HomeMy WebLinkAbout09-24-12a~- i--iu~'3
Family Agreement-Waiving Filing of Account
This Agreement is by and between Kreig L. Smith formerly of 152
Springfield Road, Shippensburg, PA 17257, now of 8501 Parkline Blvd., Orlando,
FL 32806, Executor under the Last Will and Testament dated September 15,
2006 of the estate of Hazel L. Smith, late 86 East Main Street, Newville, PA
17241;
and
Kreig L. Smith formerly of 152 Springfield Road, Shippensburg, PA
17257, now of 8501 Parkline Blvd., Orlando, FL 32806; Denise L. Shimkanon,
of 1200 Mainsville Road, Shippensburg, PA 17257; and Urgan J. Smith, of 86
East Main Street, Newville, PA 17241; the residuary and only legatees of the
estate pursuant to paragraph Third (3) of the said Last Will and Testament.
For purposes of this agreement, when Kreig L. Smith is referred to in his ~
fiduciary capacity, the term, "Executor" will be used and, when he is referrec~~n :`~'
his individual capacity, he will be referred to as on of the "legatees" or ~ n
"beneficiaries." ~~ -moo ~ ~
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BACKGROUND c3~i~ r ~; °
(a) Hazel L. Smith ("Decedent") died on September 29, 2011, a -n ~' "? ~ m
resident of 86 East Main Street, Newville, Pennsylvania 17241, leaving a W~ ~ `~ ~
dated September 15, 2006.
(b) Decedent's Will was admitted to probate by the Register of Wills of
Cumberland County on October 14, 2011, and Letters Testamentary were issued
to Kreig L. Smith as Executor. The estate is filed to number 21-11-1083.
(c) In her Will, Decedent made no specific bequests and named her
children, Kreig L. Smith, Denise L. Shimkanon, and Urgan J. Smith, as the sole
residuary legatees. A copy of the Will is attached hereto as Exhibit "A."
(d) The Executor advertised the grant of Letters Testamentary and
prepared and filed a Pennsylvania Inheritance Tax Return and federal and state
income tax returns and. paid the appropriate taxes thereon. Final review and
approval of the Inheritance Tax Return is pending as of the date of this
Agreement. All parties hereto have a copy of the Inheritance Tax Return as filed
on July 24, 2012, together with its exhibits.
(e) The Executor has paid all the taxes, debts and expenses of the
estate known to him, and he has no knowledge of any unpaid claims, absolute or
contingent, which may be asserted against the estate nor does he have any
reason to believe that there are any such claims.
Family Agreement -Waiving Filing of Account -Estate of Hazel L. Smith Page 1 of 5
(f) The Executor has liquidated the assets of the Decedent, except for
certain household personal property listed at Exhibit "D" to the Inheritance Tax
Return, valued at $225.00, and which were distributed in kind to the satisfaction
of all parties, even though that distribution may not in fact have been equal, one-
third to each beneficiary.
(g) An account of the principal and income received by the Executor,
his disbursements, and a Proposed Schedule of Distribution is attached hereto
as Exhibit "B." The net value of the estate available for distribution to all of the
beneficiaries of the estate is $8,941.57. (This amount includes personal property
which was distributed "in-kind.") (See paragraph 2(b) of this Agreement where
Organ J. Smith agrees to give up his right to one-third of the cash remaining in
the estate.)
(h) The Executor desires to make distribution to the legatees as set
forth on the Proposed Schedule of Distribution which is attached hereto as a part
of Exhibit "B."
(i) All parties hereto desire that this Family Agreement make
unnecessary the filing an accounting in the Orphans' Court Division of the Court
of Common Pleas of Cumberland County.
NOW THEREFORE, intending to be legally bound, the parties do hereby:
1. Waive the filing of an account of the administration of the estate in
any court, at the discretion of the Executor.
2. (a) Declare that the undersigned have examined the Account
and Proposed Schedule of Distribution which are attached hereto as Exhibit "B"
and find them to be true and correct in all particulars; accept and approve them
with the same force and effect as if they had been prepared and filed with,
audited, adjudicated and confirmed absolutely by a court of competent
jurisdiction; and as if the balance of principal and income had been awarded by
the Courtin accordance with the Proposed Schedule of Distribution.
(b) Specifically, in light of the Estate's and other beneficiaries'
agreement to sell the house to Urgan J. Smith for a price less than the appraised
value of the house, and further in light of the Estate's and other beneficiaries'
agreement to gift $15,000.00 of the purchase price to Urgan J. Smith (which
agreements the beneficiaries hereby reaffirm), the said Urban J. Smith does
hereby agree to waive (not receive), forego (dive up), and disclaim (not
take~the receipt of any cash distribution from the net estate. Organ J.
Smith shall receive only the bargain sale of the house, his Family
Exemption in the amount of $3,500.00, and his share of the household
personal property The remaining net cash assets shall be distributed to
(given to) Kreig L Smith and Denise L. Skimkanon.
Family Agreement -Waiving Filing of Account -Estate of Hazel L. Smith Page 2 of 5
3. Warrant that the beneficiaries named in the Proposed Schedule of
Distribution are the sole remaining parties in interest in the estate and entitled to
receive the entire distribution thereof in accordance with the Account and
Proposed Schedule of Distribution which are attached hereto as Exhibit "B."
(See paragraph 2(b) of this Agreement where Urgan J. Smith agrees to give up
his right to one-third of the cash remaining in the estate.)
4. Warrant that the undersigned know of no outstanding and
unsatisfied claims against the estate.
5. Approve the distribution of the balance of principal and income
shown in the Account and Proposed Schedule of Distribution which are attached
hereto as Exhibit "B" to the persons set forth therein. (See paragraph 2(b) of this
Agreement where Urgan J. Smith agrees to give up his right to one-third of the
cash remaining in the estate.)
6. Absolutely and irrevocably release and discharge the Executor, and
his heirs, personal representatives, successors and assigns of and from any and
all actions, liabilities, claims and demands relating in any way to his
administration of the estate and distribution in accordance with the Account and
Proposed Schedule of Distribution which are attached hereto as Exhibit "B" and
without a court accounting and adjudication. (See paragraph 2(b) of this
Agreement where Urgan J. Smith agrees to give up his right to one-third of the
cash remaining in the estate.)
7. Agree to refund to the Executor any amount of the distribution
which exceeds the amount to which the undersigned are entitled as the Executor
may reasonably determine.
8. Agree to indemnify and hold harmless, the Executor, and his heirs,
personal representatives, successors and assigns, from and against any claims,
liabilities, loss or expense (including costs and counsel fees) arising from any
cause whatsoever, which the Executor may incur as a result of the administration
of the estate and its distribution in accordance with this Agreement including, but
not limited to, any liability for any federal estate taxes, Pennsylvania Inheritance
tax or any other death taxes, and any federal or Pennsylvania income taxes, and
Pennsylvania personal property taxes, together with any interest and costs
incidental thereto, relating in any way to the estate and also including, but not
limited to, any assets received or payments or distributions made by reason of
any negligence or mistake of law or fact.
9. Agree that this Agreement shall be binding and effective as against
each legatee upon execution (signing) by that legatee and the Executor.
10. The parties understand and agree that this Agreement is being
entered into before the Inheritance Tax Return has been reviewed and approved
by the Pennsylvania Department of Revenue. The final balance available for
distribution to Kreig L. Smith and Denise L. Skimkanon could be more (unlikely
Family Agreement -Waiving Filing of Account -Estate of Hazel L. Smith Page 3 of 5
but possible) or less (possible if the appraised value of the house is not
accepted) depending upon the amount of Inheritance Tax finally settled as due
by the Pennsylvania Department of Revenue.
IN WITNESS WHEREOF, and with intent to be leg Ily bound hereby, the
parties hereto have set their hands and seals this day of ~-, Se~v~~°r'
2012.
Witness:
Witness:
Seal)
Seal)
Witness: ~ (Seal)
Denise L. Shimkanon, Beneficiary
` i (Sea!)
Witness: ~yy'~'y
Urgan J. Smith, Beneficiary
State of -F~+gs~w ~L.o~ a~4
}ss.
County of C~.~n~'`
l ~ S ~P
On this, the ~4i~-day of ~n+e, 201 before me, the undersigned officer,
personally appeared Kreig L. Smith, 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, 1 hereunto set my hand and offrcial seal.
b~rQ~~~ ,L,L-r- sa-lr-r-~~ ~~~,~~ P~n-n~y~Cv~,v~b4 i~~~v~n.
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NORMAN RUSCETTE
NOTARY PUBLIC
STATE OF FLORIDA
. Comm# EE120774
E~ir+es 12/7/2015
Family Agreement -Waiving Filing of Account -Estate of Hazel L. Smith Page 4 of 5
CGS (SEAL)
Jv~ 2rn ~v ` u~~
State of Pennsylvania
fss.
County of Cumberland
~~~
On this, the 24th day of~ , 201 before me, the undersigned officer,
personally appeared Denise L. Shimkanon, 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, 1 hereunto set my hand and official seal.
(SEAL)
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State of Pennsylvania
}ss.
County of Cumberland
On this, the 24th day of , 201 ~ before me, the undersigned officer,
personally appeared Urgan J. Smith, known to me (or satisfactorily proven) fo
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, 1 hereunto set my hand and official seal.
_- SEAL)
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Family Agreement -Waiving Filing of Account -Estate of Hazel L. Smith Page 5 of 5
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LAST WILL AND TESTAMENT
OF
HAZEL L. SMITH
I, Hazel L. Smith, of the Borough of Newville, (86 East Main Street), Cumberland
County, Pennsylvania 17241, being of sound and disposing mind, memory and
understanding, do hereby make, publish and declare this as and for my Last Will and
Testament, hereby revoking and making void any and all Wills and Codicils heretofore
made.
FIRST
I direct the payment of my just debts and funeral expenses as soon after my
death as may be convenient. I desire that me body be interred in the plot that I have at
Westminster Cemetery, Cumberland County, Pennsylvania.
I direct that all federal and Pennsylvania estate taxes, Pennsylvania inheritance
taxes, and generation-skipping transfer tax payable as a result of my death, not limited
to taxes attributable to property passing under this Will, shall be paid by my Executor
from my residuary estate, including any part of my residuary estate that otherwise
qualifies for a deduction for federal estate tax purposes. I direct my Executor not to
seek reimbursement for any tax so paid from any beneficiary under this Will, heir of
mine, or other transferee of property included in my gross estate.
SECOND
'~, ,at I declare that I am unmarried. i have three, (3) children, to wit: Kreig L. Smith, of
v~ 152 Springfield Road, Shippensburg, Pennsylvania 17257, a son born August 7, 1966;
Denise L. Shimkanon, of 1200 Mainsville Road, Shippensburg, Pennsylvania 17257, a
,~J daughter born October 6, 1970; and Urgan J. Smith, who resides with me at 86 East
Main Street, Newville, Pennsylvania 17241, a son bom September 13, 1978.
THIRD
,~ All the rest, residue and remainder of my estate, real, personal and mixed, and
wheresoever the same may be situate, I give, devise and bequeath, in equal shares,
per stirpes and not per capita, unto such of my children as shall survive me by ninety
(90) days, but should any of them fail to so survive me then the share such deceased
child of mine would have received shall pass to such of his or her issue as shall survive
me by a period of ninety (90) days, per stirpes, and if there be no such issue the same
shall lapse and be added to the remaining share or shares. At the present time I have
three children, as aforementioned.
FOURTH
I hereby nominate, constitute and appoint my three said children (Kreig L. Smith,
Denise L. Shimkanon and Urgan J. Smith) as Co-Executors of this my Last Will and
Testament, or the successor(s) or survivor(s) as Co-Executors, or alone as Executor or
Executrix, as the case may be. I further direct that no bond or other security shall be
required of any Executor or Executrix appointed in this Will for the performance of his,
her or its duties in any jurisdiction in which he, she or it may be called upon to act. The
terms Executor or Executrix may be used interchangeably in this Will and shall refer to
any Executor or Executrix appointed in this will, or any other Administrator appointed by
a court of competent jurisdiction.
~~ Page 1 of 3
Last Will and Testament of Hazel L. Smith
FIFTH
In addition to, and not in limitation of, the powers conferred bylaw or by other
Co-Executors shall have the following powers, each of which
provisions of this Will, my Co-Executors in their sole discretion:
may be exercised ftom time to time by my
(a) To retain i distribute in kin'deany real o epersonaap operty. r private
sale, or to
(b) To manage both real and personal property,
(c) To invest and reinvest in all forms of property, notwithstanding the
fact that any or all of the investments would not be considered r size
which but for this expressed authority
proper for an Executor.
(d) To exercise any option or rights arising from the ownership of
investments.
(e) To compromise claims without court approval and without the
consent of any beneficiary.
IN WITNESS WHEREOF, I have hereunto set my hand and seal to this my Last
Will and Testament, written on three (3) pages (including notary page), this 15th day of
September, 2006.
~ ~ ~' ` , (SEAL)
Hazel L. Smith `
Signed, sealed, published, and declared by Hazel L. Smith the Testatrix above
named, as and fordhn thestre fence of each other, have hereunto subscribed our names
at her request, an P
as attesting witnesses.
~ ~ ~~
COMMONWEALTH OF PENNSYLVANIA ~ SS:
COUNTY OF CUMBERLAND ~
We, Hazel L. Smith, the Testatrix in, and Stephen D. 'Iiley
and Robert G. Frey ,the witnesses, to the Last Will and
Testament, the attached or foregoing instrument, who have signed the instrument,
having been duly qualified according to law do depose and say:
a. that I, the Testatrix, do hereby acknowledge that I signed and executed
as my free and vo unt ry actlfor the purposes theaeirnsexpressed!'and and
b. that we, the witnesses, were present and saw the Testatrix sign and
execute the instrument as her Last Will and Testament, that she signed it
willingly and executed it as her free and voluntary act for the purposes
therein expressed; that each of us in the hearing and sight of the Testatrix
signed the Last Will and Testament as a witness and that to the best of
our knowledge the Testatrix was at that time eighteen (18) or more years
of age, of sound mind and under no constraint or undue influence.
y~ ~`~~ ..
Hazel L. Smith n
•'CJ
~~ ,
Subscribed, sworn to and acknowledged before me by the Testatrix and the
witnesses above-named, this 15th day of September, 2006.
N.s a
Notary Public
NpTAFON. ~
TRISHA A. LIE34, iJotary SPA
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~~~ w1120, 2010
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FIRST AND FINAL ACCOUNT OF KREIG L. SMITH,
EXECUTOR OF THE LAST WILL AND TESTAMENT OF
HAZEL L. SMITH, LATE OF 86 E. MAIN STREET, NEWVILLE,
CUMBERLAND COUNTY, PENNSYLVANIA, DECEASED
DATE OF DEATH: LETTERS TESTAMENTARY ADVERTISED:
9/29/11 CUMBERLAND LAW JOURNAI
Dec 23 & 30, 2011 and Jan 6, 2012
FILE NO.:
THE SENTINEL
21-11-1083 Dec. 10, 17 & 24, 2011
PRINCIPAL RECEIVED -REAL ESTATE
Accountant charges himself with the following principal amounts received:
Date
2011
29-Sep Personal Residence - Sold Apri129, 2012
86 East Main Street, Newville, PA 17241
Tax Parcel No.: 27-20-1756-101
2010 Tax Assessment: $101,500.00
Gross Sale Price to Urgan J. Smith: $75,000.00 75,000.00
See Disbursements Section for Gift and Expenses of Sale
Appraisaed Value $80,000 used for Inheritance Tax Purposes
TOTAL PRINCIPAL RECEIVED -REAL ESTATE: 75,000.00
PRINCIPAL RECEIVED -PERSONAL PROPERTY
Accountant charges himself with the following principal amounts received:
Date
2011
29-Sep Colonial Penn Life Insurance Company
Not a Frobate Asset
Beneficiary Kreig L. Smith Received Insurance & redistributed N/A
1st & final Hazel L. Smith 7.27.12.x1s EXHIBIT "B" Page 1
29-Sep Household Personal Property
See Exhibit "D" to Inheritance Tax Return 225.00
29-Sep Personal Checking Account
M&T Bank No.: 1159860
Balance at Date of Death 9,033.02
Accrued Interest to DOD 0.00
30-Sep Deposit to Personal Checking Account 1159860
Wal-Mart Store Check 1,029.81
13-Oct Deposit to Personal Checking Account 1159860
Wal-Mart Assoc. Payroll 16.63
26-Oct Close Out ACNB Bank Christmas Club 414.61
9-Dec Refund - Direct TV 12.56
9-Dec Refund -Blue Cross/Shield 70.70
9-Dec Wal-Mart Stores 44.39
29-Dec Refund - CenturyLink 19.34
2012
6-Apr Refund -Carlisle Regiional Medical Center 675.21
25-Apr Refund - US Treasurty -Year 2011 Personal Income Tax 771.00
25-Apr Refund - PA Department of Revenue -Year 2011 Personal Inc. Tax 2.00
10-May Urgan J. Smith -Reimburse for year 2012 County and Township
real estate tax paid on 86 East Main Street, Newville, by
Sovereign Bank escrow account, prior to sale to Urgan J. Smith 445.52
4-Jun Sovereign Bank -Refund of Tax Escrow Account Funds upon
payoff of mortgage 831.53
TOTAL PRINCIPAL RECEIVED -PERSONAL PROPERTY: 13,591.32
1st & final Hazel L. Smith 7.27.12.x1s EXHIBIT "B" Page 2
INCOME RECEIVED
Accountant charges himself with the following income amounts received:
Date
2011
2012
TOTAL INCOME RECEIVED 0.00
DISBURSEMENTS
Accoutant claims credit for the following amounts paid:
Date
2011
18-Oct Close-out of Personal Checking Account 1159860
Checks Cleared After Death
Check No.: 2744 to Denise L. Shimkanon for Medical Expenses 185.46
27-Oct Ewing Brothers Funeral Home 360.44
27-Oct Walnut Bottom Radiology 25.00
27-Oct Carlisle Regional Medical Center 135.00
27-Oct Presbyterian Homes /Green Ridge / Swaim 28.09
27-Oct Colonial Penn Life Insurance 26.65
27-Oct Probate Fees -Recorder of Deeds
Reimburse Frey & Tiley 192.50
27-Oct Ewing Brothers Funeral Home
Reimburse Kreig L. Smith 3,000.00
27-Oct Sovereign Bank -Mortgage Payment -November 594.46
8-Nov Check Printing Charge 13.50
1st & final Hazel L. Smith 7.27.12.x1s EXHIBIT "B" Page 3
6-Dec Sovereign Bank -Mortgage Payment -December 594.46
6-Dec Register of Wills, Agent
Payment on Account of Inheritance Tax 1,975.00
29-Dec Mount Rock Inpatient Services 675.21
2012
3-Jan Sovereign Bank -Mortgage Payment -January 594.46
3-Jan Advertising -Cumberland Law Journal
Reimburse Frey & Tiley 75.00
3-Jan The Sentinel -Advertising 178.92
1-Jan Bank Service Fee 14.00
18-Jan Sovereign Bank -Mortgage Payment -February 594.46
6-Feb Cumberland Goodwill Fire Rescure EMS 70.70
17-Feb Bank Service Fee 14.00
16-Mar Bank Service Fee 14.00
22-Mar M&T Bank -Reimburse Two Service Fees (28.00)
5-Apr Sovereign Bank -Mortgage Payment -March 612.06
5-Apr Sovereign Bank -Mortgage Payment -April 594.46
6-Apr Cumberland Goodwill Fire Rescure EMS 30.30
27-Apr Gift and Expenses of Sale - 86 East Main Street, Newville, PA
Gift from Estate to purchaser, Urgan J. Smith 15,000.00
Record Executor's Deed to three beneficiaries 62.00
Satisfy Sovereign Bank (Estimate on Settlement Sheet) 47,540.00
Adjustment for final Sovereign Bank payoff (1,124.01)
4-Jun Real Estate Tax and Insurance - 86 E. Main Street, Newville, PA
Settlement of Sovereign Bank Escrow Account (See Principal)
23-Jul Family Exemption to Urgan J. Smith 3,500.00
23-Jul Register of Wills -Filing Fee
Inheritance Tax Return 15.00
23-Jul Kreig L. Smith, Executor's Fee Waived
1st & final Hazel L. Smith 7.27.12.x1s EXHIBIT "B" Page 4
23-Jul Frey and Tiley -Attorney's Fees 4,500.00
23-Jul Register of Wills -Filing Fee -Family Settlement Agreement 20.00
27-Jul Register of Wills -Additional Probate Fee 75.00
??? Register of Wills, Agent
Anticipated Refund of Inheritance Tax (508.37)
TOTAL DISBURSEMENTS 79,649.75
RECAPITULATION
Total Principal Received -Real Estate 75,000.00
Total Principal Received -Personal Property 13,591.32
Total Income Received 0•~
Total Receipts 88,591.32
Less Total Disbursements 79,649.75
Balance for Distribution 8,941.57
PROPOSED
SCHEDULE OF DISTRIBUTION
1) Kreig L. Smith
Formerly of: 152 Springfield Road, Shippensburg, PA 17257
Now of: 8501 Parkline Blvd., Orlando, FL 32806
Distribution Due:
1/3 Residuary 2,980.52
Plus 1/2 of Urgan's cash share per Family Settlement Agreement: 1,452.76
4,433.28
1st & final Hazel L. Smith 7.27.12.x1s EXHIBIT "B" Page 5
Distribution Received and to be Received:
1/3 Household Personal Property -Distributed In-Kind 75.00
Partial Distribution dated ~~~
Final Distribution 4,358.28
Total Distributions to Kreig L. Smith: 4,433.28
2) Denise L. Shimkanon
1200 Mainsville Road
Shippensburg, PA 17257
Distribution Due:
1/3 Residuary 2,98052
Plus 1/2 of Urgan's cash share per Family Settlement Agreement: 1,452.77
4,433.29
Distribution Received and to be Received:
1/3 Household Personal Property -Distributed In-Kind 75.00
Partial Distribution dated ~~~
Final Distribution 4,358.29
Total Distributions to Denise L. Shimkanon: 4,433.29
3) Urgan 1• Smith
86 East Main Street
Newville, PA 17241
Distribution Due:
1/3 Residuary 2,980.52
Adjustment -Remaining Share disclaimed per Family
Settlement Agreement (2,905.52)
75.00
1st & final Hazel L. Smith 7.27.12.x1s EXHIBIT "B" Page 6
Distribution Received and to be Received:
1/3 Household Personal Property -Distributed In-Kind 75.00
Final Distribution None Due
Total Distributions to Urgan J. Smith: 75.00
COMMONWEALTH OF PENNSYLVANIA
COUNTY OF CUMBERALND
SS..
Before me, the undersigned officer, personally appeared Kreig L. Smith,
Executor of the Last Will and Testament of Hazel L. Smith, Deceased, who, being duly sworn
according to law, desposes and says that the foregoing First and Final Account and Proposed Schedule
are true and correct to the best of his knowledge, information and belief.
Kreig L. Smith
Sworn to and subscribed before me
this day of
1st & final Hazel L. Smith 7.27.12.x1s EXHIBIT "B" Page 7