HomeMy WebLinkAbout02-05-09
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IN RE: ESTATE OF ROBERT A. BRADER, IN THE COURT OF COMMON PLEAS OF
Late of the Borough of New Cumberland CUMBERLAND COUNTY, PENNSYLVANIA
ORPHANS' COURT DIVISION
• NO. 21-08-0895
PETITION TO APPROVE TERMINATION OF A TRUST
To the Honorable Judges of the Orphans' Court Division:
Petitioners, Mary A. Brader and Steven R. Brader, through their counsel, Johnson,
Duffle, Stewart & Weidner, respectfully state the following in support of this Petition to Approve
Termination of a Trust:
Petitioners are Mary A. Brader and Steven R. Brader, adult individuals who reside
at 2 Center Drive, Camp Hill, Pennsylvania 1701 1.
2. Robert A. Brader ("Decedent"), died on July 17, 2008, survived by his wife,
Petitioner Mary A. Erader, and his son, Petitioner Steven R. Brader.
3. On September 3, 2008, the Register of Wills appointed Steven R. Brader Executor
of Decedents Will dated December 1, 1997, a copy of which is attached as Exhibit ~ g
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4. Article IV of Decedent's Will directs the distribution of the residue of the estate to
a Trustee of a Trust which requires the payment of income (and so much of principal as is
necessary for her support) to Petitioner, Mary A. Brader, for the rest of her life, and at her death,
the Trust estate is to be distributed to Decedent's son, Steven R. Brader.
5. The Trust is a "credit by-pass" trust designed to minimize federal estate taxes.
6. Since the date of the execution of Decedent's Will in 1997, the federal estate tax
law has been amended, and the tax savings purpose for which the credit by-pass Trust was
originally created no longer exists.
7. The residue of the Decedent's Estate available to fund the Trust is approximately
$450,000.00, subject to payment of the applicable debts, liabilities, expenses and costs of
administration.
8. Petitioner Mary A. Brader is the Current Beneficiary, and Steven R. Brader is the
Qualified Beneficiary of the Trust under §7723 of the Uniform Trust Code, 20 Pa. C.S.A. §7701
et seg. ("Code")
9. Pursuant to §7740.1(b) of the Code, the funding of the Trust is not necessary to
reduce federal estate taxes, a material purpose of the Trust.
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10. Pursuant to §7740.2 of the Code the change in the federal estate tax law
constitutes a circumstance arising after the execution of Decedent's Will, not anticipated by the
Decedent.
11. Manufacturers and Traders Trust Company, successor to Dauphin Deposit Bank
and Trust Company, is the Trustee appointed in Decedent's will.
12. Manufacturers and Traders Trust Company has renounced its right to serve as
Trustee and consents to the termination of the Trust, which Renunciation and Consent is attached
as Exhibi± B.
13. Pursuant to § 7740.1(c), your Petitioners and beneficiaries of the Trust have
agreed that upon approval of this Petition, the assets otherwise distributable to the Trustee shall
be distributed directly to Mary A. Brader, Decedent's surviving spouse and the Current
Beneficiary, free of Trust.
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WHEREFORE, your Petitioners respectfully request this Honorable Court to enter a
decree directing that the Trust under Article 1V of Decedent's Will be disregarded and the
residuary assets of the Decedent's estate be distributed to Mary A. Brader, Decedent's surviving
spouse and Current Beneficiary.
Respectfully submitted
JOHNSO/N~p, ~D~U~F~F~L~Ep,STEWART & WEIDNER
Edmund G. Myers
I.D. No. 20558
30] Market Street
P.O. Box 109
Lemoyne, PA 17043
(717)761-4540
Attorney for Petitioner
353290x3
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VERIFICATION
The undersigned, verifies that the statements made in the foregoing Petition are true and
correct and that false statements may subject the undersigned to the penalties of 18 Pa. C.S.
§4804.
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Date: ~ ~ 3 ~ Oy ~~ ~l,,J---
Steven R. Brader
VERIFICATION
The undersigned, verifies that the statements made in the foregoing Petition are true and
correct and that false statements may subject the undersigned to the penalties of 18 Pa. C.S.
§4804.
Date: 2 ~ 3 (~ ~ `' % ~ ~',. ,~~~-~-rC-~//
Mary A. Brader
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OF
ROBERT A. BRADER
I, ROBERT A. BRATiER, of the Borough of New Cumberland, Cumberland County,
Pennsylvania, being of sound and disposing mind, memory and understanding, do hereby make, publish and
declaze this as and for my Last Will and Testament, hereby revoking and making void any and all Wills or
Codicils at any time heretofore made by me.
ARTICLE I
I direct the payment of all my legal debts, and the expenses of my last illness and funeral from my
Estate as soon after my death as conveniently may be done. I authorize my Executrix or successor to
expend funds from my Estate for the purchase, erection and inscription of a suitable grave marker. All the
foregoing shall be considered expenses of the administration of my Estate.
ARTICLE II
I give and bequeath my automobile(s), household goods, personal effects and other tangible
personality of like nature (not including cash or securifies), together with any existing insurance thereon,
unto my wife, MARY A. BRADER, provided she survives me by thirty (30) days. In the event that my
wife, MARY A. BRADER, is not living on the thirty-first (31st) day following my death, I give and
bequeath such tangible personalty and insurance thereon unto my son, STEVEN R. BRADER.
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,..~ ARTICLE III ' .
If my wife, MARY A. BRADER, survives me (and I direct that for the purposes of this Article of
my Will she shall be deemed to have survived me unless it appears unmistakably that she predeceased me),
and if the federal estate tax due because of my death will be reduced by making this gift for her benefit, I
give, devise and bequeath unto my said wife, MARY A. BRADER, the least amount (based upon values as
finally determined for federal estate tax purposes) as shall be needed for the federal estate tax unlimited
marital deduction to reduce the federal estate tax to the lowest possible figure after full use of all other
deductions and credits allowable in calculating the federal estate tax. However, the state death tax credit
shall only be taken into account to the extent that it does not increase the amount of tax payable to any state.
Accordingly, I direct that:
A. If the marital deduction, or any other similaz benefit, is allowable with respect to any
property, including property held by entireties, which my wife, MARY A. BRADER, has
received prior to my death or at my death will receive otherwise than pursuant to this
Article III, the value of such property shall be taken into consideration in calculating the
size of the gift under this Article III.
B. No property ineligible for the marital deduction, or any similar benefits, shall be distributed
to this gift for my wife, MARY A. BRADER pursuant to this Article III.
C. Either cash or investments or both maybe allocated to any gift under this Article III.
D. Any property allocated under this Article III in kind shall be valued at the value which it is
finally included in my gross estate for federal estate tax purposes, provided that the
aggregate market value thereof on the date of allocafion (plus the value as fmally
determined for federal estate tax purposes of all other property qualifying for the marital
deduction) is at least equal to the dollar value of the marital deduction as finally determined
for federal estate tax purposes.
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E~ If any provision of my Will s1iaY1 resuit'in depriving my estate of the marital deduction for
federal estate tax purposes, such provision is hereby revoked and my Will shall be read as
if any portion thereof inconsistent with allowance of the marital deduction for federal estate
tax purposes is null and void.
ARTICLE IV
If my wife, MARY A. BRADER, survives me, I give, devise and bequeath all the rest, residue, and
remainder of my Estate, of whatsoever nature and wheresoever situate, unto my Trustee hereinafter named;
IN TRUST, however to hold, manage, invest and reinvest the same for the following purposes:
A. To pay the net income therefrom at least as often as quarter-annually unto my wife,
MARY A. BRADER, for and during her lifetime.
B. As much of the principal of this Trust as Trustee in its sole discretion may from time to
time think advisable for my wife's health, maintenance, and support to maintain her in the
station of life to which she is accustomed at my death, or during her illness or emergency,
shall be either paid to her or else applied directly for her benefit by my Trustee after taking
into account other assets and sources of income available to her.
C. Trustee may apply the net income of this Trust for the support of my wife, MARY A.
BRADER, should she by reason of age, illness or any other cause in the opinion of my
Trustee be incapable of disbursing it.
D. Upon the death of my wife, MARY A. BRADER, I direct my Trustee to distribute the
balance of principal and undistributed income thereof unto my son, STEVEN R.
BRADER If my son, STEVEN R. BRADER, is not living at the time of my wife's
death, I direct the Trustee distribute the balance of principal and undistributed income as
follows:
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(1) one-half thereof unto my grandson, JOHN S. BRADER; and
(2) one-half thereof unto Dauphin Deposit Bank and Trust Company in further Trust,
to hold, invest, manage, and reinvest the same for the benefit of my daughter-in-law,
BEVERLY A. BRADER, and to pay the net income therefrom unto my daughter-in-law,
BEVERLY A. BRADER for and during the term of her natural life. Upon the death of
my daughter-in-law, BEVERLY A. BRADER, or should she not be living at the time of
my wife's death, I direct that the Trustee shall distribute the balance of principal and
undistributed income unto my grandson, JOHN S. BRADER, if living, and if not living,
then unto his then-living issue, per stirpes, by representafion. In the event that my
grandson, JOHN S. BRADER, is not living at the time of my wife's death and is not
survived by then-living issue, I direct that the Trustee distribute the balance of principal
and the undistributed income unto ST. PAUL'S LUTHERAN CHURCH, 524 Bridge
Street, New Cumberland, Pennsylvania.
ARTICLE V
If my wife, MARY A. BRADER, fails to survive me, I direct the following:
A. I give and bequeath the sum of Ten Thousand ($10,000.00) Dollazs unto ST. PAUL'S
LUTHERAN CHURCH, 524 Bridge Street, New Cumberland, Pennsylvania;
B. I give and bequeath the sum of Fifty Thousand ($50,000.00) Dollars unto my grandson,
JOHN S. BRADER; and
C. I give, devise and bequeath all the rest, residue and remainder of my Estate, of whatsoever
nature and wheresoever situate, unto my son, STEVEN R. BRADER.
D. If my son, STEVEN R BRADER, fails to survive me, I give, devise and bequeath all the
rest, residue and remainder of my Estate, of whatsoever nature and wheresoever situate as
follows:
1. One-half thereof unto my grandson, JOHN S. BRADER; and
2. One-half thereof unto DAUPHIN DEPOSIT BANK AND TRUST COMPANY,
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in TRUST, to hold, invest, manage and reinvest the same for the benefit of my daughter-
in-law, BEVERLY A. BRADER and to pay the net income therefrom unto my daughter-
in-law, BEVERLY A. BRADER, for and during the term of her natural life. Upon the
death of my daughter-in-law, BEVERLY A. BRADER or should she not survive me, I
direct that the Trustee distribute the balance of principal and undistributed income unto my
grandson, JOHN S. BRADER, if living, and if not living, then unto his then-living issue,
per stirpes per representation. In the event that my grandson, JOHN S. BRADER, is not
living at the time for distribution and is not survived by then-living issue, I direct that the
Trustee distribute the balance of principal and net undistributed income unto ST. PAUL'S
LUTHERAN CHURCH, 524 Bridge Street, New Cumberland, Pennsylvania.
ARTICLE VI
Should any person entitled to a shaze of my estate not have reached the age of twenty-five (25)
years at the time for distribution to him or her, I devise and bequeath the share of each such person unto my
TRUSTEE hereafter named, IN SEPARATE TRUST, to hold, manage, invest and reinvest the shaze so
received, and to use and apply the income and principal, or so much thereof, as in Trustee's discretion, may
be necessary to appropriate for such beneficiary's support and education (including college education,
graduate and undergraduate and vocational training), without regard to his or her ability to provide for such
support or education or to make payment for these purposes, without fi.n-they responsibility, to such
beneficiary or to any person taking care of such beneficiary. At such time as the beneficiary attains the age
of twenty-one (21) years, Trustee shall pay the net income therefrom unto him or her unfil said beneficiary
attains the age of twenty-five (25) yeazs, at which time Trustee shall distribute the then-remaining principal
and any income accumulated thereon unto such beneficiary absolutely, at which time the Trust as to that
beneficiary shall terminate. In the event any beneficiary dies before receiving his or her final distribution
hereunder, such beneficiary's Trust shall terminate and the balance of principal and income shall be
distributed to his or her personal representative.
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ARTICLE VII
If at any rime during the continuance of any trust created hereunder, the Trustee, in its sole and
absolute discretion, determines that the size of any individual Trust has become so small as to be
impracfical to continue to hold in Trust and uneconomical to continue to administer as a Trust, then in such
circumstances, the Trustee may, without further authorization, distribute the balance of the principal and
income in such Trust to the beneficiary then-entitled to the income therefrom, and upon such distribution,
the Trustee shall be released from further obligafion with respect to that Trust and shall not be subject to any
claim from any person who may have had a future interest in such Trust had it been continued in Trust.
ARTICLE VIII
The interest of the beneficiaries hereunder or the beneficiaries of any Trust created herein shall not
be subject to anticipation or to voluntary or involuntary alienafion.
ARTICLE IX
I direct that all death taxes shall be paid from my residuary estate passing under Article IV (or
Article V, as the case may be) of this Will or, to the extent determined by my Personal Representative, by
the Trustee from property (if any) distributable directly to the Trustee. In no event shall the payment
thereof (i) reduce or otherwise affect the amount (if any) distributable under Article III except to the extent
that property remaining in my gross estate after satisfaction or provision for satisfaction of all debts and
expenses of administration, and all inter vivos and testamentary dispositions (other than under Article N or
Article V) of property included in such gross estate which do not qualify for the federal estate tax marital
deduction, shall be insufficient to satisfy all death taxes in full and (ii) be made from any property which is
not includible in my estate for the purposes of one or more of such death taxes and which would be so i
includible if used for such payment.
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ARTICLE X
My Personal Representafive and Trustee shall have the following powers in addition to those vested
in them by law and by other provisions of my Will applicable to all property, whether principal or income,
including property held for minors, exercisable without court approval and effective until actual distribution
of all property:
A. To have full authority to deal with any business interest as freely as I might in my lifetime.
B. To make distribution in cash or in kind, or partly in cash and partly in kind, and in such
manner as they may determine.
C. To retain any or all of the assets of my estate, real or personal, without restriction to
investments authorized for Pennsylvania fiduciaries, as they deem proper, without regard to
any principle of diversification or risk.
D. To invest in all forms of property without restriction to investments authorized for
Pennsylvania fiduciaries, as they deem proper, without regazd to any principle of
diversification or risk.
E. To sell at public or private sale, to exchange, or to lease for any period of time any real or
personal property and to give options for sales, exchanges or leases, for such prices and
upon such terms or conditions as they deem proper.
F. To allocate receipts and expenses to principal or income or partly to each as they from time
to time think proper.
G. To borrow from or to sell to my Tmstee even though such Trustee may be my personal
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representative.
H. To compromise any claim or controversy.
ARTICLE XI
I name, consttute and appoint DAUPHIN DEPOSIT BANK AND TRUST COMPANY, Trustee
of any Trust created by me in this my Last Will.
ARTICLE XII
I name, constitute and appoint my wife, MARY A. BRADER, Executrix of this my Last Will and
Testament. In the event my wife, MARY A. BRADER, fails to qualify of ceases to so act, I name,
constitute and appoint my son, STEVEN R. BRADER, Alternate-Executor to complete the administration
of my Estate. Should my son, STEVEN R. BRADER, also fail to qualify or cease to so act I name,
constitute and appoint DAUPHIN DEPOSIT BANK AND TRUST COMPANY Alternate-Executor to
complete the administration of my estate. I direct that no fiduciary appointed herein shall be required to
i post bond for the faithful administration of the duties required in any jurisdiction.
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IN VG'i/T///NESS WgH~EREO'F, I have hereunto set my hand and seal to this,gmy~Last ~'Wi11~an$~~~
Testament, thislJlyday of p-rc~„~,(lt,,. , 1997.
%'~` Q' ~ /~u:~L~/iz~ (SEAL)
ROBERT A. BRADER
SIGNED, SEALED, PUBLISHED AND DECLARED by the above-named Testator, as and for
his Last Will and Testament, in the presence of us, who at his request, in his presence and in the presence of
each other, have hereunto subscribed our names as witnesses.
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` ACIQVOV4'LEDGMENT
COUNTY OF CUMBERLAND
COMMONWEALTH OF PENNSYLVANIA
SS
We, ROBERT A. BRADER, ~/yILGA~ (,_ ~F,Q~ and S/~[.(J`r ~f, /~/~2,b /
the Testator and the witnesses, respectively, whose names are signed to the attached or foregoing
instrument, being first duly swom, do hereby declare to the undersigned authority that the Testator signed
and executed the instnment as his Last Will and that he had signed willingly and that he executed it as his
free and voluntary act for the purposes therein expressed, and that each of the witnesses, in the presence and
hearing of the Testator, signed the Will as witness and that to the best of his/her ]mowledge the Testator was
at that time eighteen years of age or older, of sound mind and under no constraint or undue influence.
~iNl~.Ti /ifi i ,Cy/~2'.CC~7/
ROBERT A. BRADER
Witness
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Wi ess~
Subscribed, swom to and aclmowledged before me by ROBERT A. BRADER, Testator, and
F1)~~ rr YYI'~~cr(~,CS and ~5'f3t! 4' ~ ~1/f}2~/
witnesses, this /ate' day of /~L/.lLCA.vK.(12L, , 1997.
~ii^-.i^J ~-l~L~-<<r ~rc„
Notary Publ'
~~- NOIA'R1A-C-SFAL ____
? NINA JUNE DAVIS, Notary Public ...
{ McCoymmssionExuirese0ct 31,1998
1am6er PennsylvanlaAssociation of Notaries
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IN RE: ESTATE OF ROBERT A. BRADER,
Late of the Borough of New Cumberland
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
ORPHANS' COURT DIVISION
NO.21-08-0895
RENUNCIATION AND CONSENT
OF MANUFACTURERS
AND TRADERS TRUST COMPANY
Manufacturers and Traders Trust Company, successor to the Dauphin Deposit Bank and
Trust Company, Trustee of the Trust created in Article IV of the Will of Robert A. Brader dated
December I, 1997, renounces it right to serve as Trustee and consents to the relief requested in
the Petition to Approve Termination of a Trust.
IN WITNESS WHEREOF, the undersigned has caused these presents to be duly
executed on this ~,~~~ day of ~i'l~iLdl~Ru , 2009.
MANUFACTURERS AND
TRADERS TRUST COMPANY:
n /~
Name: JANE; F. l ui~-k L=
Title: ~}1C~ ~r(eSiDEroT
:354033