HomeMy WebLinkAbout01-05-11Fi~FILES\CGrntsU 2104 Huganir\12104.1.petitionsuccessor.wpd
IN RE: WILLIAM L. HUGANIR
DEED OF TRUST DATED
MAY 29, 1998
'_'~
IN THE COURT OF COMMON I~L]~~S OF -=
CUMBERLAND COUNTY, PENI~S~~,VA<N:IA
ORPHANS' COURT DIVISION` ' ' c-~ - -
_t_
No. 21-11-0811 - ~'
_~-;
PETITION FOR THE APPOINTMENT OF A SUCCESSOR TRUSTEE
AND NOW, this 5"' day of January, 2012, comes Frederick I. Huganir, by and through his
attorneys MARTSON DEARDORFF WILLIAMS OTTO GILROY & FALLER ("MARTSON LAW
OFFICES"), and petitions this Court for the appointment of Swarthmore College as successor trustee
effective January 1, 2012, under the William L. Huganir Deed of Trust dated May 29, 1998, and in
support thereof avers as follows:
1. Petitioner Frederick I. Huganir (hereinafter "Petitioner") is an adult individual with
a mailing address of P.O. Box 308, Carlisle, Cumberland County, Pennsylvania.
2. Petitioner's father, William L. Huganir (hereinafter "Settlor"), created a charitable
remainder unitrust (hereinafter "Trust") for the benefit of Swarthmore College, naming his three
sons, Frederick I. Huganir (Petitioner herein), John Huganir and Peter Huganir as co-Trustees (herein
collectively the "Trustees") and income beneficiaries. A true and accurate copy of the trust
document is attached hereto as Exhibit "A."
3. Trustees Peter A. Huganir, John L. Huganir and Petitioner resigned as Trustees of the
Trust as of May 27, 2005 with the expectation that Swarthmore College would serve as successor
Trustee. Swarthmore's serving as successor Trustee did not come to fruition at that time, and Trustee
Frederick I. Huganir has continued to serve as Trustee since then. A true and accurate copy of the
Trustees' resignation is attached hereto as Exhibit "B."
4. Petitioner filed a certain First and Partial Account for the Trust through
June 30, 2011, which Account was confirmed absolutely by this Court on October 11, 2011.
5. Swarthmore College has agreed to serve as successor Trustee effective
January 1, 2012. A true and accurate copy of Swarthmore College's acceptance is attached hereto
as Exhibit "C."
;~
,,
6. The Attorney General of the Commonwealth of Pennsylvania has been informed of
the desired change in Trustee and has consented to the same. A true and accurate copy of a letter
from the Office of the Attorney General, indicating the approval of the proposed change in Trustee,
is attached hereto as Exhibit "D."
WHEREFORE, Frederick I. Huganir requests that this Court enter an Order, without a
hearing, as all parties have consented hereto, approving the resignation of Frederick Huganir, John
Huganir, and Peter Huganir as Trustees of the William L. Huganir Charitable Remainder Unitrust,
discharging them from liability with respect to the William L. Huganir Charitable Remainder
Unitrust and its beneficiaries; and appointing Swarthmore College as as Successor Trustee for the
William L. Huganir Charitable Remainder Unitrust effective January 1, 2012, without bond.
Respectfully Submitted,
MARTSON LAW OFFICES
By:
No V. Otto III, Esquire
Attorney I.D. No. 27763
10 East High Street
Carlisle, PA 17013
(717) 243-3341
Date: ~ I `> I `~~ ~1 ~ ~ Attorneys for Frederick I. Huganir
EXHIBIT "A"
. I I ATTORNEY AT UW
PARNVIEW TOWER • SurtE 423
1150 fIRSI AVEUNE ~-•
- KING uE PRUSSIA. PA 19406
DEED OF TRUST
~ ~~
On this :~`~ day of May, 1998, I, WILLIAM L. HUGANIR, (hereinafter
referred to as "the Donor"), desiring to establish a charitable remainder unitrust, within
the meaning of Section 5 of Rev. Proc. 90-30 and Section 664(d)(2) of the Internal
n _ _ /~., J.. /L. .. -. Cr•... ... f...... ..1 ~.. ... Ii/L. .. ~f~4~"` h.~rn~~~ nrr~~4r+ 1{-~r~ ~I I~•-nir ~ l v.
Chartable Remainder Unitrust No. 1 and designate ,JOHN ``~
HUGANIR and FRED HUGANIR. or the survivors of them, as the Trustees.
1. Funding of (rust i he Uohor transfers to the Trustees the
prcperty described in Section A. and the Trustees accept such property and agree to
Hold. manage. and distribute such property of the Trust under the terms set forth in this
Trust instrument.
2. Payment of Unitrust Amount. In each taxable ~, ::tar of the Trust.
the Trustees shall pay a unitrust amount equal to the lesser of (i) th~~ ~ rust income for
the taxable year. as defined in Section 643(b) of the Code and the regulations
thereunder, or (ii j six percent (6%) of the net fair market value of the assets of the Trust
valued as of the first day of each taxable year of the Trust (the "valuation date") to. my
children PETER HUGANIR. JOHN HUGANIR and FRED HUGANIR (individually, a
Recipient". collectively. "Recipients"), in equal shares during their lifetimes.
Upon the death of a Recipient. the survivor Recipient(s) shall be entitled to
receive the entire unitrust amount. The unitrust amount shall be paid in equal quarterly
installments. Any income of the Trust for a taxable year in excess of the unitrust
~...
amount shall be added to principal. If for any year the net fair market value of the Trust
assets is incorrectly determined, then within a reasonable period after the value is
finally determined for federal tax purposes, the Trust shall pay to the Recipients then
entitle to income (in the case of an undervaluation) or receive from the Recipients then
entitled to income (in the case of an overvaluation) an amount equal to the difference
between the unitrust amount properly payable and unitrust amount actually paid.
3. Pa ment of Federal Estate Taxes and State Death Taxes. The
lifetime unitrust interest of the survivor Recipient wilt continue in effect on the death of
,~,_ c ,.• P').. ..+ +.. rdir, nnl~i .f 1V~n ci ~r~ii~in~ Rcriniant fi imichAS the fUndS fOr oavment ~t
any federal estate taxes or state death taxes for which the Trustees may be liable upon
the death of the first Recipient to die.
4 Proration of the Unitrust Amount. In determining the unitrust
amount. the Trustees shall prorate the same on a daily basis for a short taxable year
and of the taxable year ending with the survivor Recipient's death.
5. Distribution to Charity. Upon the death of the iast survivor vi a i~
Rec~oients. the Trustees shall distribute all of the then principal and income of the Truss
~ ether than any amount due either of the Recipients or their estates under the
previsions above) to SWARTHMORE COLLEGE, Swarthmore, Pennsylvania
thereinafter referred to as "the Charitable Organization"). If the Charitable
Orcan~zat~on ~s not an organization described in Section 170(c), 2055(a), and 2522~a
of the Code at the time when any principal or income of the Trust is to be distributed to
2
it, then the Trustees shall distribute such principal or income to such one or more
organizations described in Section 170(c), 2055(a), and 2522(a) as the Trustees shall
select in their sole discretion.
6. Additional Contributions. If any additional contributions are
marls to the Tn ic+ after the initial rnntrihi itinn, the? i initri ict amni int fnr tha yaar in which
the additicnal contribution is made shall be six percent (6%) of the sum of (a) the net
fair market value of the Trust assets as of the valuation date (excluding the assets so
aaoeo and any InCUrrle if Uf (l, Uf d~pfe(;18IIUrl Uf I, SU(.: 1 cd55~lJ) d! IU .(U) ii lal Ni vN~f tivi-~ i:il
the fair market value of the assets so added that was excluded under (a) that the
number of days in the period that begins with the date of contribution and ends with the
earlier of the last day of the taxable year of the. date of death of the survivor Recipient
bears to the number of days in the period that begins on the first ~~ay of such taxable
year and ends with the earlier of the last day in such taxable ye r or the date of death
of the survivor Recipient. In the case where there is no valuation date after the time of
contribution. the assets so added shall be valued as of the time of contribution.
e- :. V
..: ..: :..._.,.. ... _...±;,,°J... • -,.,... .~..;.. ..~ ~. ~ rr .. ~:. .k.., ~~.., ~ ~!1 alt. -2!. 7e±... .~-. • •-_ _. ... .._
at such time and in such manner as not to subject the Trust to tax under Section 4942
of the Code. Except for the payment of .the unitrust amount. to the Recipients, the
Trustees shall not engage in any act of self-dealing, as defined in Section 494(d), and
shall not make any taxable expenditures, as defined in Section 4945(d). The Trustees
shall not make any investments that jeopardize the charitable purpose of the Trust,
3
g. Power to Terminate Recipient's Interest. Donor retains the right
to revoke or terminate the interest of any Recipient through a Will specifically referring
to this provision.
g. Taxable Year. The taxable year of the Trust shall be the calendar
year.
10. Governing Law. The operation of the Trust shall be governed by
Jthe laws of the Commonwealth or r~nnsyiva~`na.`~ ~ ~ le i rus~cc~, ~ ~.,'r~~e~r, ~= 1~.. ~ -
from exercising any power or discretion granted under said laws that would be
_ _ ___ „i„r,+ , ,;i~., ,L,,~ r.,, ,.~~;F;r•~f;nn of +hc Tri_ICt I In~Pr ~PCtion 664(dl(21 of the Code and
II II.VI IJIJ~GI n vr~u ~ u ~~+ y~~••••~~'••"• ". .• .- ._ .
the corresponding regulations.
11. Limited Power of Amendment. The Trust is irrevocable. The
Trustees. however. shall have the power, acting alone, to amend the Trust in any
manner required for the sole purpose of ensuring the Trust qualified and continues to
qualify as a charitable remainder unitrust within the meaning of Secticn 664(d)(2) of the
Code:. * r _.. r
12. Investment of Trust Assets. Nothing in this Trust instrument
shall be construed to restrict the Trustees from investing the Trust assets in a manner
that could result in the annual realization of a reasonable amount of income or gain
from the sale or disposition of Trust assets.
4
Executed May ,~
In the presence of
~ ~',
1, , ~_ ,
~.~
Wyfness /
Rece,~. ec and Accepted.
;;% ~ ~/
~~-~
Witness
~ ~~~ ~
Li-~~ ~ ,~~~i~~ /~
/ ~ '1
Witness
i ~n~;tr2~~.
'Y
1998.
(SEAL)
WILLIAM L. HUGANIR, Don
(SEAL;
~.~~ ~
Trustee
l~ :~,~,~~ SEAL;
/~ I~
HN'M1.IGANIR, Truste
~~
/" ,~
. /h ~ ,
i ~/
.~~ ,:' -_< ~ ,' ~ CI v, .,.~~ _ i (SEAL';
1
5
~~h,~ ~~' ~ ~S
COMMONWEALTH OF PENNSYLVANIA
SS
COUNTY OF MONTGOMERY
~-~
On the ~" day of ~ , 1998, before. the undersigned, a
Notary Public, personalty appeared WILLIA L. HUGANIR and in due form of law
acknowledged the above instrument to be his act and deed and desired that the same
I tllyl Il C7G I C~.vi ucu'oo au`~.Y r ° ° .
WITNESS my hand and notarial seat.
Notary Public ~~
NOTARIAL SEAL
SHARON J. HAHN, Notary Public
Upper Meson Twp., Montgomery County
M Commission Expires Marcfi 30. 2002
COMMONWEALTH OF PENNSYLVANIA
SS
COUNTY OF MONTGOMERY
__ ,
On the ~ day of , 1998, before the undersigne , a_
_-- -
Notary Public. personally appeared and in due form of laws ~ . r-;<
acknowledged the above instrument to be his act and deed and desired that the same
~_. ~ _ .a,,,.r .,.h
WITNESS my hand and notarial seal.
~/ 1~9
,( . >~`-1
Notary Public
Notarial Seal
Robin A. Babillis, Notary Public
Norristown Boro, Montgomery County
My Commission Expires April 8.2002
AAember, Pennsylvania Association of Notaries
6
COMMONWEALTH OF PENNSYLVANIA SS
COUNTY OF MONTGOMERY '
'yam day of , 1998, before the undersigned, a
On the
Public, personally appeared OHN HUGANI ~ da d and des ed that the same
Notary
acknowledged the above instrument to be hls act an
might be recorded as such.
1
•~..a~.., n, ~4.I~n
IVVIOIy ~ ....~~..
Notarial Seal public
Robin A. Babillis, Notary County
Norristown Boro, Montgomery
My Commission Expires April 8, 2002
Member, Pennsylvania AssociaUpn of Notaries
COMMONWEALTH OF PENNSYLVANIA SS
COUNTY OF MONTGOMERY '
~ da of , 1998, befcre the undersigned, a
On the ~ Y _
~,Intani Pi ~hllr personally appeared RED HUGANIR da d and desired u a ~i iC s°~ "e
ed the above instrument to be hls act and
acknowledg
might be recorded as such.
i,,,.,,,,a .,r..~ nn+~ri71 coal
~, __ _
C.
otary Public
Notarial Seal public
Robin A. Babillis, Notary
Norristown Boro, Mont~oAp~-8 20~0~
My Commission Exp'
Member. Pennsylvarna Associatwn of Notaries
7
EXHIBIT ~B"
William L. Huganir Deed of Trust
Renunciation and Appointment of Trustee
Peter A. Huganir, John L. Huganir and Frederick I. Huganir, for good and mutual
consideration, and for the good of their mutual relationship and for the good of the
remainderman, hereby renounce their appointment as trustees of the William L. Huganir
Deed of Trust, dated May 29, 1998. This renunciation is effective upon full execution by
Peter A. Huganir, John L. Huganir and Frederick I. Huganir.
Trustees:
~ ~ ~ ~ - ..
-O
~ ~~ r
William L. Hu anir, Wi ss and ettlor Peter A. Huganir Date
/ .~.,d'
itnes d Settl r ohn .Huganir
William L. Huganir, W
William L. Huganir, W;
f' , /,/_ // ~/ i
and Settlor
Swarthmore College, of Swarthmore, Pennsylvania, hereby accepts being Trustee
of the William L. Huganir Deed of Trust, and will protect the interests of the income
beneficiaries therein. In the event Swarthmore College deems it desirable to appoint an
alternative or co-Trustee, it shall seek the advice but not necessarily the consent of
William L. Huganir, Settlor.
For Swarthmore College:
Witness
c~~~~ ~- Q
EXHIBIT "C"
F:\FII,ES\Clients\12104 Huganir\12104. Lacceptanceswarthmore.wpd
IN RE: WILLIAM L. HUGANIR
DEED OF TRUST DATED
MAY 29, 1998
No. 21-11-0811
ACCEPTANCE OF TRUST
Swarthmore College, intending to be legally bound hereby, does hereby agree to serve as
successor trustee pursuant to the terms and conditions of the Petition for Appointment of Successor
Trustee in re: William L. Huganir Deed of Trust dated May 29, 1998, which conditions provide for
the service of Swarthmore College without bond.
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
ORPHANS' COURT DIVISION
SWARTHMORE COLLEGE
Date: 2 / ~ /~
~K~ &~~ ~
EXHIBIT "D"
COMMONWEALTH OF PENNSYLVANIA
OFFICE OF ATTORNEY GENERAL
LINDA L. KELLY
ATTORNEY GENERAL
December 27, 2011
Charitable Trusts and
Organizations Section
14th Floor, Strawberry Square
Harrisburg, PA 17120
Telephone: (717) 705-1611
Facsimile: 717-787-1190
hvancerittman@attorneygeneral. gov
No V. Otto, III, Esquire
MARTSON LAW OFFICES
10 East High Street
Carlisle, PA 17013
Re: William L. Hu~anir Deed of Trust dated 5/29/1998; No. 21-11-811; Cumberland County.
Dear Mr. Otto:
This will. acknowledge receipt of your notice pursuant to Supreme Court Orphans' Court Rule
5.5 regarding the above-captioned matter.
I have reviewed the Petition and have no objections. Please forward a copy of the Orphans'
Court Order as soon as it is available so that I can complete my file.
Please be advised that the above review was conducted pursuant to the parens patriae role of the
office and has no bearing on any matter unrelated to that function. Thank you for your time and
attention to this matter.
Sincerely,
~,-~ v - '~
Heather J. Vance-Rittman
Senior Deputy Attorney General
~.~:~:fn
VERIFICATION
The foregoing Petition for the Appointment of a Successor Trustee is based upon information
which has been gathered by my counsel in the preparation of the lawsuit. The language of the
document is that of counsel and not my own. I have read the document and to the extent that it is
based upon information which I have given to my counsel, it is true and correct to the best of my
knowledge, information and belief. To the extent that the content ofthe document is that of counsel,
I have relied upon counsel in making this verification.
This statement and verification are made subject to the penalties of 18 Pa. C.S. Section 4904
relating to unsworn falsification to authorities, which provides that if I make knowingly false
averments, I may be subject to criminal
CERTIFICATE OF SERVICE
I, Melissa A. Scholly, an authorized agent for Martson Deardorff Williams Otto Gilroy &
Faller, hereby certify that a copy of the foregoing Petition for the Appointment of a Successor
Trustee was served this date by depositing same in the Post Office at Carlisle, PA, first class mail,
postage prepaid, addressed as follows:
Jill R. Fowler, Esquire
Heckscher, Teillon, Terrill & Sager P.C.
100 Four Falls, Suite 300
West Conshohocken, PA 19428-2983
Heather J. Vance-Rittman, Esquire
Senior Deputy Attorney General
Commonwealth of Pennsylvania
Charitable Trusts and Organizations Section
14`'' Floor, Strawberry Square
Harrisburg, PA 17120
MARTSON LAW OFFICE
n ~//~
By -~ 7 ~~ C ~~~L.
Meliss A. Scholly
Ten East High Street ~
Carlisle, PA 17013
(717)243-3341
Dated: January 5, 2012