HomeMy WebLinkAbout01-15-13 (2)
1505610140
REV-1500 EX (01-10) PA Department of Revenue OFFICIAL USE ONLY
Bureau of Individual Taxes County Code Year File Number
PO BOX 280601 INHERITANCE TAX RETURN
Harrisburg, PA 17128-0601 RESIDENT DECEDENT 2 1 1 2 0 9 0 1
ENTER DECEDENT INFORMATION BELOW
Social Security Number Date of Death MMDDYYYY Date of Birth MMDDYYYY
4 5 8 3 4 7 3 7 6 0 4 1 5 2 0 1 2 0 4 1 0 1 9 2 6
Decedent's Last Name Suffix Decedent's First Name MI
H 0 W E L L S A R A H J
(If Applicable) Enter Surviving Spouse's Information Below
Spouse's Last Name Suffix Spouse's First Name MI
Spouse's Social Security Number
THIS RETURN MUST BE FILED IN DUPLICATE WITH THE
REGISTER OF WILLS
FILL IN APPROPRIATE OVALS BELOW
O 1. Original Return 2. Supplemental Return 3. Remainder Return (date of death
prior to 12-13-82)
4. Limited Estate 4a. Future Interest Compromise (date of F-I 5. Federal Estate Tax Return Required
death after 12-12-82)
0 6. Decedent Died Testate QX 7. Decedent Maintained a Living Trust 0 8. Total Number of Safe Deposit Boxes
(Attach Copy of Will) (Attach Copy of Trust)
9. Litigation Proceeds Received 10. Spousal Poverty Credit (date of death F-1 11. Election to tax under Sec. 9113(A)
between 12-31-91 and 1-1-95) (Attach Sch. O)
CORRESPONDENT - THIS SECTION MUST BE COMPLETED. ALL CORRESPONDENCE AND CONFIDENTIAL TAX INFORMATION SHOULD BE DIRECTED TO:
Name Daytime Telephone Number
I V 0 V 0 T T 0 I I I 7 1 7 2 4 3 3 3 4 1
j REGISTER OF WILLS USE ONLY
First line of address C>
$ C_
M A R T S O N L A W O F F I C E S Q,
rnx
Second line of address :O T r' t 1. i ..r
1 0 E H I G H S T Cl) 4
City or Post Office State ZIP Code ~~DATS,
C A R L I S L E P A 1 7 0 1 3 t;T
Correspondent's e-mail address: I O T T O a M A R T S O N L A W• C O M c ~y t
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief,
it i true, correct and com fete. Declaration of preparer other than the personal representative is based on all information of which preparer has any knowledge.
SIG NU ")r ESPONSIBLE FOR FILING RETURN DA E
ADDRESS
10 E. HIGH STREET CARLISLE PA 17103
SI ATU E PREPAIRER OTHER THAN REPRESENTATIVE DATE ~j
ADDRE S
10 E. HIGH STREET CARLISLE PA 17013
PLEASE USE ORIGINAL FORM ONLY
Side 1
1505610140 1505610140
150561,0240
REV-1500 EX Decedent's Social Security Number
Decedent's Name: SARAH J- HOWELL 4 5 8 3 4 7 3 7 6
RECAPITULATION
0. 0 0
1. Real Estate (Schedule A) 1
0. 0 0
2. Stocks and Bonds (Schedule B) 2•
3. Closely Held Corporation, Partnership or Sole-Proprietorship (Schedule C) 3.
4. Mortgages and Notes Receivable (Schedule D) 4.
5. Cash, Bank Deposits and Miscellaneous Personal Property (Schedule E)....... 5. 5 3 0 5 1 . 0 9
6. Jointly Owned Property (Schedule F) ❑ Separate Billing Requested 6. 0 • 0 0
7. Inter-Vivos Transfers & Miscellaneous Nr~ n--~Probate Property 1 4 9 9 5. 8 6
(Schedule G) LJ Separate Billing Requested 7.
8. Total Gross Assets total Lines 1 through 7 8• 6 8 0 4 6. 9 5
9. Funeral Expenses and Administrative Costs (Schedule H) 9. 1 4 1 3 3 . 0 2
10. Debts of Decedent, Mortgage Liabilities, and Liens (Schedule 1) 10. 6 1 0 8 • 8 3
11. Total Deductions (total Lines 9 and 10) 11. 2 0 2 4 1 . 8 5
12. Net Value of Estate (Line 8 minus Line 11) 12. 4 7 8 0 5 • 1 0
13. Charitable and Governmental Bequests/Sec 9113 Trusts for which
an election to tax has not been made (Schedule J) 13. 0 . 0 0
14. Net Value Subject to Tax (Line 12 minus Line 13) 14. 4 7 8 0 5 . 1 0
TAX CALCULATION - SEE INSTRUCTIONS FOR APPLICABLE RATES
15. Amount of Line 14 taxable
at the spousal tax rate, or
transfers under Sec. 9116
(a)(1.2) X.0 _ 0. 0 0 15. 0. 0 0
16. Amount of Line 14 taxable
at lineal rate X .045 4 7 8 0 5. 1 0 16. 2 1 5 1. 2 3
17. Amount of Line 14 taxable
at sibling rate X .12 0 0 0 17. 0• 0 0
18. Amount of Line 14 taxable
at collateral rate X .15 0 0 0 18. 0• 0 0
19. TAX DUE ......................................................19. 2 1 5 1• 2 3
20. FILL IN THE OVAL IF YOU ARE REQUESTING A REFUND OF AN OVERPAYMENT ❑X
Side 2
1505610240 1505610240 J
REV-1500 EX Page 3 File Number
Decedent's Complete Address: 21 12 0901
DECEDENT'S NAME
SARAH J. HOWELL
STREET ADDRESS
210 BIG SPRING ROAD _
CITY STATE ZIP
NEWVILLE PA 17241
Tax Payments and Credits:
1. Tax Due (Page 2, Line 19) (1) 2,151.23
2. Credits/Payments
A. Prior Payments
B. Discount
Total Credits ( A + B) (2) 0.00
3. Interest
(3)
4. If Line 2 is greater than Line 1 + Line 3, enter the difference. This is the OVERPAYMENT.
Fill in oval on Page 2, Line 20 to request a refund. (4) 0.00
5. If Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. (5) 2,151.23
Make check payable to: REGISTER OF WILLS, AGENT
PLEASE ANSWER THE FOLLOWING QUESTIONS BY PLACING AN "X" IN THE APPROPRIATE BLOCKS
1. Did decedent make a transfer and: Yes No
a. retain the use or income of the property transferred; ❑ X❑
X
b. retain the right to designate who shall use the property transferred or its income; ❑ ❑
c. retain a reversionary interest; or ❑ ❑X
d. receive the promise for life of either payments, benefits or care? ❑ 0
2. If death occurred after December 12, 1982, did decedent transfer property within one year of death
without receiving adequate consideration? ❑ X❑
3. Did decedent own an "in trust for" or payable-upon-death bank account or security at his or her death? ❑ ❑
4. Did decedent own an individual retirement account, annuity or other non-probate property, which
contains a beneficiary designation? ❑
IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN.
For dates of death on or after July 1, 1994, and before Jan. 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse
3 percent [72 P.S. §9116 (a) (1.1) (i)].
For dates of death on or after Jan. 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is 0 percent
[72 P.S. §9116 (a) (1.1) (ii)]. The statute does not exempt a transfer to a surviving spouse from tax, and the statutory requirements for disclosure of assets and
filing a tax return are still applicable even if the surviving spouse is the only beneficiary.
For dates of death on or after July 1, 2000:
• The tax rate imposed on the net value of transfers from a deceased child 21 years of age or younger at death to or for the use of a natural parent, an
adoptive parent or a stepparent of the child is 0 percent [72 P.S. §9116(a)(1.2)].
• The tax rate imposed on the net value of transfers to or for the use of the decedent's lineal beneficiaries is 4.5 percent, except as noted in
72 P.S. §9116(1.2) [72 P.S. §9116(a)(1)].
• The tax rate imposed on the net value of transfers to or for the use of the decedent's siblings is 12 percent [72 P.S. §9116(a)(1.3)]. A sibling is defined, undE
Section 9102, as an individual who has at least one parent in common with the decedent, whether by blood or adoption.
REV-1508 EX + (6-98)
SCHEDULE E
COMMONWEALTH OF PENNSYLVANIA CASH, BANK DEPOSITS, & MISC.
INHERITANCE TAX RETURN
RESIDENT DECEDENT PERSONAL PROPERTY
ESTATE OF FILE NUMBER
SARAH J. HOWELL 21 12 0901
Include the proceeds of litigation and the date the proceeds were received by the estate.
All property jointly-owned with right of survivorship must be disclosed on Schedule F.
ITEM VALUE AT DATE
NUMBER DESCRIPTION OF DEATH
1. 1/2 interest in USPSFCU account # 10736 46,240.48
See attached valuation and letter of explanation
2. USAA, subscriber benefit 1,810.61
3. Jewelry and household goods 5,000.00
TOTAL (Also enter on line 5, Recapitulation) $ 53,051.09
(If more space is needed, insert additional sheets of the same size)
REV-1511 EX+ (10-09)
pennsylvania SCHEDULE H
DEPARTMENT OF REVENUE FUNERAL EXPENSES AND
INHERITANCE TAX RETURN ADMINISTRATIVE COSTS
RESIDENT DECEDENT
ESTATE OF FILE NUMBER
SARAH J. HOWELL 21 12 0901
Decedent's debts must be reported on Schedule I.
ITEM
NUMBER DESCRIPTION AMOUNT
A. FUNERAL EXPENSES:
1. Auer Cremation Services, Harrisburg, PA 2,075.00
2. Washington Post, obituary 480.00
3. The Patriot News, obituary 362.52
4. W.A. Hartman Memorials, L.L. C., headstone engraving 100.00
B. ADMINISTRATIVE COSTS:
1. Personal Representative Commissions:
Name(s) of Personal Representative(s)
Street Address
City State ZIP
Year(s) Commission Paid:
2. Attorney Fees: Martson Law Offices 11,000.00
3, Family Exemption: (if decedents address is not the same as claimants, attach explanation.)
Claimant
Street Address
City State ZIP
Relationship of Claimant to Decedent
4. Probate Fees: Cumberland County Register of Wills 90.50
5 Accountant Fees:
6. Tax Return Preparer Fees:
7. Filing Fee, Inheritance Tax Return 15.00
8. Additional Probate Fee 10.00
TOTAL (Also enter on Line 9, Recapitulation) $ 14,133.02
If more space is needed, use additional sheets of paper of the same size.
REV-1512 EX+ (12-08)
pennsylvania SCHEDULE I
DEPARTMENT OF REVENUE DEBTS OF DECEDENT,
INHERITANCE TAX RETURN MORTGAGE LIABILITIES, & LIENS
RESIDENT DECEDENT
ESTATE OF FILE NUMBER
SARAH J. HOWELL 21 12 0901
Report debts incurred by the decedent prior to death that remained unpaid at the date of death, including unreimbursed medical expenses.
ITEM VALUE AT DATE
NUMBER DESCRIPTION OF DEATH
1. Green Ridge Village, account payable 5,825.49
2. Millennium Pharmacy, account payable 283.34
TOTAL (Also enter on Line 10, Recapitulation) $ 6,108.83
If more space is needed, insert additional sheets of the same size.
REV-1513 EX+ (01-10)
pennsylvania SCHEDULE J
DEPARTMENT OF REVENUE BENEFICIARIES
INHERITANCE TAX RETURN
RESIDENT DECEDENT
ESTATE OF: FILE NUMBER:
SARAH J. HOWELL 21 12 0901
RELATIONSHIP TO DECEDENT AMOUNT OR SHARE
NUMBER NAME AND ADDRESS OF PERSON(S) RECEIVING PROPERTY Do Not List Trustee(s) OF ESTATE
I TAXABLE DISTRIBUTIONS [Include outright spousal distributions and transfers under
Sec. 9116 (a) (1.2).]
1. Laura L. Howell Lineal 10,936.42
20164 Boxwood Place
Ashburn, VA 20147
2. Sarah Sue Howell Lineal 10,936.41
757 Royal Bonnett Drive
Wilmington, NC 28405
3. Jon Lee Howell Lineal 10,936.41
2250 Porter Road
Bear, DE 19701
4. Jon Lee Howell, as Guardian of Jonathan L. Howell Lineal 7,497.93
2550 Porter Road Sch. G., Line 1
Bear, DE 19701
5. Jon Lee Howell, as Guardian of Christopher Howell Lineal 7,497.93
2550 Porter Road Sch. G., Line 2
Bear, DE 19701
ENTER DOLLAR AMOUNTS FOR DISTRIBUTIONS SHOWN ABOVE ON LINES 15 THROUGH 18 OF REV-1500 COVER SHEET, AS APPROPRIATE.
II. NON-TAXABLE DISTRIBUTIONS:
A. SPOUSAL DISTRIBUTIONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX IS NOT TAKEN:
1.
B. CHARITABLE AND GOVERNMENTAL DISTRIBUTIONS:
1.
TOTAL OF PART II - ENTER TOTAL NON-TAXABLE DISTRIBUTIONS ON LINE 13 OF REV-1500 COVER SHEET. $ 0.00
If more space is needed, use additional sheets of paper of the same size.
F. \FILES\DATAFILE\ WILLS\9942.COD
C(a P V
CODICIL
I, SARAH J. HOWELL, of West Pennsboro Township, Cumberland County, Pennsylvania,
being of sound and disposing mind, memory and understanding, do make, publish and declare this
to be a Codicil to my Last Will and Testament dated November 3, 1998.
1.
I hereby revoke ARTICLE 6 of my said Last Will and Testament and replace it with the
following:
ARTICLE 6
I hereby nominate, constitute and appoint the law firm of MARTSON
DEARDORFF WILLIAMS & OTTO, Carlisle, Pennsylvania, as Executor of my
estate.
2.
In all other respects, I ratify and affirm my said Last Will and Testament dated November
3, 1998.
IN WITNESS WHEREOF, I have hereunto set my hand and seal this R day of
September, 1999.
SEAL)
,Z444144( Sarah J. Howel
SIGNED, SEALED, PUBLISHED AND DECLARED by the above-named Testatrix, as and
for a Codicil to her Last Will and Testament dated November 3, 1998, in the presence of us, who at
her request, have hereunto subscribed our names as witnesses thereto, in the presence of the said
Test UK::r.
V ~
Page 1 of 2 Pages
COMMONWEALTH OF PENNSYLVANIA )
SS.
COUNTY OF CUMBERLAND )
I, Sarah J. Howell, Testatrix, whose name is signed to the attached or foregoing instrument,
having been duly qualified according to law, do hereby acknowledge that I signed and executed the
instrument as a Codicil to my Last Will dated November 3, 1998; that I signed it willingly; and that
I signed it as my free and voluntary act for the purposes therein expressed.
ez ~#A#-.a
Sarah J. Howe
Sworn or affirmed to and acknowledged before me by Sarah J. Howell, the Testatrix, this
q day of September, 1999.
Notary Public
NOTARIAL SEAL
COMMONWEALTH OF PENNSYLVANIA ) CORRINE L. MYERS, Nota Public
Carlisle Boro, CumberlandCounry
Commission Ez 'res May 27, 2003
COUNTY OF CUMBERLAND )
We, JV'0 V- C7 7P ~ and ~r4G6u.tF~.rNE 4
the witnesses whose names are signed to the attached or foregoing instrument, being duly qualified
according to law, do depose and say that we were present and saw Sarah J. Howell, the Testatrix,
sign and execute the instrument as a Codicil to her Last Will dated November 3, 1998; that the
Testatrix signed willingly and that the Testatrix 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
Codicil as witnesses; and that to the best of our knowledge the Testatrix was at that time 18 or more
years of age, of sound mind and under no con rai or undue influence.
Address ST
64 17013
d;e s J 'a I r a(y
Sworn or affirmed to and subscribed before me this q day of September, 1999.
Notary Public
NOTARIAL SEAL
CORRINE L. MYERS, Notary Public
Carlisle Boro. Cumberlar~dCounry
Page 2 of 2 'ssion Ez 'res M 27, 2003
LAST WILL AND TESTAMENT
OF
SARAH J. HOWELL
I, SARAH J. HOWELL, of Fairfax County, Virginia, being of
sound and disposing mind and memory, do hereby make, publish and
declare this to be my Last Will and Testariient. I hereby revoke and
annul all wills, codicils and other testamentary dispositions
heretofore made by me.
ARTICLE 1
I direct my executors to pay all my legally enforceable debts
(exclusive of those secured by encumbrances upon real property)
including the expenses of my funeral and the administration of my
estate, and authorize my executors to compromise or arbitrate, in
their discretion, any or all claims or demands which may be
presented against my estate and their discretion shall not be
subject to review. The expenses of my estate shall be paid out of
post death income first, and then from the principal of my estate.
ARTICLE 2
I direct that all estate, succession, legacy, inheritance or
other transfer taxes, however designated, that shall be payable by
1
reason of my death, whether assessed with respect to property
passing under this Will or otherwise, shall be paid out of and be
charged against the principal of my Residuary Estate, without
reimbursement from any person, as a cost of the administration of
my estate.
ARTICLE 3
As a premise and criterion for interpreting this Will, I
announce it to be my wish and intent that any person designated as
the beneficiary or recipient of any bequest or devise herein who is
not living 120 hours following the time of my death, shall be
considered to have died prior to my death (herein sometimes
referred to as having predeceased me).
ARTICLE 4
Any interest that I may have in any joint bank accounts and
joint savings and loan accounts and any stocks and bonds or any
other personal property held jointly in my name and that of any
other person are hereby declared to be the sole property of that
person, and my executor shall make no claim against them on account
thereof.
2
ARTICLE 5
All the rest, residue and remainder of my property (herein
sometimes referred to as the Residuary Estate) whether personal,
real or mixed, of which I may die seized, possessed or have any
interest in, both inchoate and vested, I give, devise and bequeath
unto the Sarah J. Howell Revocable Living Trust, dated aV-
9} 6- , with Sarah J. Howell as Trustee. My Trust Agreement
was signed before this Will.
ARTICLE 6
I hereby nominate, constitute and appoint Sarah Sue Howell as
the Executor of this Will and of my estate. In the event Sarah Sue
Howell is unable to serve as the Executor, either through
disinclination or disqualification, then I nominate and appoint
Laura L. Howell as such Executor.
ARTICLE 7
A. I hereby give my said Executor full power and authority to
sell, or otherwise dispose of any property, real or personal,
belonging to my estate, at any such times as in the Executor's
absolute discretion shall be deemed best for the purposes of paying
taxes or debts or in carrying out any other provision of my Will,
and without order of court.
3
B. I specifically confer upon my Executor all and singular of
the powers contained in Section 64.1-57 of the Code of Virginia in
effect on the date hereof, which powers are incorporated herein in
whole by reference to said section.
ARTICLE 8
I direct that no bond or undertaking be required in any court,
place or jurisdiction for the faithful performance of any duties of
any Executor nominated or appointed in this Will.
ARTICLE 9
As used in this Will, the terms Executor and Testator shall
be deemed to include and mean persons of either masculine or
feminine gender whenever necessary or appropriate; the singular
shall include the plural and vice versa.
IN WITNESS WHEREOF, I have hereunto subscribed my name and
set my seal to this, my Last Will and Testament, consisting of Six
(6) typewritten pages, bearing my initials at the bottom of each
,.I 6
,e-12 , 1998.
page preceding this one, this W-Ick day of oV6
(SEAL)
SARAH J. H LL
4
The foregoing will was subscribed, published and declared by
the Testator as and for Testator's last will and testament in our
joint presence and we, in Testator's presence and in the presence
of each other and at Testator's request, hereunto subscribe our
names as attesting witnesses thereto.
WITNESS)
TQ°a" (WITNESS)
5
STATE OF VIRGINIA
CITY OF ALEXANDRIA
Before me, the undersigned authority, on this day, personally
appeared Sarah J. Howell, 4'.0ei, f51 • ~A~Ca~v and
NG ~2i %'~'IS' known to me to be the Testator and
the witnesses, respectively, whose names are signed to the attached
or foregoing instrument and, all of these persons being by me first
duly sworn, the Testator declared to me and to the witnesses in my
presence that said instrument is Testator's last will and testament
and that Testator had willingly signed and executed it in the
presence of said witnesses as Testator's free and voluntary act for
the purposes therein expressed; that said witnesses stated before
me that the foregoing will was executed and acknowledged by the
Testator as Testator's last will and testament in the presence of
said witnesses who, in Testator's presence and at Testator's
request, and in the presence of each other, did subscribe their
names thereto as attesting witnesses on the day of the date of said
will, and that the Testator, at the time of the execution of said
will, was over the age of 18 years and of sound and disposing mind
and memory.
JW
-1t, or
r Witness
Witness
Subscribed, sworn and acknowledged before me by the Testator
and the witnesses, this 3 day of 1998.
Notary Publi
My commission expires: Z -3 EP798049
6
F-\FILES\DATAFILE\ WILLS\9942-TRII. AMD
FIRST AMENDMENT TO
THE SARAH J. HOWELL REVOCABLE LIVING TRUST
WHEREAS, SARAH J. HOWELL executed as Grantor and original Trustee a certain
document entitled "The Sarah J. Howell Revocable Living Trust" as of November 3, 1998; and
WHEREAS, pursuant to ARTICLE 1, A, thereof, the said SARAH J. HOWELL wishes to
amend said Revocable Living Trust.
NOW, THEREFORE, INTENDING TO BE LEGALLY BOUND HEREBY, SARAH J.
HOWELL does hereby amend "The Sarah J. Howell Revocable Living Trust" aforesaid by revoking
ARTICLE 15, A, 4 and ARTICLE 15, A, 5 thereof and in their place providing that the Successor
Trustee thereunder shall be the law firm of MARTSON DEARDORFF WILLIAMS & OTTO,
Carlisle, Pennsylvania.
IN ALL OTHER RESPECTS the aforesaid "Sarah J. Howell Revocable Living Trust" is
hereby confirmed.
O SIGNED and dated this Ok day of September, 1999.
itne
(SEAL)
zarah H ell, Grantor
(SEAL)
Howe rustee
COMMONWEALTH OF PENNSYLVANIA )
ss.
COUNTY OF CUMBERLAND )
On this, the q day of September, 1999, before me, the undersigned officer, personally
appeared Sarah J. Howell, 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 hand and official seal.
(SEAL)
NOTARIAL SEAL
CORRINE L. MYERS, Notary Public
Carlisle Boro. CumberlandCounty
My C(nmmission Ez ires May 27, 2003
THE SARAH J. HOWELL
REVOCABLE LIVING TRUST
THIS DECLARATION OF TRUST, is signed in duplicate in Fairfax
County, Virginia, by the Grantor, Sarah J. Howell, and the original
Trustee as is stated in Article 15. The term "Trustee" includes
Trustees and successor Trustees. Wherever the context requires,
the singular includes the plural, the masculine includes the
feminine and neuter, and "I" or "my" refers to the Grantor.
ARTICLE 1. Grantor's Powers:
A. During Lifetime: The Grantor reserves the right at any
time or from time to time to amend or revoke this Trust in whole or
in part, by written instrument duly executed and delivered to the
p Trustee, and to add, substitute or remove any trust property. Upon
revocation of this instrument in its entirety, the Trustee shall
deliver to the Grantor, or as directed in the instrument of
revocation, all property held subject to this Trust.
B. By Will: The Grantor reserves the right to add property
to this Trust by Will.
ARTICLE 2. Trust Property:
The Grantor has delivered to the Trustee all of Grantor's
interest in the property described in Article 16. The Trustee
acknowledges receipt of such property and agrees to hold in trust,
manage and distribute the property and property later added to the
Trust by the Grantor, or any other person, or by any other names,
as provided in this Trust.
1
ARTICLE 3. Dispositive Provisions:
A. During Grantor's Lifetime: During my lifetime, the
Trustee shall accumulate the income and retain the principal of the
trust except as I may otherwise direct. If at any time, in the
opinion of the Trustee, I am unable to so direct, the Trustee may
pay income or principal as the Trustee may deem necessary to
provide for my support, maintenance and health care. Income shall
be distributed periodically, but at least once each year.
B. Upon Death of the Grantor:
1. Distribution of Principal: The principal then remaining,
along with any accumulated income, shall be divided by my Trustee
into three (3) equal shares: one share for Sarah Sue Howell, one
share for Laura L. Howell and one share for the issue of Jon L.
Howell, provided that my Trustee shall distribute the share of any
deceased beneficiary to the beneficiary's then living descendants,
1per stir es.
2. Children of Grantor: For the benefit of the Trustee,
Grantor announces the names of Grantor's children living at the
present time to be Sarah Sue Howell, Laura L. Howell and Jon L.
Howell.
3. Distribution of Tangible Personal Property: Make those
specific and general distributions as set forth in Article 1S.
4. Spendthrift Trust: The interest of each beneficiary and
all payments of income or principal to be made to or for any
beneficiary shall be free from the interference or control of any
creditor or spouse of the beneficiary and shall not be capable of
2
anticipation or assignment by the beneficiary.
5. Law Against Perpetuities: Any trust created shall
terminate not later than twenty-one (21) years after the death of
the last to survive of the Grantor and all issue of the Grantor
living at the date of the death of the Grantor. Upon that date,
unless previously terminated, the Trustee shall distribute the
principal and all accumulated income of each share to the
beneficiary for whom it was held, or in the case of a minor, to the
minor's parent or guardian.
ARTICLE 4. Trust for Descendants:
If any beneficiary in Article 3 is under the age of 21 years
(hereinafter referred to as the "age of distribution") at the time
that distribution is therein directed to be made, then the share of
such beneficiary shall be retained by the Trustee, IN TRUST, to
hold and manage for the benefit of the beneficiary. So much of the
income from this trust and, if net income be at any time
insufficient, so much of the principal of this trust as may be
deemed necessary in the discretion of the Trustee (taking into
account all other sources of income or support of the beneficiary
of which the Trustee has knowledge), shall be either paid to or
expended on behalf of the beneficiary (whichever in the Trustee's
discretion is determined most appropriate) in order to insure the
proper support, maintenance and education (including collegiate,
vocational or professional) of the beneficiary.
When the beneficiary reaches the age of distribution, the
principal then remaining, along with any accumulated income, shall
3
be paid over and distributed to the beneficiary.
In the event that the beneficiary should fail to attain the
age of distribution, the property being held for the beneficiary
shall be paid over and distributed to the beneficiary's heirs
(excluding any such heirs who are not also the kindred of either my
wife or me) pursuant to the intestate succession laws in force on
the date of this Trust; provided, however, that (i) should any such
heir be the beneficiary of a trust created herein, and still in
effect, the share of such beneficiary shall be added to such trust
and be held, managed and distributed as a part thereof and (ii)
should any other heir be under the age of 21, such beneficiary's
share shall vest absolutely and indefeasibly in the beneficiary but
it may be retained in trust by the Trustee, and used on behalf of
the beneficiary in accordance with the instructions contained in
the first paragraph of this article, until the beneficiary reaches
the age of 21.
If, at any time, the property held in trust for any
beneficiary is an amount so small that, in the discretion of the
Trustee, the continuation of the trust is not in the overall best
interests of the beneficiary, then the Trustee may (i) pay over,
deliver and convey the property to a suitable person (who may be
the Trustee) as Custodian for the beneficiary under the Uniform
Transfers to Minors Act (21); (ii) convert the trust assets
(including or excluding, in the Trustee's discretion, any interest
in real estate) into qualifying property and pay over and deliver
such property to the guardian, or (iii) pay over, deliver and
4
convey the property to the beneficiary; or (iv) utilize any
combination of (i), (ii) and (iii), above, and so terminate the
trust.
ARTICLE 5. Trustee's Powers: The Trustee shall have the
following powers, which are in addition to all common law and other
statutory powers, and in addition to all other powers granted to
the Trustee by this Trust, which shall continue after the
termination of any of the trusts created by this Trust for the
purpose of all or any portion of the trust property, and which may
be exercised at any time by the Trustee without approval from any
court: all those powers set forth in Section 64.1-57 of the
Virginia Code, as amended. In addition, the Trustee shall have the
following powers:
A. To keep and retain any or all investments and property,
real, personal or mixed, including stock in corporation, as they
may be at the time they come into the custody of said Trustee,
regardless of the character of same or whether they are such as
then would be authorized by law for investment by fiduciaries or
whether a disproportionately large part of the trust or estate
remains invested in one or more types of property, for such time as
the Trustee shall deem best, and to dispose of such property by
sale, exchange, or otherwise as and when such Trustee shall deem
advisable.
At the discretion of the Trustee, to receive additions to the
estate from any source, in cash or in kind, and to hold, administer
and distribute such additions as a part of and under the same
5
terms and conditions as the estate then currently held.
B. To sell, assign, exchange, transfer and convey or
otherwise dispose of any or all of the investments and property,
either real, personal or mixed, which may be included in, or may at
any time become part of the trust or estate upon such terms and
conditions as the Trustee, in his absolute discretion, may deem
advisable, at either public or private sale, either for cash or
deferred payments or other consideration, as such Trustee may
determine; and for the purpose of selling, assigning, exchanging,
transferring or conveying the same, to make, execute, acknowledge
and deliver any and all instruments of conveyance, deeds of trust,
or assignments in such form and with warranties and covenants as
such Trustee may deem expedient and proper; and in the event of any
sale, conveyance, exchange, or other disposition of any of the
trust or estate, the purchaser shall not be obligated in any way to
see to the application of the purchase money or other consideration
passing in connection therewith.
To grant, sell, transfer, exchange, purchase or acquire
options of any kind on property held by such trust or estate or
acquired or to be acquired by such trust or estate or held or owned
by any other person.
C. To invest and reinvest all of the funds of the estate as
said Trustee, in his sole discretion, may deem best, including
investment in stocks, common and preferred, and common trust funds,
without being restricted to those investments expressly approved by
statute for investment by fiduciaries; and to change investments
6
from realty to personalty, and vice versa.
D. To invest and reinvest all of the funds of the estate as
said Trustee, in his sole discretion, may deem best, including
investment in interests in investment trusts and mutual funds,
without being restricted to those investments expressly approved by
statute for investment by fiduciaries; and to change investments
from realty to personalty, and vice versa.
E. To lease any or all of the real estate, which may be
included in or at any time become a part of the trust or estate,
upon such terms and conditions as said Trustee, in his sole
judgment and discretion, may deem advisable, and any lease or
leases made by such Trustee may extend beyond the term of the trust
or administration of the estate and for the purpose of leasing said
real estate, to make, execute, acknowledge and deliver any and all
instruments, in such form and with such covenants and warranties as
such Trustee may deem expedient and proper.
F. To vote any stocks, bonds, or other securities held by
such Trustee at any meeting of stockholders, bondholders, or other
security holders, and to delegate the power to so vote to
attorneys-in-fact or proxies under power of attorney, restricted or
unrestricted.
G. To borrow money for such periods of time and upon such
terms and conditions as to rates, maturities, renewals and security
as to such Trustee shall seem advisable, including the power to
borrow from the Trustee, if the Trustee be a bank, for the purpose
of paying debts, taxes or other charges against the trust or estate
7
or any part thereof, and with prior approval of the court for any
proper purpose of the trust or estate, and to mortgage or pledge
such portion of the trust or estate as may be required to secure
such loan or loans; and as maker or endorser to renew existing
loans.
To make loans or advancements to the executor or other
representative of the grantor's estate in case such executor or
other representative is in need of cash with which to pay taxes,
claims or other indebtedness of the grantor's estate; but no assets
acquired from a qualified retirement benefit plan under Section
2039(c) of the Internal Revenue Code shall be so used, and such
assets shall be segregated and held separately until all claims
against the estate for debts of the decedent or claims of
administration have been satisfied. Such loans or advancements may
be secured or unsecured, and the trustee shall not be liable in any
way for any loss resulting to the trust or estate by reason of the
exercise of this authority.
H. To compromise, adjust, arbitrate, sue on or defend,
abandon, or otherwise deal with and settle claims, in favor of or
against the trust or estate as the Trustee shall deem best, and his
decision shall be conclusive.
I. To make distributions in cash or in kind or partly in
each at valuations to be determined by the Trustee, whose decision
as to values shall be conclusive.
To determine whether any part of the trust or estate
or any addition or increment thereto be income or principal, or
8
whether any cost, charge, expense, tax or assessment shall be
charged against income or principal, or partially against income
and partially against principal, provided that, this determination
be made so as to balance fairly the interests of the income
beneficiary and the remainderman.
J. To repair, alter, improve, renovate, reconstruct and
demolish any of the buildings on the real estate held by such
Trustee and to construct such buildings and improvements thereon as
such Trustee may, in his discretion, deem advisable.
K. To employ and compensate, out of the principal or the
income or both as to the Trustee shall seem proper, agents,
accountants, brokers, attorneys-in-fact, attorneys-at-law, tax
specialists, licensed real estate brokers, licensed salesmen and
other assistants and advisors deemed by the Trustee needful for the
proper administration of the trust or estate, and to do so without
liability for any neglect, omission, misconduct, or default of any
such agent or professional representative provided he was selected
and retained with reasonable care.
L. To rely upon any affidavit, certificate, letter, notice,
telegram, or other paper or upon any telephone conversation
believed by such Trustee to be genuine and upon any other evidence
believed by such Trustee to be sufficient and to be protected and
saved harmless in all payments or distributions required to be made
hereunder if made in good faith and without actual notice or
knowledge of the changed condition or status of any person
receiving payments or other distributions upon a condition.
9
M. To retain any interest held by such Trustee in any
business, whether as a stockholder or security holder of a
corporation, a partner, a sole proprietor, or otherwise, for any
length of time, without limitations, solely at the risk of the
trust or estate and without liability on the part of the Trustee
for any losses resulting therefrom; to participate in the conduct
of such business and take or delegate to others discretionary power
to take any action with respect to its management and affairs which
an individual could take as the owner of such business, including
the voting of stock, and the determination of any or all questions
of policy; to participate in any incorporation, reorganization,
merger, consolidation, recapitalization or liquidation thereof; to
invest additional capital in, subscribe to additional stock or
securities of, and loan money or credit with or without security
to, such business out of the trust or estate property; to elect or
employ as directors, officers, employees or agents of such
business, and compensate, any persons, including the Trustee or a
director, officer, or agent of the Trustee; to accept as correct
financial or other statements rendered by the business from time to
time as to his conditions and operations except when having actual
notice to the contrary; to regard the business as an entity
separate from the trust or estate with no duty to account to any
court as to his operations; to deal with and act for the business
in any capacity, including any banking or trust capacity and the
loaning of money out of the Trustee's own funds, and to be
compensated therefor; and to sell or liquidate such interest or any
10
part thereof at any time. If any business shall be unincorporated,
contractual and tort liabilities arising out of such business shall
be satisfied, first, out of the business, and second, out of the
trust or estate; but it is intended that in no event shall there be
a liability of the Trustee, and if the Trustee shall be held
liable, such Trustee shall be entitled to indemnification from the
business and the trust or estate in the order named. Such Trustee
shall be entitled to such additional compensation as is
commensurate with the time, effort, and responsibility involved in
his performance of services with respect to such business. Such
compensation for services rendered to the business may be paid by
such Trustee from the business or from other assets or from both as
the Trustee, in his discretion, may determine to be advisable; the
amount of such additional compensation, however, shall be subject
to the final approval of the court.
N. To do all other acts and things not inconsistent with the
provisions of the will or trust in which these powers are
incorporated which such Trustee may deem necessary or desirable for
the proper management of the trusts herein created, in the same
manner and to the same extent as an individual might or could do
with respect to his own property.
0. To purchase and hold policies of life insurance on the
life of any beneficiary, or any person in whom the beneficiary has
an insurable interest, and pay the premiums thereon out of income
or principal as he deems appropriate; provided, however, that the
decision of the beneficiary of any trust otherwise meeting the
11
requirements of Section 2056(b)(5) of the Internal Revenue Code of
1954, as amended, shall control in respect to the purchase or
holding of a policy of life insurance by the trustee of such trust.
P. To make any election authorized under any law requiring,
or relating to the requirement for, payment of any taxes or
assessments on assets or income of the estate or in connection with
any Trustee capacity, regardless of whether any property or income
is received by or is under the control of the Trustee, including,
but not limited to, elections concerning the timing of payment of
any such tax or assessment, the valuation of any property subject
to any such tax or assessment, the alternative use of items of
deduction in computing any tax or assessment and including
specifically elections permitted by statutes enacted after the date
of execution of the will or trust instrument.
Q. In addition, at any time that the Trustee or any
successor Trustee is acting as a Trustee, the sole signature of the
Trustee or of successor Trustee as a Trustee shall be sufficient to
execute proxies or powers of attorney to vote any securities or
represent the Trustee as the holder or owner of any securities or
other assets, to exercise stock powers or other endorsements of
securities or any other negotiable instruments registered, issued
or drawn in the name or to the order of the Trustee for the purpose
of effecting assignment, transfer or delivery, to sign checks or
orders to pay on deposits, accounts or credit balances of the
Trustee with any bank, banker, broker or trust company, and to
execute deeds for the transfers of any real property.
12
No person or corporation dealing with the Trustee shall be
required to investigate the Trustee's authority for entering into
any transaction or to see to the application of the proceeds of any
transaction.
No person or corporation dealing with the Trustee shall be
required to investigate the Trustee's authority for entering into
any transaction or to see to the application of the proceeds of any
transaction.
ARTICLE 6. Payments to Persons under Disability: Whenever
the trust property or any income of the trust property shall become
payable or is required to be paid pursuant to the provisions of
Article 3 to a minor or to a person not adjudicated incompetent but
who by reason of illness or mental or physical disability or
incapacity is under such disability, the Trustee upon receipt of a
written certificate to that effect from the beneficiary's
physician, or if the beneficiary has no physician or the physician
is unavailable, from a licensed medical doctor of Trustee's own
choosing, then payment may be made in Trustees' sole discretion:
(a) directly to the beneficiary; (b) to the legally appointed
guardian or conservator or other legal representative of the
beneficiary; (c) to some near relative of the beneficiary to be
applied for the beneficiary; or, (d) by expenditure by the Trustee
for the support, maintenance, education or medical care of the
beneficiary, and the payment or expenditure shall be a full release
of the Trustee in each instance.
13
ARTICLE 7. Distribution of Trust Property: When distribution
of trust property is made pursuant to any provision of this Trust,
the Trustee is authorized and empowered in its sole discretion to
make distribution in kind or in cash, or partly in both. The
determination of the Trustee as to the value of any property for
the purpose of any distribution shall be binding and conclusive
upon all persons who are then or may later become entitled to share
in the trust property.
ARTICLE 8. Trustees: Any Trustee may resign at any time by
giving at least thirty (30) days, written notice of its intention
to do so, delivered personally or by registered mail to the
remaining Trustee, or if none, to at least one beneficiary. In the
case of death, resignation, disability or incapacity of any prior
Trustee, established by the unanimous consent of the successor
Trustees, the person or organization named in the next succeeding
item of Article 15 shall be the Trustee. The last successor
Trustee may appoint a successor Trustee. Any successor Trustee
shall be deemed to be in office and entitled to act upon delivery
of its written acceptance of this Trust to an acting Trustee, or,
if none, to at least one beneficiary. Any successor Trustee shall
have all powers, immunities and discretions given to the original
Trustee. No Trustee shall be required to give bond for the
performance of its duties, or if required by law, no surety shall
be required on such bond. No Trustee shall be liable for anything
done or omitted to be done in good faith, nor for any facts of any
cc-Trustee, nor for the acts or omissions of any agent appointed
14
with due care, nor for negligence. The original Trustee hereunder
shall not be entitled to any compensation for its services but any
successor Trustee shall be entitled to reasonable compensation for
its services (other than any child/beneficiary or the Grantor), and
to reimbursement for expenses.
ARTICLE 9. Taxes: On the death of Grantor, the Trustee shall
pay out of the Trust estate, upon the request of the legal
representative of Grantor's probate estate, if any, such sums as
the representative shall state to be necessary for payment of
federal estate taxes and state taxes resulting from Grantor's
death, whether or not attributable to property subject to probate
administration or any other expenses incurred in the settlement of
Grantor's estate. If at the time of Grantor's death, the Trustee
holds, as part of the Trust estate, United States Treasury Bonds
redeemable at par for the payment of federal estate taxes, then
regardless of anything in this Trust to the contrary, the Trustee
shall apply such bonds unto the whole thereof to the payment of
federal estate taxes due by reason of the Grantor's death. Any
taxes on future or contingent interests may in the Trustee's
discretion be settled or compromised and paid at any time or times
before those taxes become due. In the event that no representative
of the Grantor's probate estate is appointed, then the Trustee
shall in its sole discretion determine the sums payable for these
purposes.
ARTICLE 10. Insurance: Grantor may deposit with the Trustee
any policies of Insurance owned by Grantor, but at any time before
15
Grantor's death the Grantor depositing the insurance shall have the
right to withdraw any or all of such policies from the possession
of the Trustee for any purpose. During the life of the insured
Grantor, the Trustee shall be under no obligation to pay premiums
on any policies deposited with it.
After the insured Grantor's death the Trustee shall make a
reasonable effort to collect the proceeds of any policies of
insurance. The Trustee may obtain reimbursement out of the trust
property for any advances made or expenses incurred in attempting
to collect insurance proceeds. No insurance company shall be
responsible for the execution of any provisions of this Trust.
Upon the death of the insured Grantor, the Trustee shall
allocate the proceeds of all insurance policies equally between the
designated beneficiaries.
ARTICLE 11: Place of Execution and Selection of "situs": The
Trust is executed within and shall be initially governed by the
laws of the State of the Grantor's residence as of the date of the
execution of this Trust, and all rights of the persons who now or
later may become entitled to share in the principal or income of
the Trust property shall be determined in accordance with those
laws until selection of other "situs" has been made. The Trustee
shall select that "situs" as in its sole opinion best carries out
the Grantor's purposes, and may change "situs" whenever it seems
best to the Trustee, regardless of anything in this Trust to the
contrary.
16
ARTICLE 12: Trustee Amendment of Administrative Provisions:
The Trustee may, upon giving notice to each beneficiary, amend,
either in whole or in part, any administrative provision of this
Trust which causes anticipated tax liability, or conform the
administrative provisions of the Trust to the requirements of the
taxing authorities. The Trustee is, therefore, expressly
authorized to enter into any agreements with the Internal Revenue
Service or any other governmental body and to execute any documents
as will, in the discretion of the Trustee, tend to minimize the
taxes resulting from this Trust.
ARTICLE 13. Miscellaneous:
A. Construction: The paragraph headings used are for
convenience only and shall not be resorted to for interpretation of
this Trust. If any portion of this Trust is held to be void or
unenforceable, the balance shall nevertheless be carried into
effect.
B. Survival: Any beneficiary who fails to survive the
division date by 120 hours shall be deemed to have predeceased the
division date, and the gift to such beneficiary shall be disposed
of accordingly.
C. Taking by Issue: When this trust provides for a deceased
beneficiary's issue to take that beneficiary's gift, then (i) the
takers shall be those children and more remote descendants of the
beneficiary who would have taken the beneficiary's real property if
the beneficiary had died at the time this trust provides for the
issue to take such gift, unmarried, under the intestate succession
r'
17
laws in force on the date of this trust, and (ii) the shares and
proportions of taking shall also be determined by said laws.
D. Taking by Adopted Persons: When the identity of a
beneficiary is to be determined by relationship, a relationship by
or through legal adoption shall be treated the same as a blood
relationship.
E. Interpretation: As used in this trust, the male gender
shall include the female and the neuter, the singular shall include
the plural, and vice versa.
F. Trust Cancellation: If Article 4 of this trust provides
for the creation of a trust for any beneficiary and if, in the
Trustee's discretion, the facts and circumstances existing at the
time for the funding of such trust indicate that the creation of
such a trust is not in the overall best interests of the
beneficiary, then I authorize the Trustee not to fund such trust
but, instead, (i) to pay over, deliver and convey the property to
a suitable person (who may be the Trustee) as Custodian for the
beneficiary under the Uniform Transfers to Minors Act (21) ; or (ii)
to pay over, deliver and convey the property to the beneficiary; or
(iii) to utilize any combination of (i) and (ii), above. The
Trustee may make such decisions in regard to any beneficiary and
not make such decisions in regard to any other beneficiary.
G. Merger: Any trust created under Article 4 hereof may,
for administrative purposes, be merged or consolidated by the
Trustee with any trust created under my will having the same
Trustee and substantially the same dispositive provisions.
18
H. Duplicate Copies: Duplicate copies of this agreement are
being signed, each of which shall be treated as an original.
I. Accounting: The Trustee shall provide an annual
accounting to the beneficiaries.
J. Payment of Debts and Expenses: In the event that there
are insufficient assets in my estate at my death, I direct that the
Trustee pay my legally enforceable debts, exclusive of those
secured by encumbrances upon real property. Moreover, if said
assets are insufficient, any estate, succession, legacy,
inheritance or other transfer taxes that shall be payable by reason
of my death, shall be paid out of and charged against the principal
of this Trust, without reimbursement from any person, as a cost of
the administration of this Trust. The expenses of my estate or
trust shall be paid out of post death income first, and then from
the principal of my trust.
ARTICLE 14. Purpose: The purpose of this Trust, among
others, is to provide for the management of Grantor's assets, both
presently and during any future period of disability, a preferred
alternative to guardianship proceedings, and a simplified means of
accomplishing both lifetime and death transfers of those assets.
ARTICLE 15. Essential Information:
A. Place of Execution and Names:
1. County and State: Fairfax County, Virginia
2. Grantor: Sarah J. Howell
3. Original Trustee: Sarah J. Howell
4. First Successor Trustee: Barbara T. Burns
19
5. Second Successor Trustee: The Law Firm of Fontanella
and Krithades, P.C.
B. Upon the death of the Grantor, the Trustee shall make the
distributions of tangible personal property as are set forth in a
letter of instructions which may be attached to this Trust. If no
letter of instructions is attached to this Trust, then my tangible
personal property shall pass according to the provisions of Article
3, above.
ARTICLE 16. List of Entrusted Assets:
A. All furniture, furnishings, fixtures and tangible
personal property wheresoever located, it being the intention of
the Grantor to transfer all, or substantially all of Grantor's
assets, present and future, to this Living Trust in order to have
little or no probate estate.
B. All stocks, bonds, certificates of deposit, savings
accounts, checking accounts, brokerage accounts, and other
securities and intangible assets of the Grantor, including all of
Grantor's present such assets and those which the Grantor nay
acquire during Grantor's lifetime and/or own at Grantor's death.
C. All assets listed on Schedule A.
Signed and Dated this 3rd day of November, 1998.
r
(SEAL)
1r,& 4 ~ N-e~ 5;;;~ 4~ 'WITNESS GRANTOR .41
_4~
(SEAL)
.Ce~ '74 WITNESS e1MUSTEE
20
STATE OF VIRGINIA
CITY OF ALEXANDRIA
Personally appeared the above-named Grantor and Trustee,
Sarah J. Howell, and duly acknowledged that they executed the
preceding instrument as their free act and deed before me this 3rd
day of November, 1998.
Notary Public
My Commission Expires: c/ 0j
EP798044
21
SCHEDULE A
The sum of $100.00 has been transferred to the Trust and
acknowledged by the Trustee.
First Successor Trustee: Barbara T. Burns
1915 Leo Lane
Alexandria, Virginia
703/619-0932 (h)
703/684-5400 (w)
22
ostal Service
U. S. P
FEDL CREDIT UNION
OP7ERA
7905 Malcolm Road, Suite 311, Clinton, MD 20735-1730
August 7, 2012
No V. Otto, Atty.
Martson Law Offices
10 East High Street
Carlisle, PA 17013
Re: Sarah J. Howell Revocable Living Trust - Account No. 10736
Law Office File No. 9942.1
Dear Mr. Otto:
Please find the information you requested in your letter dated July 31, 2012 below:
• The value of Ms. Howell's share accounts on the date of death was $92,
480.96.
Dividends of $36.00 were paid April 1, 2012.
Enclosed please find a check in the amount of $77, 243.79 which represents the balance
of the deceased member's account as of the date of this letter.
If you need additional information, please contact me at (301) 856-5000 ext. 1346.
Sincer ly,
Jacqueline Hickman
Personal Service Representative 11
Member Service Support
Tel: (301) 85()5000 • (800) LISPS FCU (877-7328) Fax: (301) 856-4061
Web site: www.uspsfcu.org • E-mail: uspsfcu@uspsfcu.org
ROBERT B. NEALON NEALON & ASSOCIATES P.C. OF COUNSEL:
JAY IAN IGIEL LARRY ANDERSON
ULKA PATEL SHRIVER+
ATTORNEYS AND COUNSELORS AT LAW JOHN T. CAULFIELD
JENNIFER GREGG WILLIAM E. CASSELMAN, 11
SAbIUEL ICETTERING 1 19 NORTH HENRY STREET
ALEXANDRIA, VIRGINIA 22314
TELEPHONE (703) 684-5755 FACSIMILE (703) 684-0153 Also admitted in DC & MD
' Also admitted in NY Also admitted in DC
+ Also admitted in DC, IL, FL
May 17, 2012
BY CERTIFIED U.S. MAIL
✓ No Otto, Esq.
MARTSON DEARDORF WILLIAMS & OTTO, P.C.
10 East High Street
Carlisle, Pennsylvania 17013
Tnistee of the Sarah J. Howell Revocable Living Trust
Ms. Laura Lynn Howell
11409 Mactavish Heights
Fairfax, Virginia 22030
Re: Sarah J. Howell, The Sarah J. Howell Revocable Living Trust.
Dear Mr. Otto & Ms. Howell:
Please be advised that this firm represents the U.S. Postal Service Federal Credit Union
(the "Credit Union"), and I write to you today with respect to all joint accounts formerly held by
the late Sarah J. Howell ("Ms. Howell"), individually or as trustee of the Sarah J. Howell
Revocable Living Trust from time to time, and one or more of her daughters, first Sarah Sue
Howell and Laura Lynn Howell and then only Laura Lynn Howell. After Ms. Howell's passing
came to the attention of the Credit Union management, account managers analyzed the history of
these accounts. For reasons stated herein, an administrative hold was placed on these accounts
between May 10, 2012, and May 11, 2012.
History of Joint Accounts.
It appears that the Credit Union member, Sarah J. Howell, opened a joint share account
with her two daughters, Laura Lynn and Sarah Sue, in 1971. Based upon the terms of said
account as expressed in the joint share account agreement, the member and her two daughters
were joint owners who each enjoyed the right to withdraw or receive funds from the account and
the survivor among them would benefit from the entirety.
It further appears that in September 1998 Ms. Howell subsequently created a revocable
living trust, daughter Sarah Sue had removed her name from the account, and Ms. Howell had
authorized the re-titling of the account into the name of her revocable living trust and offered a
replacement signature card showing her signature as trustee thereof. Because at the time Ms.
Howell took these actions daughter Laura Lynn had not removed her name from or otherwise
waived her rights to the account and funds to the Credit Union, Ms. Howell's transfer of interests
to the revocable living trust was effective only with respect to her undivided one-half interest in
the account, and did not displace Laura Lynn's continuing equal undivided interest in the account.
1
Note, I am advised that in 2009 Ms. Howell submitted another signature card that bore
her name without identification as trustee, but as she did not submit any instruction of transfer, I
take this to be a mistaken or otherwise defective re-designation of signature.
Accordingly, the Sarah J. Howell Revocable Living Trust and Laura Lynn Howell have
been and continue to be joint owners of accounts under said agreements. I understand from the
material Ms. Howell provided the Credit Union that the law firm of Martson Deardorff Williams
& Otto, serves as successor trustee of the Trust, effective upon her passing on or about April 11,
2012, and that said Trust has been irrevocable since that time.
Assessment of Accounts.
It is the Credit Union's position that the transfer from Ms. Howell individually to a trust
entity would convert the joint ownership with right of survivorship to a tenancy in common
without right of survivorship. I'm not aware of how the Trust and Laura Lynn Howell have
planned or will claim the partition or apportionment of the funds in the account, and whether the
operative date of valuation will be the date of transfer of Ms. Howell's share to trust or the date of
Ms. Howell's passing. It is the Credit Union's position that it will be for either or both among the
parties to move a court of appropriate jurisdiction to partition the funds and present any resulting
order to the Credit Union, or to present any formally executed agreement by and between them to
the Credit Union.
At this time, we request that the representative at Martson Deardorff authorized to act on
behalf of the firm as Trustee - and I understand this would be Mr. Otto - submit a current
signature card on behalf of the Trust.
As a precautionary measure, the Credit Union has placed an administrative hold on the
joint accounts for the present term of thirty (30) days, in order to allow each account owner time
to file any motions or propose any agreements they might consider appropriate, so any petitioned
court may give aid and guidance as to the "pendente" status of the account while it affords
consideration to the full case. Although the hold was effected on the joint savings accounts on
May 10, 2012, the checking account was kept active through May 11, 2012, in order to honor
previously drawn checks, which appeared to be routine utility and insurance bills, as a courtesy to
the account owners.
However, it appears that inside that small window of time, Laura Lynn Howell
transferred $14,400.00 into her own account at the Credit Union. Please be assured that it was not
the Credit Union's intention to allow significant transactions at this time - rather, the decision to
place an administrative hold was confirmed precisely to preserve the accounts' funds pending all
parties' opportunity to make proper arrangements for claims or agreements.
Conclusion.
I understand that the Sarah J. Howell Revocable Living Trust served to benefit several
descendants and family members of Ms. Howell. I am aware that if Ms. Howell's Estate is in
need, the law or a court order may provide the marshalling of certain Trust assets into the Estate. I
understand the Martson firm not only serves as Trustee but also represents the Estate. If there are
claims to be made or agreements that can be reached, it is my hope that Mr. Otto and his
colleagues will handle them appropriately with Laura Lynn Howell and her counsel, if any she
has.
2
R
The Credit Union does not wish to take an active role in any dispute but will take
reasonable and prudent measures to preserve the joint account assets during the same.
Accordingly, please advise me in writing of your respective intentions and continue to keep me
apprised of advances toward any necessary filing or eventual resolution. The Credit Union will
review the administrative hold thirty (30) days following May 11, 2012, and may extend, modify
or release it at that time based upon the information at hand.
I look forward to hearing from you.
Sincerely,
Ulka Patel Shriver, Esq.
CC: File.
U.S. POSTAL SERVICE FEDERAL CREDIT UNION
Attn. Jackie Hickman
7905 Malcolm Road, #311
Clinton, Maryland 20735
3
ACNB
BANK
September 5, 2012
Martson Law Offices
Attn: No V Otto III
10 E High St
Carlisle PA 17013
RE: Estate of Sarah Jean Howell
Dear Mr. Otto:
The following information is being provided as per your request:
Acct. Type Account No. Balance at Accrued Ownership Date
D.O.D. Interest to Opened/Joint
D.O.D.
Statement 9594310 $7,497.93 $0.15 I/T for Jonathan L Howell 8/19/02
Savings
Account
Statement 9594329 $7,497.93 $0.15 I/T for Christopher Howell 8/19/02
Savings
Account
Inquiries concerning ACNB Corporation stock information should be directed to the Registrar and Transfer Company
at 1-800-368-5948. If you need any additional information, please contact me at (717)339-5122.
Sincerely,
Barbara J Vier
ACNB Bank
Deposit Services Representative II
PO Box 3129, GETTYSBURG, PA 17325 ~ PHONE /717.3334.31611 FOEE FREE 1.888.334.2262 ~ amb.com ~ acnbbusiness.com