Security Pacific National Bank v. Metcalf

58 Cal. App. 3d 197, 129 Cal. Rptr. 787, 1976 Cal. App. LEXIS 1563
CourtCalifornia Court of Appeal
DecidedMay 13, 1976
DocketCiv. No. 46945
StatusPublished
Cited by1 cases

This text of 58 Cal. App. 3d 197 (Security Pacific National Bank v. Metcalf) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Security Pacific National Bank v. Metcalf, 58 Cal. App. 3d 197, 129 Cal. Rptr. 787, 1976 Cal. App. LEXIS 1563 (Cal. Ct. App. 1976).

Opinion

Opinion

JEFFERSON (Bernard), J.

These are petitions brought by Security Pacific Bank, a testamentary trustee, to have determined the identity of beneficiaries of two testamentary trusts—the Marian Huntington Fund and the Residuum Fund—both established by the will of Hemy E. Huntington, and for instructions.

Claiming to be the beneficiaries are John Brockway Huntington and Elizabeth Anne Huntington Davis, the adopted children of Marian Huntington. Opposing their claim are nephews and nieces of Marian Huntington; they are Edwards H. Metcalf, Henry E. Huntington II, Howard Hunting ton, Jr., David Huntington, Jane Huntington Kuska and Mary Huntington Bums.1

The trial court ruled that John Brockway Huntington and Elizabeth Anne Huntington Davis, the adopted children, were descendants of Marian Huntington as described in the will of Henry E. Huntington, and ordered the trustee to pay them equally the full amount of the Marian Huntington Fund and 6/10ths of the Residuum Fund. The contesting nephews and nieces of Marian Huntington have filed four separate appeals, which have been consolidated for our review here.

[201]*201The case turns upon the proper interpretation of Henry E. Huntington’s will, executed by him more than 50 years ago, to wit, on August 1, 1925. There were two codicils to the will, neither of which has any bearing on the matter before us. Henry E. Huntington died, in 1927, leaving a sizeable fortune amassed as the result of his successful participation in railroad development. At the time Huntington executed his will, he had three daughters, Clara (Perkins), Elizabeth (Metcalf), and Marian Huntington. His son, Howard, had died in 1922, leaving a wife, Leslie, and six children. Clara and Elizabeth were married at the time of the execution of the Huntington will, but Marian, then aged 42 years, had not married.

The dispositive plan revealed by the will was not complicated. The Huntington estate (of at least $24 million) was to be preserved for the benefit of Huntington’s children and their descendants. The testator first created separate testamentary trusts of $1 million each for each of his three daughters for life, with the remainder to vest, on the life beneficiary’s death “in the descendants per stirpes [of said life beneficiaiy] then surviving.” He created similar trusts, in lesser amounts, for the children of his deceased son, Howard. There were various bequests to other relatives, unrelated persons, and the Huntington Library and Art Gallery.

The residuum clause of the will, dispositive of a substantial part of the estate, provided for equal sharing by the three Huntington daughters and, per stirpes, by the children of the deceased son, Howard Huntington. One-fourth of the net income was to be paid to each beneficiaiy for life; on the death of the life beneficiary, the beneficiary’s share of the Residuum Fund was to be paid over to that beneficiary’s “descendants, per stirpes, surviving.”

Huntington’s testamentaiy disposition relating to his daughter Marian differed from that relating to his two other daughters, in that she was given a power of appointment, by will, upon her death, of one-half of the property subject to the trust. In the fourth paragraph of the will, Marian was provided for in the following language: “I give and bequeath to my daughter, Marian Huntington, One Million Dollars ($1,000,000.00), said sum to be paid over to and held by the Pacific-Southwest Trust & Savings Bank In Trust for my said daughter during her life, to be invested and reinvested, loaned and reloaned by said trustee for the purpose of making the best available profit thereon, and all income derived from the same to be paid over to my said daughter by said [202]*202trustee semi-annually, and at the death of my said daughter all property in the hands of said trustee under this clause of my Will shall vest absolutely in the descendants per stirpes of my said daughter, Marian Huntington, then surviving, and if my said daughter, Marian Huntington, shall die without descendants her surviving, then and in that event, all property in the hands of said trustee under this clause of my Will shall vest absolutely, share and share alike, in the nephews and nieces of the said Marian Huntington, namely, the children of my deceased son, Howard Huntington, my daughter, Clara H. Perkins, and my daughter, Elizabeth V. Metcalf; Provided, However, that the said Marian Huntington is hereby empowered, if she so elect, to dispose of one-half of said property so held in trust for her, by her Last Will and Testament, and failing such testamentaiy disposition and dying without descendants her surviving, all of said property so held in trust under this clause of my Will shall vest absolutely, share and share alike, in her nephews and nieces, as hereinbefore stated.”

In the 25th paragraph of the will, Marian was given one-fourth of the net income of the residuum trust for her life. The provision, in pertinent part, with respect to the remainder interest, states: “and upon the death of said Marian Huntington leaving descendants surviving, one-fourth of said property so held in trust shall vest in such descendants, per stirpes, and failing descendants, one-eighth of said property so held in trust shall be subject to her testamentary disposition and the other one-eighth thereof shall vest absolutely in her nephews and nieces; ...”

Marian was also, as were the other Huntington children, the beneficiary of certain inter vivos trusts established by Henry E. Huntington in 1920 and 1924, respectively. Those trusts gave to Marian, as did the will of her father, a power of appointment. The trust declarations, in pertinent part, provided for disposition of the remainder interest by stating that, “[i]f the said Marian Huntington shall not have had children born to her, or if she shall have died without any descendants surviving, . . .” the trusts would terminate and either go to whomever Marian appointed by will, or to her “heirs at law.”

In 1938, Marian, then 55 years old, with the approval of the California State Department of Social Welfare, adopted two small English children she had brought to California. Elizabeth Anne, one of these children, had been born October 2, 1936; the other, John, was born Februaiy 28, 1937. These two children took the name Huntington, and were raised by Marian as if they were her children by birth.

[203]*203Marian died at the age of 90, in 1973. Marian’s will declared that John and Elizabeth, her adopted children, were her descendants. But she also purported to exercise her power of appointment in the event that her adopted children were not regarded as “descendants” within the meaning of her father’s will.

In the instant proceeding, John and Elizabeth, Marian’s adopted children, claim to be “descendants” within the meaning of Henry E. Huntington’s will and, it is upon the interpretation to be given the word, “descendants,” as used by Huntington, that this matter depends.

Prior to making a determination of the meaning of this language found in Huntington’s will, the trial court admitted a considerable amount of extrinsic evidence as an aid in resolving the interpretation question of whether the testator had intended to include subsequently adopted children as “descendants” of his beneficiaries. Much of the extrinsic evidence concerned the Huntington genealogy.

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Related

Estate of Huntington
58 Cal. App. 3d 197 (California Court of Appeal, 1976)

Cite This Page — Counsel Stack

Bluebook (online)
58 Cal. App. 3d 197, 129 Cal. Rptr. 787, 1976 Cal. App. LEXIS 1563, Counsel Stack Legal Research, https://law.counselstack.com/opinion/security-pacific-national-bank-v-metcalf-calctapp-1976.