HomeMy WebLinkAbout12-11-08Stanley A. Smith
Attorney ID No- 33782
]Whpa B. Be181(er
Atorney lD No. 94545
Rhoads &Sinon LLP
One South Market Square
P. O. Dan 1146
Harrisburg, PA 1]108-I t46
(717)233-5731
Avorneys (or Petitioners
IN RE: IRREVOCABLE LIFETIME
TRUST OF WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated Mazch 26, 1984
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IN THE COURT OF COMMOI~PLEAS ~ ' ` '
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHA ' COUR~rTL IVISION
NO. 1 e~ ~ o~'I~
PETITION TO TERMINATE THE IRREVOCABLE LIFETIME TRUST OF WILLIAM
EDWIN NAUGLE FOR THE BENEFIT OF HIS GRANDCHILDREN DATED MARCH
26, 1984, PURSUANT TO 20 Pa.C.S.A. &§ 7740.1(b), 7740.2(al. and 7740.3(e)
AND NOW, comes your Petitioner, Messiah College, Trustee and Remainderman
of the Irrevocable Lifetime Trust of William Edwin Naugle for the Benefit of His Grandchildren
dated March 26, 1984 (the "Trust"), by and through its attorneys, Rhoads &Sinon LLP, and
respectfully represent as follows:
Your Petitioner is Messiah College, ("Petitioner/Trustee/Remainderman")
with its principal location at One College Avenue, P.O. Box 3013, Cumberland County,
Grantham, PA 17027.
2. On March 26, 1984, William Edwin Naugle (the "Settlor") executed an
irrevocable lifetime trust for the benefit of his grandchildren (Theresa S. Hammond, Richard C.
Schwenk, Jr., Robert Edgar Naugle, William E. Naugle, III, Kirk A. Naugle, Deborah Ann
Naugle (now Deborah Ann Cullen), and Charles Edwin Schwenk, shall also be known
individually as the "Grandchild" or the "Income Beneficiary" and/or collectively as the
]18301.1
"Grandchildren" or the "Income Beneficiaries"). A copy of the Trust is attached hereto as
Exhibit "A".
3. Theresa S. Hammond, an adult individual who resides at 390 4`" St. SW,
Bandon, OR 97411-9626, is the grandchild of Settlor and a life income beneficiary of a one-
seventh share of the Trust.
4. Richard C. Schwenk, Jr., an adult individual who resides at 141 West
Picket Post Lane, Phoenixville, PA 19460, is the grandchild of Settlor and a life income
beneficiary of aone-seventh share of the Trust.
5. Robert Edgar Naugle, an adult individual who resides at 9713 Forest
Ridge Road, Shippensburg, PA 17257, is the grandchild of Settlor and a life income beneficiazy
of aone-seventh share of the Trust.
6. William E. Naugle, III, an adult individual who resides at 870 Remington
Drive, Shippensburg, PA 17257, is the grandchild of Settlor and a life income beneficiary of a
one-seventh share of the Trust.
7. Kirk A. Naugle, an adult individual who resides at 1100 Remington Drive,
Shippensburg, PA 17257, is the grandchild of Settlor and a life income beneficiary of a one-
seventh share of the Trust.
8. Deborah Ann Naugle (now Deborah Ann Cullen), an adult individual who
resides at 609 W King Street, Shippensburg, PA 17257, is the grandchild of Settlor and a life
income beneficiary of aone-seventh share of the Trust.
9. Charles Edwin Schwenk, a grandchild of Settlor, was a life income
beneficiary of aone-seventh shaze of the Trust until he died on April 7, 1993.
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0. Pursuant to Article SECOND of the Trust, the Trustee was directed to take
advantage of a unique market opportunity and to invest the initial Trust Res in thirty-year
government bonds paying at least twelve percent interest (the "Bonds"), so as to guarantee that
the Income Beneficiaries receive an annual return of at least five thousand ($5,000.00) dollars for
the thirty-year term of the Bonds. See Exhibit "A".
11. Pursuant to Article SECOND of the Trust, "upon the expiration of the
thirty-year term, the Trustee shall, in its sole discretion, invest the Trust Res in such manner as
said Trustee sees fit, keeping in mind the purpose of the Trust."
12. As each Grandchild dies, the deceased beneficiary's share of the income
of the Trust becomes payable to Messiah College.
13. Upon the death of the last Income Beneficiary, the remaining income and
principal of the Trust is to be distributed to Messiah College.
14. On August 15, 2008, the Bonds were called and the Trust received cash
proceeds.
15. When the proceeds of the Bonds are invested, the annual income from the
Trust for each Grandchild will drastically decrease from about five thousand ($5,000.00) dollars
to roughly one thousand two hundred ($1,200.00) dollars, which equates to a seventy-six (76%)
percent decrease in the annual return to the Income Beneficiaries.
16. The dramatic decrease in the annual return to the Income Beneficiaries has
undermined Settlor's intentions in establishing the Trust, and the continued existence of the Trust
will not serve the material purpose of the Trust, as the Trust is no longer able to provide
significant income to the Grandchildren.
-3-
17. Pursuant to Article SECOND of the Trust, "upon the expiration of the
thirty-year term, the Trustee shall, in its sole discretion, invest the Trust Res in such manner as
said Trustee sees fit, keeping in mind the numose of the Trust."
18. As the purpose of the Trust to provide significant income to the
Grandchildren is no longer attainable, the Income Beneficiaries and the Trustee desire to
terminate the Trust pursuant to 20 Pa.C.S.A. §§ 7740.1(b), 7740.2(a), and 77403(e) of the
Probate, Estates and Fiduciaries Code.
19. Petitioner acknowledges that Article SEVENTH of the Trust contains a
spendthrift clause which, according to 20 Pa.C.S. § 7740.1(b-1), is presumed to constitute a
material purpose in the Trust.
20. Despite the presence of the spendthrift clause, Settlor's intent in
establishing the Trust for his Grandchildren is no longer attainable with the redemption of the
Bonds. Pennsylvania case law holds that "the polestar in every trust is the Settlor's intent and
that intent must prevail." In re Benson, 419 Pa.Super. 582 at 588-89, 615 A.2d at 794-95 (1992).
21. Since the Bonds have been called, the Trust can no longer maintain the
level of income production which will allow Settlor's Grandchildren to recognize an annual
return of at least five thousand ($5,000.00) dollars; thus, the purpose of the Trust is no longer
attainable, and the Income Beneficiaries and the Trustee desire to terminate the Trust pursuant to
20 Pa.C.S.A. §§ 7740.1(b), 7740.2(a), and 77403(e) of the Probate, Estates and Fiduciaries
Code.
-4-
22. Notice of the filing of this Petition has been given to the Attorney General
of the Commonwealth of Pennsylvania, via certified mail, a copy of which is attached hereto as
Exhibit "B".
23. The Income Beneficiaries have executed Consents to Terminate the Trust,
(the "Consents") attached hereto as Exhibit "C", in which they consent to the termination of the
Trust and acknowledge that they will receive from the Trust an amount equal to the product of
each Income Beneficiary's life estate factor at six (6%) percent multiplied by one-seventh (1/7)
of the net value of the Trust on the date of termination.
24. The Trustee has executed a Consent to Terminate the Trust and
acknowledges that it will receive from the Trust an amount equal to the remaining balance of the
Trust after distribution of the actuarial values of the Trust has been made to all of the other
Income Beneficiaries. See Exhibit "C" (An attachment to Exhibit "C" more clearly sets forth the
valuation method used to determine the amount of the Trust which each Income Beneficiary and
the Trustee shall receive upon the termination of the Trust).
25. The continuation of the Trust will not achieve any material purpose of the
Trust. The Income Beneficiaries and the Trustee's Consents to terminate the Trust evidence that
the Trust should be terminated pursuant to 20 Pa.C.S.A. §§ 7740.1(b), 7740.2(a), and 7740.3(e)
of the Probate, Estates and Fiduciaries Code.
WHEREFORE, Petitioner prays that this Honorable Court enter an Order
terminating the Trust under 20 Pa.C.S.A. §§ 7740.1(b), 7740.2(a), and 7740.3(e) of the Probate,
Estates and Fiduciaries Code, with the distribution of the assets to the Income Beneficiaries as
follows: to the Income Beneficiaries in an amount equal to the product of each Income
-5-
Beneficiary's life estate factor at six (6%) percent multiplied by one-seventh of the value of the
Trust on the date of termination, with the remaining balance of the Trust to be distributed to the
Trustee.
Respectfully Sub _
tanley A. Smith, Esquire
ID No. 33782
Joshua B. Beisker, Esquire
ID No. 94545
Rhoads & Sinon LLP
One South Market Square
PO Box 1146
Harrisburg, PA 17108
717-233-5731
ATTORNEY FOR PETITIONER
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TRUST AcREEIfeNT
THIS INDENTURE, made [hie ~,Z day of ~!^ .u~ , 1984, by
and between WILLIAN EDWIN NAUCLE of 60E Wes[ King Street, Sh ip pa ns burg,
Cumberle nd County, Pennaylvenia (hereinafter "SEYTLOR"), and MESSIAIi C01,1.EGE
of Grantham, Cumberland County, Pennsylvan (a (hereinafter "TRU STEP.");
WITNESS ETH:
WHEREAS, the SETTLOR 19 des(roUS of ea tabl is hing an it revota6lc li fctime
trust Eor the 6eaef it of [he gre ndchild Cen named herein{ end
WHEREAS, the SETTLOR Le deeiroua a( providing far ehc crane far of the
Trues Ras, Sncluding principal and in<ome, co the TRUSTEE upon the death of
[ha last surviving grandchild named herein; and
WHEREAS, the EETTLOR or others may add Ka the Trust Ras by will or oche rw{sr.;
NOW, 'C HE RE FO RE, in eonelderetion of eha promisoe hereto con to in ed, ehc
TRU 9'f EE agrees Co hold, administer, and co Lle ce the accumulated in [arc st of
the herein deecrl6ed Trust Reg; and to hold Such proceady principal and income,
toga they with any other property, whether reel or pc reona 1, [hnt mny bo added
to the eruct pr ine(pal, TO HAVE AND SO HOLD SHE SANE, IN TRUST, NEVE RTNE LE SS,
Eor the Following uses and purposes and 9u bject Co [he to rms and conditLona
he re ins Fter se[ forth;
IDENTIFICATION OF AENEFICIARIES
FIRST: 1'he Income Henef {c is riee oC the Trust established 6y Ch is Indenture
shall be TE RESA HAlMOND, RICHARD C. SCi1WENK, CHARLES EDWIN SCHWENR, R08ERT
EDGAR NAUCLE, WILLIAM EDWIN NAUCLE i1I, KfRK A. NAUC LL•, and DE NO RAII ANN NAP41.E,
[hC extant grandchild ran of the SETTLOR,
INCOME - PRINCIPAL PROVISIONS
SECONb~ 1. She TRUSTEE shall invee[ [he lntt iel huet Res in JO-ycar
Bove roman[ bonds paying at Ic ast 127, tote rc st. Th ie aha 11 be done to guarani yr
tt,e Lncoma beneficiaries a return of at leaec $5,000 per year Cor this JO-year
[e rm. Upon [he expiration of [he 70-year term, the TRUSTEE shall, in lCs
sole disc re Llon, Loves[ Che Trust Res in such manner as said TRUSTEE secs
fie, keeping Ln mind the purpO3CS of this Tru S.C.
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2. The TRUSTEE shall dis[r ibu to the income and infers st earned
upon the principal of the Trust Res, in equal shaces, to each oC the Benefi-
cis rL eg aurvlvtng a9 of the date when Cho TRUSTEE 6<hedu lee said distribution
of income end Sn [ereae to occur. Ae each genet is iary dies, h1a ar her share
of rho Tru s[ Income and ln[erest shall be distr Lhuted to Me eeish College oI
Grantham, Pennsylvania, [he remaindr rman nF this Trnat. TRl1RTEF, shall echrdnlr
din erlbution of income and interest in quarterty payme nta each year.
J. the TRUSTEE shall dlsCCibu to the entire Trust Res, both
princtpal and Lncome ,, to itgel (, MESSIAH COLLEGE of Grantham, Cumhcrland Coun tv,
Pe nnsylvenie, st the earlitat date after the deeth.oE the Ias t-au rv ivi ng eenefi-
eta ry se get forth above as as id TRUSTEE deems practic sb le; and following
as td dLetribuCion, the Tru of eatab Liahed by this Indenture eha 11 [erminate
and Eo re ver ce aae to exist.
IbENTIFLCATION OF TRUST RES - ACCEPTANCE HX TRUSTEE
T'H IRA: The principal of [he Trust Re4 shall initially von aiet oC the
tilt. 31Llaao 'Ia~~ ~,CRr{ihwTi~
sum oC Three Hundred Thousand ($?fiEFrCBaY68) Dollars, and the TR U$TEE
hereby eckn aw ledges she rcecipC from the SETTLOR of ea id sum sad secs D[s Che
Trust hereby created uDOn Che terms set Fa rth herein.
ADbLT IONS TO TRUST RES
FOUft1'!I: $ut+j ect to Che approval of the TRUSTEE, anyone may add property,
uheth¢r real ar personal, Co the Trust Res by deed, uSll, Or oChC CU {se.
POWERS OF TRUSTEE
FIFTII: The TRUSTEE shall have the following po•+ere in add tt Ion to !hose
vested 1n it by taw and by oCh er provlalnns oC this [rust, Jppllrib lC to all
properUp, whether prixcipal of inc ume, exert iea6 Le wLthouL euu rl approval
in Lts abso lute tliecretlon aRd effective unf 11 ac tusl dig tr ibuLLon of the
entire Trust Rea:
A. To retain any or all oP the a9ao[9 of this trust, real or
personal, without regard to any ptincip le of diverai Eic aC lox
or risk.
H. To invest in all Eorma of pro pe rcy, ins lading stock, common
true[ fun da and mortgage investment funds, whether operated
by TRUST HE ar othe re, without restriction to inve9tmenGs
authorized for Pennsylvania fiduciaries, ae it deems proper,
without regard to any prine ip lc of diveasiEication or risk.
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JAN-2i-06 F61 11 U5 AM
C. To sell aC public or private sale, co exchange or to lease
For any period of time, any real or personal property, and
t0 glue options Eor sales, exchanges or Ie ases, for such
prices, and uyan such terms end Bond itlons as LC deems propo r.
D. To alIOCate zaceipCS and expe Hess ea principle ar income
or partly Co each ae TRUSTEE, Erom Cime to time, thinks
preps[.
E. To compz omise any claim or .[onerous ray.
F. To dlsCrlbu to in cash or kind ar partly to each.
C. To hold to ah far a reasonable period of tLme pe nding reinvest-
. most.
LECA1. ACTIONH
SI%I'H: She TRUSTEE shall have full power and authorf cy 1n all ma CCC rs
of end concerning [he Trust Res wichouc seeking [he aid of any cou rC.
NON-ASSIGNABILITY PROVIH IONS
SEVENTH, The interests ¢f Che He ne ftc to Bea shall not he subject to
anticipation ar to voluntary or involuntary alienations; and the income shall
6e paid by [he TRUSTEE direst to or For the use of the 8a neflc is ry entitled
[hereto, without regard to any assignment, order, acCachm¢nC, or claim whatever.
DECLARATION OP IRAEVOCAHLLITY
E IGliTit, Th f.s Indenture and the Trust hereby created are irrevocable
and the SET1'LOR shall execute such fu T[her instruments as might be neceeea ry
IO vest the TRUSTEE with Lu 11 title CO the Trust Rea hereby Cra Hale rrcd.
APPLICABLE LAW
N IN'1'H, The eitue of this Trust Eor edm in iatrac(ve and accounting purpo s¢<
she 11 bn Cwnbcrln nd County, Pe nn aylvania, and all pocalions Pc r6nin lne to
the conatruccl on of velidlty OE Che provieiens of Ch15 instnime nc shell ho
governed by the laws of the Cammonwea lth of Pennsylusn La.
IN WITNESS )]HEREOF, [hc par CS ea here CO ha v¢ hereon to se[ their aignatu rus
end q¢a Ls and have •xoeucad Chia document the day and year first shove-wz it tun.
WITNESS:
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.~~=.L~Cr~ (SEAL)
WILLIAM EDw [N NAUGLE
ltE HB IAH COLLEGE, Trustee
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HY i l I 1 . I,~y
(SEAL)
P. 5
7
JAM-L%-Ub hHl 11~U6 AM
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COM1IMONWEAhTR OF PENN9YLVAN IA ,
55
COUNTY OF CUM BERI,AND ,
Z hereby certify that On this ;(. day oC I11;!!t F 1984,
before me, the su 6ecr16er, a Nto~ta ry Public, in and foe 9a id Commonwealth end
County, personally epDeered I]p d:i7 ji lI IC;i~a.n•. , gus inecc Manager Cor
MES9ZAN COLLEGE, the Truscee named in tha foregoing Truet Agreement, and 6y
¢irtue and in pursuance of the authority eh ere in con Ee rred upon him, acknow-
ledged the as Ld Tru s[ Agreement [o be the act of the na id MESSIAH COLLEGE
iruetee.
WLTNE99 my hand and notarial seal the day and year aCoreaeid.
~,:4I~L'cClt ~. .~9~((t (i•{SEAL)
NOTARY PUB'41C
P, v
!7Y COMMISSION E%PIRfiS:
JAN-27-06 FkI 11:06 AM
i
COM?fONWEALI'li OF PENNSYLVANIA ,
i55
COUNTY of CUMBERLAND r
On the dl.~i' day of Y~~f~41'~L 1984, before me the Subscrlbor,
a Notary Public, in and Pox said Commonwealth and County, came the above named
WILLIAM EDWIN NAUCLE, aet La tsetori ly pxovcn to m¢ to be the person whe se name
i. 9ubacribed to the wlChin Snstrument, and acknowledged the above Trust Ag re emen[
to b¢ hie ect end deed and desired the aama might be recorded as such.
W11'NESB my hand and no[orial seal.
-.~G~~~~ti~,.__ csRALI
NOTARY PUBLIC
P, 7
MY COMAIIRSION- EXPIRESr
IN RE: IRREVOCABLE LIFETIME
TRUST OF WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated March 26,1984
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. of
NOTICE TO THE ATTORNEY GENERAL
OF THE COMMONWEALTH OF PENNSYLVANIA
Pursuant to Rule 5.5 of the Pennsylvania Supreme Court Orphans' Court Rules, we
wish to advise you of the filing of the "Petition to Terminate the Irrevocable Lifetime Trust of
William Edwin Naugle for the Benefit of his Grandchildren dated March 26, 1984 Pursuant to 20
Pa.C.S.A. §§ 7740.1(b), 7740.2(a), and 7740.3(e)" with the Orphans' Court Division of the Court of
Common Pleas of Cumberland County contemporaneously with the service of this Notice upon the
Office of the Attorney General. At this time, it is unknown when the matter is to be heard by the court.
Pursuant to the above-referenced Rule, the following information is provided:
The Settlor of the Trust is William Edwin Naugle, deceased (the "Settlor"),
who executed the Trust on March 26, 1984.
2. A copy of the Petition is attached hereto, with a copy of the Trust attached to
the Petition as Exhibit "A".
718302.1
3. The name and address of the specific charity that may be affected by these
proceedings is:
a. Messiah College, One College Avenue, P.O. Box 3013, Cumberland
County, Grantham, PA 17027.
4. Pursuant to Article SECOND of the Trust, the Trustee was directed to
invest the initial Trust Res in thirty-year government bonds paying at least twelve percent
interest (the "Bonds"), so as to guarantee that Settlor's grandchildren (the "Income
Beneficiaries") receive an annual return of at least five thousand ($5,000.00) dollars for the
thirty-year term of the Bonds. As each grandchild dies, the deceased Income Beneficiary's share
of the income of the Trust becomes payable to Messiah College. Upon the death of the last
Income Beneficiary, the remaining income and principal of the Trust is to be distributed to
Messiah College. On August 15, 2008, the Bonds were called and the Trust received cash
proceeds. When the proceeds of the Bonds are invested, the annual income from the Trust for
each grandchild will drastically decrease from about five thousand ($5,000.00) dollars to roughly
one thousand two hundred ($1,200.00) dollars, which equates to a seventy-six (76%) percent
decrease in the annual return to the Income Beneficiaries. The dramatic decrease in the annual
return to the Income Beneficiaries has undermined Settlor's intentions in establishing the Trust.
As the purpose of the Trust to provide significant income to the grandchildren is no longer
attainable, the Income Beneficiaries and the Trustee desire to terminate the Trust pursuant to 20
Pa.C.S.A. §§ 7740.1(b), 7740.2(a), and 7740.3(e) of the Probate, Estates and Fiduciaries Code
so as to further the purpose of the Trust.
5. The fair mazket value of the Trust is $335,000.00, of which the
approximate value of the remainder interest of the Trust Messiah College will receive is
$120,503.01 (Final distribution amounts will vary depending upon the net value for distribution
at date of termination of the Trust.)
6. There aze neither unresolved claims nor material questions of interpretation
or distribution.
7. The Trust named Messiah College as Trustee. The address of Messiah
College, One College Avenue, P.O. Box 3013, Cumberland County, Grantham, PA 17027.
8. Counsel to the Trustee is Rhoads & Sinon LLP, One South Market Square,
P. 0. Box 1146, Harrisburg, Pennsylvania 17108-1146.
9. All Income Beneficiaries to the Trust, as well as the Trustee, have
executed Consents to the Petition to Terminate the Trust. Copies of the Consents aze attached to
the Petition as Exhibit "C".
] 0. No counsel has appeazed on behalf of the Income Beneficiaries. The Income
Beneficiaries have received, via certified mail at the addresses listed above, written notice of the
proceedings.
Any questions with regard to the Schedule of Proposed Distribution of the Trust
Assets (attached as Exhibit "A" to the Consents) should be addressed to the undersigned.
BROADS & SINON LLP
By
tanley A. Smith, Esquire
Joshua B. Beisker, Esquire
One South Market Square
P.O. Box 1146
Harrisburg, PA 1 7 1 08-1 1 46
(717)233-5731
Attorneys for Tmstee
Date: December 11, 2008
1N RE: IRREVOCABLE LIFETIME
TRUST OF WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated March 26,1984
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. of
CONSENT TO PETITION FOR TERMINATION OF TRUST
MESSIAH COLLEGE hereby consents to and approves the termination and the
distribution of the assets of the Irrevocable Lifetime Trust of William Edwin Naugle for the
Benefit of Grandchildren dated March 26, 1984 (the "Trust") (including all principal and any
undistributed income) to the beneficiaries named in the Trust as described in Exhibit "A"
attached hereto.
Upon the termination of the Trust, Messiah College will receive from the Trust an
amount equal to the remaining balance of the Trust after distribution of the actuarial values of the
Trust has been made to all of the other Beneficiaries named in the Trust as further described in
Exhibit "A" attached.
ATTE~ST~j~,~ MESSIAH COLLEGE
(Asst.) Secretary L Voig
Title: Vice President of Finance
Exhibit "A"
Distribution of Trust Assets
Beneficiary Age Life Estate Share of Estimated Present Value
Factor at 6% Estate of Life Estate
Theresa S. 61 0.63682 $47,857.00 $30,476.29
Hammond
Richard C. 58 0.67478 $47,857.00 $32,292.95
Schwenk,
Jr.
Robert 49 0.77491 $47,857.00 $37,084.87
Edgar
Nau le
William 50 0.76498 $47,857.00 $36,609.65
Edwin
Nau le, III
Kirk A. 46 0.80275 $47,857.00 $38,417.21
Nau le
Deborah 43 0.8278 $47,857.00 $39,616.02
Ann
Cullen
Total Amouut of Trust Assets to Income Beneficiaries $214,496.99
Fair Market Value of Trust on Date of Termination $335,000.00
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Remainder Amount of Trust to Messiah Colle a $120,503.01
(Fair Market Value of Trust / 7) x Life Estate Factor at 6% =Amount of Trust Assets
Received by Income
Beneficiary
Final distribution amounts will vary depending upon the net value for distribution at date of
termination of the Trust.
COMMONWEALTH OF PENNSYLVANIA
COUNTY OF
SS:
On this, the ~ day of /~rythd~'" , 2008, before me, the undersigned officer,
personally appeared LOIS VOIGT, who acknowledged herself to be the Vice President of
Finance of MESSIAH COLLEGE, and that she, as such, being authorized to do so, executed the
foregoing instrument for the purposes therein contained by signing the name of the organization
by herself as Vice President of Finance of Messiah College.
IN WITNESS WHEREOF, I hereunto set my hand and official seal.
~~.~c Y~1 ~s~.~
Notary Publi
My Commission Exp'ves: 0/uD/~~"~~ 509
(SEAL) ~_ ~;,;r,I~FFl~rH or PcN,vsyuVANIA
Notaria: S- eyj
Susan M. Pottiger, Notary Pubfc
MPPer Allen Twp, Cumberland County
__ Y Commiss~or_Expi; es Oct. 27.2009
Member, Pennsylvania A=sociafinn of IVY(arias
IN RE: IRREVOCABLE LIFETIME
TRUST OF WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated Mazch 26,1984
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. of
CONSENT TO PETITION FOR TERMINATION OF TRUST
I, RICHARD C. SCHWENK, JR., hereby consent to and approve of the termination of
and the distribution of the assets of the Irrevocable Lifetime Trust of William Edwin Naugle for
the Benefit of Grandchildren dated Mazch 26, 1984 (the "Trust") (including all principal and any
undistributed income) to the beneficiaries named in the Trust, as further described in Exhibit "A"
attached hereto.
Upon the termination of the Trust, I acknowledge that I will receive from the Trust an
amount equal to the product of 0.67478 multiplied by one-seventh of the net value of the Trust
on the date of termination.
Wit ess
~ ~=~~.
Richazd C. Schwenk, Jf ,
496605.1
Exhibit "A"
Distribution of Trust Assets
Beneficiary Age Life Estate Share of Estimated Present Value
Factor at 6% Estate of Life Estate
Theresa S. 61 0.63682 $47,857.00 $30,476.29
Hammond
Richard C. 58 0.67478 $47,857.00 $32,292.95
Schwenk,
Jr.
Robert 49 0.77491 $47,857.00 $37,084.87
Edgar
Nau le
William 50 0.76498 $47,857.00 $36,609.65
Edwin
Nau le, III
Kirk A. 46 0.80275 $47,857.00 $38,417.21
Nau le
Deborah 43 0.8278 $47,857.00 $39,616.02
Ann
Cullen
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Fair Market Value of Trust on Date of Termination $335,000.00
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Remainder Amount of Trust to Messiah Colle a $120,503.01
(Fair Market Value of Trust / 7) x Life Estate Factor at 6% =Amount of Trust Assets
Received by Income
Beneficiary
Final distribution amounts will vary depending upon the net value for distribution at date of
termination of the Trust.
STATE OF ~~
~'~6STE~ SS:
COUNTY OF
On this, the ~ S ~ day of NO U ~jy ~~ /~ , 2008, before me, the undersigned
officer, personally appeared RICHARD E. SCHWENK, known to me (or satisfactorily proven)
to be the person whose name is subscribed to the within instrument, and acknowledged that he
executed the same for the purposes therein contained.
IN WITNESS WHEREOF, I hereunto set my hand and official seal.
No y P is /j d~/' n
My Commission Expires: C/ ~ /~ C/ 7
(SEAL)
COMMONW LTH OF P Y V
_ NtMmiel Seal
Eastlown 7~wp,~q~8~ R~
MyConrrYs.91on6~IreaJuy10.2009
Member, Penneylvenla AeeoNatlon of Notarke
IN RE: IRREVOCABLE LIFETIME
TRUST OP WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated March 26,1984
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. of
CONSENT TO PETITION FOR TERMINATION OF TRUST
I, WILLIAM EDWIN NAUGLE, III, hereby consent to and approve of the termination of
and the distribution of the assets of the Irrevocable Lifetime Trust of William Edwin Naugle for
the Benefit of Grandchildren dated March 26, 1984 (the "Trust") (including all principal and any
undistributed income) to the beneficiaries named in the Trust, as further described in Exhibit "A"
attached hereto.
Upon the termination of the Trust, I acknowledge that I will receive from the Trust an
amount equal to the product of 0.76498 multiplied by one-seventh of the net value of the Trust
on the date of termination.
`~~ ~ Q a'1~.1',v~ ply
Witness
~~~~
William Edwin Naugle, II
496605.1
Exhibit "A"
Distribution of Trust Assets
Beneficiary Age Life Estate Share of Estimated Present Value
Factor at 6% Estate of Life Estate
Theresa S. 61 0.63682 $47,857.00 $30,476.29
Hammond
Richard C. 58 0.67478 $47,857.00 $32,292.95
Schwenk,
.Ir.
Robert 49 0.77491 $47,857.00 $37,084.87
Edgar
Nau le
William 50 0.76498 $47,857.00 $36,609.65
Edwin
Nau le, III
Kirk A. 46 0.80275 $47,857.00 $38,417.21
Nau le
Deborah 43 0.8278 $47,857.00 $39,616.02
Ann
Cullen
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Fair Market Value of Trust on Date of Termination $335,000.00
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Remainder Amount of Trust to Messiah Colle a $120,503.01
(Fair Market Value of Trust / 7) x Life Estate Factor at 6"/0 =Amount of Trust Assets
Received by Income
Beneficiary
Final distribution amounts will vary depending upon the net value for distribution at date of
termination of the Trust.
STATE OF ~~
COUNTY OF F~QlI IL li ~^
SS:
On this, the G~ 5 day of / V ~ Ve/~I~ ~ , 2008, before me, the undersigned
officer, personally appeared WILLIAM EDWIN NAUGLE, III, known to me (or satisfactorily
proven) to be the person whose name is subscribed to the within instrument, and acknowledged
that he executed the same for the purposes therein contained.
IN WITNESS WHEREOF, I hereunto set my hand and official seal.
COPAMONV'JEA~~ H O"r ?e;Vti~ i~_`_:;:.~i,__--
Notarial Seal Public
Stacey N. Mowery, Notary I
Shippensburg Bom, FranMin County I
M C mmiasion Fx n'soNation o12lJotaries
Membe•. ~:nas~"
f~tiG~i. c~~ r / ~i~'~~~~°
N y Pu lic ~ ~~-
My Commission Expires:
(SEAL)
IN RE: IRREVOCABLE LIFETIME
TRUST OF WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated Mazch 26,1984
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. of
CONSENT TO PETITION FOR TERMINATION OF TRUST
I, DEBORAH ANN CULLEN, formerly Deborah Ann Naugle, hereby consent to and
approve of the termination of and the distribution of the assets of the Irrevocable Lifetime Trust
of William Edwin Naugle for the Benefit of Grandchildren dated March 26, 1984 (the "Trust")
(including all principal and any undistributed income) to the beneficiazies named in the Trust, as
further described in Exhibit "A" attached hereto.
Upon the termination of the Trust, I acknowledge that I will receive from the Trust an
amount equal to the product of 0.8278 multiplied by one-seventh of the net value of the Trust on
the date of termination.
Witn
~~~ a~~~ c~~~-~
Deborah Ann Cullen
718303.1
Exhibit "A"
Distribution of Trust Assets
Beneficiary Age Life Estate Share of Estimated Present Value
Factor at 6% Estate of Life Estate
Theresa S. 61 0.63682 $47,857.00 $30,476.29
Hammond
Richard C. 58 0.67478 $47,857.00 $32,292.95
Schwenk,
Jr.
Robert 49 0.77491 $47,857.00 $37,084.87
Edgar
Nau le
William 50 0.76498 $47,857.00 $36,609.65
Edwin
Nau le, III
Kirk A. 46 0.80275 $47,857.00 $38,417.21
Nau le
Deborah 43 0.8278 $47,857.00 $39,616.02
Ann
Cullen
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Fair Market Value of Trust on Date of Termination $335,000.00
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Remainder Amount of Trust to Messiah Colle a $120,503.01
(Fair Market Value of Trust / 7) x Life Estate Factor at 6% = Amount of Trust Assets
Received by Income
Beneficiary
Final distribution amounts will vary depending upon the net value for distribution at date of
termination of the Trust.
STATE OF ~ClI2/'h$z~~~C~~C:~
SS:
COUNTY OF ~~~~~( ~CL~-tL~ .
On this, the day of , 2008, before me, the undersigned
officer, personally appeared DEBORAH ANN CULLEN, known to me (or satisfactorily proven)
to be the person whose name is subscribed to the within instrument, and acknowledged that she
executed the same for the purposes therein contained.
IN WITNESS WHEREOF, I hereunto set my handJand offici 1 seal.
Notary Public
My Commission Expires:
(SEAL)
ea~e-w~r~~a eF aErx~sw_va~xn
NolerlN Seal
CyMhla L. Dan, Notary Public
South MltldleDtln lkp., Cumbanantl County
Nly Commhabn Ecplna Nov, 2, 2012
PerwaylvlaYs Auoddgayi W
IN RE: IRREVOCABLE LIFETIME
TRUST OF WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated Mazch 26,1984
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. of
CONSENT TO PETITION FOR TERMINATION OF TRUST
I, THERESA S. HAMMOND, hereby consent to and approve of the termination of and
the distribution of the assets of the Irrevocable Lifetime Trust of William Edwin Naugle for the
Benefit of Grandchildren dated March 26, 1984 (the "Trust") (including all principal and any
undistributed income) to the beneficiaries named in the Trust, as further described in Exhibit "A"
attached hereto.
Upon the termination of the Trust, I acknowledge that I will receive from the Trust an
amount equal to the product of 0.63682 multiplied by one-seventh of the net value of the Trust
on the date of termination.
f' n
Witness ,'nvA"U
c=~c~%Lf/LF,~/n~, T~~~
Theresa S. Hammond c
c~cr 3~, aaa,'
496605.1
Exhibit "A"
Distribution of Ttust Assets
Beneficiary Age Life Estate Share of Estimated Present Value
Factor at 6% Estate of Life Estate
Theresa S. 61 0.63682 $47,857.00 $30,476.29
Hammond
Richard C. 58 0.67478 $47,857.00 $32,292.95
Schwenk,
Jr.
Robert 49 0.77491 $47,857.00 $37,084.87
Edgar
Nau le
William 50 0.76498 $47,857.00 $36,609.65
Edwin
Nau le, III
Kirk A. 46 0.80275 $47,857.00 $38,417.21
Nau le
Deborah 43 0.8278 $47,857.00 $39,616.02
Ann
Cullen
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Fair Market Value of Trust on Date of Termination $335,000.00
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Remainder Amount of Trust to Messiah Colle a $120,503.01
(Fair Market Value of Trust / 7) x Life Estate Factor at 6% =Amount of Trust Assets
Received by Income
Beneficiary
Final distribution amounts will vary depending upon the net value for distribution at date of
termination of the Trust.
STATE OF ~ V e-c~,~1 .
COUNTY OF CAS .
s~-
On this, the _~_ day of l~c~o~~ 2008, before me, the undersigned
officer, personally appeared THERESA HAMMOND, known to me (or satisfactorily proven) to
be the person whose name is subscribed to the within instrument, and acknowledged that she
executed the same for the purposes therein contained.
IN WITNESS WHEREOF, I hereunto set m~ %and official seal. ~\~
_./ Notary Public
My Commission Expires: ~ ~~~, S~~Zp~
(SEAL)
OFFICIAL SEAL
SANDRA D HULL
NOTARY PUBLIC-OREGON
COMMISSION N0.418064
,~~ MY COMMISSIONE%PIRESJUNE5,2011
IN RE: IRREVOCABLE LIFETIME
TRUST OF WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated Mazch 26,1984
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. of
CONSENT TO PETITION FOR TERMINATION OF TRUST
I, KIRK A. NAUGLE, hereby consent to and approve of the termination of and the
distribution of the assets of the Irrevocable Lifetime Trust of William Edwin Naugle for the
Benefit of Grandchildren dated Mazch 26, 1984 (the "Trust") (including all principal and any
undistributed income) to the beneficiaries named in the Trust, as further described in Exhibit "A"
attached hereto.
Upon the termination of the Trust, I acknowledge that I will receive from the Trust an
amount equal to the product of 0.80275 multiplied by one-seventh of the net value of the Trust
on the date of termination.
Witness
/,'"~ /k~~~-
Kirk A. Naugle
49fi605.1
Exhibit "A"
Distribution of Trust Assets
Beneficiary Age Life Estate Share of Estimated Present Value
Factor at 6% Estate of Life Estate
Theresa S. 61 0.63682 $47,857.00 $30,476.29
Hammond
Richard C. 58 0.67478 $47,857.00 $32,292.95
Schwenk,
Jr.
Robert 49 0.77491 $47,857.00 $37,084.87
Edgar
Nau le
William 50 0.76498 $47,857.00 $36,609.65
Edwin
Nau le, III
Kirk A. 46 0.80275 $47,857.00 $38,417.21
Nau le
Deborah 43 0.8278 $47,857.00 $39,616.02
Ann
Cullen
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Fair Market Value of Trust on Date of Termination $335,000.00
Total Amouut of Trust Assets to Income Beneficiaries $214,496.99
Remainder Amount of Trust to Messiah Colle a $120,503.01
(Fair Market Value of Trust / 7) x Life Estate Factor at 6% =Amount of Trust Assets
Received by Income
Beneficiary
Final distribution amounts will vary depending upon the net value for distribution at date of
termination of the Trust.
496605.1
STATE OF ~Qr'~ n s~ ~~a~,c-~ Gam-- .
n ~a~ J SS:
COUNTY OF C~~1u- ~j(
On this, the ~~~~-/ day of<~ /~' 2008, before me, the undersigned
officer, personally appeared KIRK A. NAUGLE, known to me (or satisfactorily proven) to be
the person whose name is subscribed to the within instrument, and acknowledged that he
executed the same for the purposes therein contained.
IN WITNESS WHEREOF, I hereunto set my d and I~icial se
Notary c
My Commission Expires:
(SEAL)
pWSYL ANIA
Newer w
CpriM L Den, NrnY Pl~ee
seWw~ ..~2
MemOtir. PwnM+~e ~~p~leNrn of lbtsrks
IN RE: IRREVOCABLE LIFETIME
TRUST OF WILLIAM EDWIN NAUGLE
FOR THE BENEFIT OF
GRANDCHILDREN dated Mazch 26,1984
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY
COMMONWEALTH OF PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. of
CONSENT TO PETITION FOR TERMINATION OF TRUST
I, ROBERT EDGAR NAUGLE, hereby consent to and approve of the termination of and
the distribution of the assets of the Irrevocable Lifetime Trust of William Edwin Naugle for the
Benefit of Grandchildren dated Mazch 26, 1984 (the "Trust") (including all principal and any
undistributed income) to the beneficiaries named in the Trust, as further described in Exhibit "A"
attached hereto.
Upon the termination of the Trust, I acknowledge that I will receive from the Trust an
amount equal to the product of 0.77491 multiplied by one-seventh of the net value of the Trust
on the date of termination.
Witness
~~~/ //car!/
obert Edgaz Naugle
496b05.1
Exhibit "A"
Distribution of Trust Assets
Beneficiary Age Life Estate Share of Estimated Present Value
Factor at 6% Estate of Life Estate
Theresa S. 61 0.63682 $47,857.00 $30,476.29
Hammond
Richard C. 58 0.67478 $47,857.00 $32,292.95
Schwenk,
Jr.
Robert 49 0.77491 $47,857.00 $37,084.87
Edgar
Nau le
William 50 0.76498 $47,857.00 $36,609.65
Edwin
Nau le, III
Kirk A. 46 0.80275 $47,857.00 $38,417.21
Nau le
Deborah 43 0.8278 $47,857.00 $39,616.02
Ann
Cullen
Total Amount of Trust Assets to Income BeneSciaries $214,496.99
Fair Market Value of Trust on Date of Termination $335,000.00
Total Amount of Trust Assets to Income Beneficiaries $214,496.99
Remainder Amount of Trust to Messiah College $120,503.01 ~
(Fair Market Value of Trust / 7) x Life Estate Factor at 6% =Amount of Trust Assets
Received by Income
Beneficiary
Final distribution amounts will vary depending upon the net value for distribution at date of
termination of the Trust.
STATE OF Q~
COUNTY OF ~ fa (~~LI i ,~
SS:
On this, the ~~ day of ~/C~~-C~i~ , 2008, before me, the undersigned
officer, personally appeazed ROBERT EDGAR NAUGLE, known to me (or satisfactorily
proven) to be the person whose name is subscribed to the within instrument, and acknowledged
that he executed the same for the purposes therein contained.
1N WITNESS WHEREOF, I hereunto set my hand and official seal.
ewe \
Iy tary ubh
My Commission xpires:
(SEAL)
COMM ALTH OF PENNSYLVANIA
NoMrial Seal
Stacey N. Mowery, Notary P~lic
9hiPPenstnx9 Born, Frenklin County
ml i ov. 9
Member, Femsytnania Association of Notaries
VERIFICATION
I, LOIS VOIGT, verify that I am a representative of Petitioner in the within
petition, and that the facts contained in the foregoing petition are true and correct to the best of
my knowledge, information and belief; and that this verification is subject to the penalties of 18
Pa. C.S.A. §4904 relative to unsworn falsification to authorities.
Date: ~ ~ ,2008'
Lois V gt
CERTIFICATE OF SERVICE
I hereby certify that on this 11`h `h day of December, 2008, a true and correct copy of the
foregoing Petition to Terminate the Irrevocable Lifetime Trust of William Edwin Naugle for the
Benefit of His Grandchildren dated March 26, 1984 was served by means of United States mail,
certified, return receipt requested, upon the following:
Messiah College OFFICE OF ATTORNEY GENERAL
Attn: Lois Voigt, Charitable Trusts and Organizations Section
Vice President of Finance Commonwealth of Pennsylvania
One College Avenue 14th Floor, Strawberry Squaze
P.O. Box 3013 Harrisburg, PA 17120
Grantham, PA 17027
Ms. Theresa S. Hammond Mr. Richard C. Schwenk, Jr.
390 4`h St. SW 141 West Picket Post Lane
Bandon, OR 97411-9626 Phoenixville, PA 19460
Mr. Robert E. Naugle Mr. William E. Naugle III
9713 Forest Ridge Road 870 Remington Drive
Shippensburg, PA 17257 Shippensburg, PA 17257
Kirk A. Naugle Ms. Deborah A. Cullen
1100 Remington Drive 609 W. King Street
Shippensburg, PA 17257 Shippensburg, PA 17257
c
Cindy Leitze' 1