Robertson v. Swayne

378 P.2d 195, 85 Idaho 239, 1963 Ida. LEXIS 295
CourtIdaho Supreme Court
DecidedJanuary 24, 1963
Docket9115
StatusPublished
Cited by5 cases

This text of 378 P.2d 195 (Robertson v. Swayne) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Robertson v. Swayne, 378 P.2d 195, 85 Idaho 239, 1963 Ida. LEXIS 295 (Idaho 1963).

Opinion

McQUADE, Justice.

William Fernando Robertson, hereinafter referred to as Dr. Robertson, was a phy *241 sician residing at Orofino, Idaho. On June 27, 1950, Dr. Robertson died leaving a will dated September 27, 1946 and codicil dated June 10, 1950. On July 29, 1950, said will and codicil were duly proved and admitted to probate as the last will and testament of Dr. Robertson in the Probate Court of the County of Clearwater, State of Idaho.

The codicil devised certain real property situated in Clearwater County, known as the “Jennings Farm”, to Samuel F. Swayne “to be held in trust by him, his heirs and assigns for the benefit of Robert K. Robertson until he, the said Robert K. Robertson, attains the age of Sixty (60) years”. The codicil further provided that “in the event the said Robert K. Robertson predecease the said trustee prior to attaining the age of Sixty (60) years, I direct my said trustee to execute a deed to William F. Robertson, and Jean Robertson, my son and daughter, and thereby terminate this trust”.

In addition to the duty to convey the above mentioned property to William F. Robertson and Jean Robertson Ash in the event Robert K. Robertson died before attaining the age of sixty, the codicil provided that the trustee should have “full, complete and exclusive power, right and authority, without bond or intervention by Courts, except as required by law, to manage and control the same in every respect, the said trustee to account for the revenue, rents and profits thereof, to the said Robert K. Robertson, annually, under direction of the Probate Court, of Clearwater County, * * *»

In 1951 Swayne applied to the Probate Court and was granted a decree of settlement of account and distribution of the property of Dr. Robertson’s estate. Subsequently in that same year Swayne as trustee filed with the Probate Court an inventory and appraisement which was filed according to law and stated that he held the property in trust.

After Dr. Robertson’s death in 1950, the appellant, Robert K. Robertson continued to live on and occupy the “Jennings Farm” from 1951 through 1957. He collected all the rents and profits of the farm. He also paid all taxes, insurance and upkeep thereon. However, appellant had the trustee’s permission to live on the premises and to perform these various acts. During the above mentioned years and while appellant personally collected the rents and income of the trust property, he reported this income to the trustee.

In turn, the trustee filed an annual accounting in the Probate Court for the years 1955 through 1958. According to the testimony of the trustee, he and the appellant agreed, immediately after the closing of the testamentary estate, that it would be more economical and efficient for the beneficiary to live on the property, care for it, and to collect income derived from operation *242 of the farm. Thus, while appellant actually managed the property here in question, it is contended he did so with permission of the trustee, and was obligated to account to the trustee.

In 1957, Mr. Swayne, as trustee, petitioned to have appellant summoned into the Probate Court because of accounting troubles. During 1958 and part of 1959, Swayne collected income derived from the trust property.

In 1959, appellant brought this action against the trustee and the contingent remaindermen to quiet fee simple title to the trust property in himself, claiming such title by virtue of adverse possession. The trustee answered denying the claim of adverse possession. In addition, the trustee claimed title to the land by force of the trust and by virtue of his position as trustee under that trust. The trustee further alleged that possession of the premises by appellant was permissive and therefore not adverse. William F. Robertson, one of the remaindermen, answered, denying appellant’s claim of adverse possession, contending that such possession was permissive. He further claimed an interest in the premises as a contingent remainderman. The case was submitted to the court on an agreed statement of facts, depositions of the parties, exhibits and files of the cause. The trial court found the plaintiff was not entitled to relief as requested and rendered judgment for the defendants.

Robert K. Robertson now appeals from that judgment, contending the court erred in refusing to quiet title to the “Jennings Farm” in him on the following grounds: (1) William F. Robertson and Jean Robertson Ash have in writing waived any interest in the farm; (2) the trust is a “dry” or “passive” trust and appellant, as the beneficiary of such a trust, is entitled to have the title to the property vested in himself; and (3) the appellant is entitled to have title granted to him under rights acquired by adverse possession.

Appellant contends that the contingent remainermen, by signing a “Receipt of Distributive Share” of the estate, waived any right they might have had to the trust property here in question. These receipts, after first reciting that the undersigned has received a certain specified portion of the estate in question provide as follows:

“The undersigned hereby releases and discharges the said executor from all other and further obligations to the undersigned of any kind whatsoever and consents upon the filing of this receipt and release that the said executor be released and exonerated .and discharged by a proper order of the above entitled court.” (Emphasis supplied.)

*243 It should be noted that appellant also signed such a receipt. These “receipts” release the executor from liability, in his capacity as executor, to those who sign such instruments. We are not here concerned with Mr. Swayne’s liability as an executor. Rather, we are concerned with the question of whether the trust instrument imposed upon Mr. Swayne, as trustee, such duties as will support the judgment of the trial court in concluding that this was an enforceable trust. The “receipts” signed by the contingent remaindermen do not purport to release their interests as contingent remaindermen in the trust property.

Appellant next contends that the trust is a “dry” or “passive” trust. Appellant asserts that if a trust becomes “dry”, the cestui que trust is entitled to the legal title of the trust property. He admits the trust as established in the will was an active trust. Appellant contends, however, that the trustee “did not put the trust into operation” because he did not take control of the trust property or manage it. In determining whether a trust was active or passive, it was said in Beals v. Croughwell, 140 Neb. 320, 299 N.W. 638, at 641, 138 A.L.R. 1330:

“ ‘So long as the trustee, either expressly or by implication, has imposed upon him some affirmative and substantial duty to perform or useful purpose to subserve, or discretion to exercise with respect to the control, protection, management, or disposition of the trust property, or to protect the estate for a given time or until the death of some person, * * * the trust remains an active trust.’ ”

In the case of In re Hickok’s Will, 61 N.M. 204, 297 P.2d 866, at 871, that court said:

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Bluebook (online)
378 P.2d 195, 85 Idaho 239, 1963 Ida. LEXIS 295, Counsel Stack Legal Research, https://law.counselstack.com/opinion/robertson-v-swayne-idaho-1963.