Robert W. Traip Academy v. Staples

317 A.2d 816, 1974 Me. LEXIS 377
CourtSupreme Judicial Court of Maine
DecidedApril 8, 1974
StatusPublished
Cited by8 cases

This text of 317 A.2d 816 (Robert W. Traip Academy v. Staples) is published on Counsel Stack Legal Research, covering Supreme Judicial Court of Maine primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Robert W. Traip Academy v. Staples, 317 A.2d 816, 1974 Me. LEXIS 377 (Me. 1974).

Opinion

POMEROY, Justice.

Robert W. Traip Academy, a corporate trustee of various trusts, has brought this complaint pursuant to 14 M.R.S.A. 6051(10), alleging there is doubt and seeking direction as to the “mode of executing a (the) trust(s) and the expediency of making changes and investments of property held in trust.”

Evidence has been received by a Justice of this Court sitting in the Superior Court. In the judgment of such Justice, “this action involves questions of law of sufficient *818 importance and doubt as to justify reporting this action to the Law Court.”

All parties have agreed to such report and have so stipulated.

Several trusts, all charitable in nature, are involved in the proceedings; only three require extended discussion as the trustee proposes to continue administering the remaining trusts in the same manner they have been administered since they were created.

The testamentary trust of Robert W. Traip, consisting of real and personal property, is one concerning which the trustee proposes changes in administration which will, if allowed, make application of the trust res quite different from that required by the literal language of the trust. (See Appendix A for the trust provisions of the Robert W. Traip Will.)

Also requiring extensive discussion is the testamentary trust of Jethro H. Swett. (See Appendix B for the specific provision of the Jethro H. Swett Will.)

The testamentary trust of Harry W. Cook, being entwined as it is with the Jethro Swett trust, must be considered with the Swett and Traip trusts. (See Appendix C for the specific provision of the Harry W. Cook Will.)

The testamentary trusts of Mark W. Paul, the intervivos trust of Ralph G. Car-ruthers, the testamentary trust of Moses Victor Safford, the intervivos trust of Pauline H. Morrison, the testamentary trust of William F. Pinkham, and the Music Fund, present no particular problems as the trustee proposes to continue the administration and application of the proceeds of all these trusts in the same manner they have been conducted and applied since their inception.

The record before us shows Robert W. Traip died in 1864. His Will, by which the testamentary trust with which we are here concerned was created, was allowed in conformity with the then law governing the allowance of Wills. The Will itself directed that the trustee named therein apply to the Judge of Probate for additional trustees who were to receive all the residue and remainder of his estate,

“for the purposes of an Academy in said Kittery . . . under such rules, regulations and limitations as the Trustee under this will shall then in writing . prescribe .... To avoid embarrassment in the accumulation of this trust, I forbear to do more than to express explicitly my general purpose of establishing in the town of Kittery, an Academy in which the higher branches of education shall be taught.”

The trustees were appointed and the rules and regulations were approved by the Judge of Probate in November, 1902.

On March 8, 1905, the Robert W. Traip trust was reorganized as Robert W. Traip Academy, a nonprofit, charitable and educational corporation under the laws of the State of Maine. The purpose of the corporation was stated to be to carry out the provisions of the late Robert W. Traip trust or any other bequest or devise that may be made to the trustees, for the purpose of implementing the Traip trust.

On February 19, 1957, by order of the appropriate Probate Court, the Robert W. Traip trust estate was dissolved and all trust funds which had been conveyed to it were ordered transferred to the Robert W. Traip Academy. The corporation exists today as the legal entity by which the trusts are operated and is the plaintiff herein.

The plaintiff-trustee proposes by this complaint that we authorize and direct it to convey the real property held in its possession under the trust provisions of the Wills of Robert W. Traip, Harry Cook and Jethro Swett, to the Inhabitants of the Town of Kittery, to be held by the Inhabitants in trust and administered as set forth in the various trust instruments; or as an alternative that it be directed to lease the *819 property to the Town of Kittery for a 99-year term.

The trustee would also have us direct it to continue administration of the personal estate constituting a part of the total trust res in its custody for the purposes described in the trust instruments.

There seems to be no dispute but that in the present circumstances continued operation of Traip Academy, as it has been operated for the past several years, is unfeasible if not impossible.

The question then becomes: What application can be made of the corpus of the trust estates remaining in the hands of the trustee ?

That the suggestion of the trustee to this Court has the appeal of simplicity is apparent.

The real question becomes: Is the trustee’s proposal legally permissible under the terms of the trusts ?

It is axiomatic that the property of a charitable trust in the hands of a trustee must be applied in accordance with the wishes of the trustor. Dunn v. Morse, 109 Me. 254, 83 A. 795 (1912).

“The intention of the testator (donor) is the guide, or, in the phrase of Lord Coke, ‘the lodestone,’ of the court.” Jackson v. Phillips, 96 Mass. (14 Allen) 539, 591 (1866).

It is equally well settled that charitable trusts are the objects of this Court’s peculiar regard. Snow, et al. v. Bowdoin College, 133 Me. 195, 199, 175 A. 268, 270 (1934). As this Court said in that case:

“As these (charitable trusts) are not subject to the ordinary rules against per-petuities and may continue indefinitely, special problems arise with respect to their administration. However wise a testator may be, it is impossible for him to foresee all the vicissitudes, which may affect the object of his bounty through the passage of time and the happenings of chance.”

Three questions suggest themselves in the matter now before us:

(a) What were the donors’ intentions in establishing the charitable trusts now being examined by us ?
(b) Can the intention of the donors continue to be carried out ?
(c) If such intention cannot continue to be carried out, what disposition must be made of the trust res now in the possession of the trustee ?

In Gorham v. Chadwick, 135 Me. 479, 200 A. 500 (1938), this Court said:

“Although a will speaks only from the maker’s death, the language used in the testament must be construed as of the date of its execution and in the light of the then surrounding circumstances.” 200 A. at 502.

Another and accurate statement of this rule is that a Will is not operative until the death of the maker and then speaks his or her intention at the time of its execution.

We recently reaffirmed this rule in Louisa T. York Orphan Asylum v. Erwin, Me., 281 A.2d 453 (1971).

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317 A.2d 816, 1974 Me. LEXIS 377, Counsel Stack Legal Research, https://law.counselstack.com/opinion/robert-w-traip-academy-v-staples-me-1974.