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to the residuary trusts totaling $4.16 million. In
September 1984, the residuary trusts sold Modern Globe's
operating assets for $35 million. Subsequently, the
corporation paid a $29,900,000 dividend to the trusts, and
the trustees of the residuary trusts liquidated Modern
Globe.
Respondent determined that decedent, as the income
beneficiary of both the marital trust and the residuary
trust, possessed a claim for delayed income under N.Y. Est.
Powers & Trusts Law (EPTL) section 11-2.1(k) (McKinney
1967) (sometimes referred to as the delayed income
provision), with respect to a portion of the proceeds
derived from the sale of Modern Globe. Respondent
determined the value of this claim to be $13,461,477.
Petitioners move for a holding that neither decedent
nor her estate had a claim for delayed income under EPTL
section 11-2.1(k) at the time of her death. Petitioners
contend that, on the basis of the undisputed facts, this
Court can find that the delayed income provision does not
apply in these cases because Mr. de St. Aubin's will
provides a method for allocating the proceeds from the sale
of property held by his estate and the trusts set up
thereunder. As a result, petitioners argue, the proceeds
from the sale of Modern Globe must be allocated to
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