517.58; and an assignment dated July 20, 1934, of I. J. Fulton, Supt. of Banks, of all his interest in and to the restricted amount of funds belonging to the trust estate of Ella E. Patterson, deceased, deposited in the uninvested trust fund account of The Lima First American Trust Company in its commercial department, in the sum of $85.75.
“13.

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Bluebook (online)
22 Ohio Law. Abs. 85, 1936 Ohio Misc. LEXIS 1211, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-bank-v-squire-ohioctapp-1936.