HomeMy WebLinkAbout04-25-12 (2)In re the Edith S. Rife Trust : IN THE COURT OF COMMON PLEAS OF
:CUMBERLAND COUNTY, PENNSYLVANIA
ORPHANS' COURT DIVISION
NO. 11-0325 ORPHANS' COURT''
NO. 10-1006 ORPHANS' COURT
NO. 83-0773 ORPHANS' COURT
ANSWER TO PETITION FOR RULE TO SHOW CAUSE
AND NOW, comes Fred H. Junkins, Executor of the Estate of Charles J. Rife, and
files the following Answer with New Matter to the Petition of Steven A. Maxwell, Barry
Maxwell, Douglas Maxwell, and Sherri Maxwell, as follows:
1. Admitted.
2. - 3. The Order of June 17, 2011, speaks for itself.
4. Admitted. By way of further response, the Executor avers that, after diligent
search, the Executor has been unable to locate any records, beyond the information that
the Executor has disclosed to counsel for John W. Maxwell, that would be sufficient to
enable the Executor to prepare the ordered accounting and that the Executor has disclosed
everything that he has that could possibly be pertinent to the Edith S. Rife Trust. After
reasonable investigation, the Executor has been unable to determine whether or not the
decedent, Charles J. Rife, failed to maintain books and records of his administration of
the Trust that would be sufficient to enable the Executor to file an account as ordered by
the Court.
5. The Order of October 31, 2011, speaks for itself.
6. - 7. Admitted.
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8. Admitted. By way of further response, the Executor avers that his preliminary
objections were dismissed on procedural grounds without addressing the substantive
issues raised therein and which have now been raised in the Executor's New Matter in
response to the Motion of John W. Maxwell for Rule to Show Cause of October 27,
2011.
9. The averments of ¶ 9 of the Petition are denied. On the contrary, the Executor
avers that he has not violated any prior court orders and that a determination of whether
or not the legal interests of the Petitioners as remainder beneficiaries of the Edith S. Rife
Trust have been unjustly or adversely affected or whether they have incurred damages
due to alleged breaches of fiduciary duty are not dependent upon an accounting by the
Executor and that, if the Executor were capable of rendering an accounting, it would not
establish the nature or extent of any losses of the Petitioners.
10. The averments' of ¶ 10 of the Petition, being conclusions of law, no response
is required.
11. The Executor avers that he has not violated any prior court orders where he is
incapable of filing an accounting of the Edith S. Rife Trust through no fault of his own
and where he has disclosed everything that he has that could possibly be pertinent to the
Edith S. Rife Trust.
12. The averments of ¶ 12 of the Petition are denied. On the contrary, the
Executor believes and therefore avers that Petitioners were aware of the existence of the
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written Edith S. Rife Trust in the nineteen years between the date of death of Edith S.
Rife on December 3, 1983, and the collapse of the value of the Allied Irish Bank stock in
2002, due to the intervening, and superseding criminal conduct of a rogue currency trader
at M&T Bank, the successor to Dauphin Deposit Bank, that caused the losses to the Trust
which consisted predominantly of stock in Allied Irish Bank. The Executor believes and
therefore avers that, with the exercise of reasonable diligence, Petitioners could have
made themselves aware of the provisions of the written Edith S. Rife Trust between the
date of death of Edith S. Rife on December 3, 1983, and the collapse of the value of the
Allied Irish Bank stock in 2002. The Executor believes and therefore avers that there is
no reasonable explanation as to why Petitioners did not address any complaints against
Charles J. Rife during the more than twenty-eight years between the December 3, 1983,
date of death of Edith S. Rife and the filing of their Petition herein. With the death of
Charles J. Rife prior to the advancement of any complaints by Petitioners, the Estate of
Charles J. Rife is materially and irrevocably prejudiced by the inability of the Executor to
respond to the claims of Petitioners.
13. It is admitted that, on March 19, 2012, an Answer with New Matter to the
Motion of John W. Maxwell for a Rule to Show Cause was filed and that Petitioners'
request to file claims would not significantly delay the current proceedings, but it is
denied that the Petition is timely. On the contrary, the averments of ¶ 12, above, are
incorporated herein by reference as though fully set forth.
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WHEREFORE, the Executor respectfully requests that the Petition be dismissed.
Respectfully submitted,
Gam/ /
Wayne F. hade, Esquire
Supreme Court I.D. # 15712
53 West Pomfret Street
Carlisle, Pennsylvania 17013
Telephone: 717-243 -0220
Co-Counsel for Respondent Fred H. Junkins
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The statements in the foregoing Answer are based upon information which has
been assembled by my attorney in this litigation. The language of the statements is not
my own. I have read the statements; and, to the extent that they are based upon
information which I have given to my counsel, they are true and correct to the best of my
knowledge, information, and belief. I understand that false statements herein are made
subject to the penalties of 18 Pa.C.S. ~ 4904 relating to unsworn falsification to
authorities.
Date: April ~~ , 2012
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Fred H. Junki