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Home My WebLink About08-24-89 COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA ORPHANS' COURT DIVISION NO. 21-86-398 ESTATE OF ROBERT M. MUMMA, DECEASED ANSWER OF BARBARA McK. MUMMA AND LISA M. MORGAN TO PETITION OF ROBERT M. MUMMA, II TO REVOKE DISCLAIMER Barbara McK. Mumma and Lisa M. Morgan, (the "Executrixes") Executrixes of and Trustees under the will of Robert M. Mumma, deceased ("Mr. Mumma") hereby file the following Answer to the Petition of Robert M. Mumma, II to Revoke DiSClaimer, in accordance with the numbered paragraphs thereof: 1 and 2. Admitted. 3. Admitted. Robert M. Mumma, II has two minor children, Robert M. Mumma, III (born 5/12/82) and Susan Mann Mumma (born 6/19/87), who on the death of Mr. Mumma's widow, Barbara McK. Mumma, will, if living, receive a share of the trusts under Mr. Mumma's will which otherwise would have been distributable to Robert M. Mumma, II, had he not disclaimed his interest. 4, 5, 6 and 7. The provisions of Mr. Mumma's will speak for themselves. ,. """".:'. 8. Denied as stated. In the weeks prior to the due date for filing the Federal estate and Pennsylvania inheritance tax returns (January 12, 1987) Arthur L. Klein, Esq., in his capacity as counsel to Mr. Mumma's estate, discussed with the Executrixes and other family members, including Robert M. Mumma, II, that based on preliminary indications from accountants and outside experts it appeared that the estimated date-of-death value, net of debts and expenses, of Mr. Mumma's estate would be at least $9,000,000. 9. It is denied that Arthur L. Klein, Esq., made any representation to anyone with respect to the value of Mr. Mumma's estate prior to the execution and filing of a Disclaimer by Robert M. Mumma, II. It is admitted that Robert M. Mumma, II, executed a Disclaimer and filed it with the Clerk of this Court on or about January 6, 1987. It is admitted that Exhibit A to the Petition is a copy of the Disclaimer. 10. Denied as stated. The Executrixes have no knowledge of what Robert M. Mumma, II, may have "learned" subsequent to his execution and filing of his Disclaimer. Mr. Mumma's estate, his widow and his children, including Robert M. Mumma, II, received an offer from a third party more than a year and a half after Mr. Mumma's death to purchase certain business properties owned by all of them for a price of approximately $43,000,000 (the estate's share would be less than half the offering price) subject, however, to various representations, warranties, escrow arrangements and other - 2 - < - conditions and restrictions which at the date hereof have not been finally agreed to, but which if finally agreed to would be offset to an undetermined extent the amount to be received by Mr. Mumma's estate. 11. Denied. The Executrixes were informed by Robert M. Mumma, II when he signed and filed his Disclaimer that he was doing so because (i) he had a large estate of his own and did not need the inheritance left to him under his father's Will and (ii) the Disclaimer gave him the opportunity to pass his inheritance on to his children free of the estate taxes (presently assessed at the maximum rate of 55%) which would be imposed on that inheritance were it included in his estate at his death. To the extent that Robert M. Mumma, II's Petition suggests that either the Executrixes or their counsel committed any impropriety by informing him in good faith of the estimated date-of-death value of his father's estate for death tax purposes based on preliminary indications of outside experts, such suggestion is denied. 12. This paragraph is a request for relief to which no response is required. See also paragraph II, above, which is hereby incorporated by reference. 13. Denied as stated. The Executrixes take no position as to whether Robert M. Mumma, II, should be allowed to revoke his Disclaimer. However, the facts recited in his Petition as grounds for permitting such revocation are untrue. - 3 - [':....- ~ b-"". NEW MATTERS 14. The Executrixes believe that the children and unborn descendants of Robert M. Mumma, II, should have the opportunity to be heard on his Petition, because a revocation of his Disclaimer would deprive such children and descendants of property to which they otherwise would be entitled at the death of Mr. Mumma's widow. For this reason the Executrixes have made a copy of the Petition and Rule to Show Cause available to Robert M. Frey, Esq., who is guardian ad litem for the children and unborn descendants of Robert M. Mumma, II. 15. The Executrixes think that all expenses in connection with the proceeding brought on by the Petition to Revoke Disclaimer, inCluding any fees of a guardian ad litem, filing fees, etc., should be charged back against the property distributable to Robert M. Mumma, II or to his descendants, on the death of Mr. Mumma's widow. Such expenses should not be charged generally against Mr. Mumma's estate or the trusts under his will because Robert M. Mumma, II's attempt to revoke his Disclaimer affects only him and his descendants. The Executrixes think it would be unfair to assess such expenses against the property of other members of Mr. Mumma's family, who have no interest in the disposition of the Petition. WHEREFORE, Barbara McK. Mumma and Lisa M. Morgan, Executrixes of and Trustees under the will of Robert M. Mumma, deceased, request that provision be made in these proceedings - 4 - <- '"'9 ..... -< u' for the legal representation of the children and unborn descendants of Robert M. Mumma, II, as such, and that the Order finally disposing of Mr. Mumma's Petition provide that all expenses of this proceeding be deducted from the shares of the trusts under Mr. Mumma's will ultimately distributable on the death of Mr. Mumma's widow to Robert M. Mumma, II, or to his descendants. e pec..tful}Y submitted, l ~/V,vL~ . ILLIAM E. ZEITER, I.D. 04629 HOMAS M. KITTREDGE, I.D. #04471 JOSEPH A. O'CONNOR, JR., I.D. #18327 Morgan, Lewis & Bockius 2000 One Logan Square ~hi~lPhia, PA 1~1 ) 6?-53 ,~6, 212 L I . ;!l;:ut, .D": #06291 Martson, Deardorff, Williams & otto 10 East High Street Carlisle, PA 17013 (717) 243-3341 Attorneys for Respondents - 5 - 6-~ / , "./ -.f VERIFICATION Barbara McK. Mumma, being duly sworn according to law, deposes and says that the facts set forth in the foregoing Answer are true and correct to the best of her knowledge, information and belief and she understands that the statements therein are subject to the penalties of 18 Pa.C.S. 9 4904 relating to unsworn falsification to authorities. bOJJ La) ~s€ };; u~ Barbara McK. Mumma - 6 - ~1 :::() VERIFICATION Lisa M. Morgan, being duly sworn according to law, deposes and says that the facts set forth in the foregoing Answer are true and correct to the best of her knowledge, information and belief and she understands that the statements therein are subject to the penalties of l8 Pa.C.S. S 4904 relating to unsworn falsification to authorities. flflm Yf. ;I)U(;!?iU i a M. Morgan (/ - 7 - ... 'i I '>-}'.'.', COURT OF COMMON PLEAS OF CUMBERLAND COUNTY, PENNSYLVANIA ORPHANS' COURT DIVISON No. 21-86-398 ESTATE OF ROBERT M. MUMMA, DECEASED CERTIFICATE OF SERVICE I, Joseph A. o'Connor, Jr., hereby certify that I have caused a true and correct copy of the Answer of Barbara McK. Mumma and Lisa M. Morgan to the Petition of Robert M. Mumma, II to Revoke Disclaimer to be hand delivered on August 24, 1989 to: Arthur L. Klein, Esquire 2000 One Logan Square Philadelphia, PA 19103 and sent by first-class mail on August 24, 1989, addressed as follows, to: william C. Kollas, Esquire KOLLAS, COSTOPOULOS, FOSTER & FIELDS 831 Market street/P.O. Box 222 Lemoyne, PA 17043 Richard w. stevenson, Esquire McNEES, WALLACE & DURICK 100 Pine Street P.O. Box 1166 Harrisburg, PA 17108-1166 Robert M. Frey, Esquire 5 South Hanover Street Carlisle, PA 17013 Linda M. Roth 5104 Wessling Lane Bethesda, MD 20814 Barbara M. McClure 129 Lewisberry Road Mechanicsburg, PA Dated: /1"71/(1 2L(( /C;gj r ,." ",""" . ~- ""':,. "lIII '.i . ~'U"'::S:c...>-3~ t'l "'::r 0 0 0 ::r..... m ..........0'1 rn 0..... > >-3 ("JH U1..... OlCl CD :3 ..... Z> > c: 0 ~ ill ill '0 ill ..... I::1Z >-3 :3 o.OO::rrnill m t'l c;rrt 10 CD 0 - :3 Oi:"'~ 0 0 CD::r a-..... CD > ::s: >-3"lHt'l '1 '1 CD W'O t""1.. t:Ij o m::o "l '0 ..... 1::ri:"'CD ::0> ::0 ::r ill("J U1 ..... 0 :;; 0 :>: ::00 0 ill o 0 WJ:lllQ,.... "I-'"N t'ltll::s: 0 Z 0 o.c: a-_ illrn("JrtCD <: t'l. 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