Estate of Suzanne C. Pruitt - Page 22




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          authority to make irrevocable gifts during the principal’s                  
          lifetime).                                                                  
              Because the powers of attorney in this case contain language            
         broad enough to include the power to make gifts and, therefore,              
         could be interpreted to authorize Ms. Thompson to make the 1993              
         and 1994 gifts, we now must examine the facts and circumstances              
         surrounding the execution of the powers of attorney to ascertain             
         whether decedent intended to confer gift-giving power and, if so,            
         whether the gifts in question were “within the spirit of the                 
         power conferred upon” Ms. Thompson.  Wade v. Northup, 140 P. at              
         458; see also Brown v. Laird, 291 P. at 354.                                 
              Petitioner offered the following evidence of decedent’s                 
         intent:  A substantial and consistent pattern of annual gifting              
         extending over a period of 13 years prior to the gifts made by               
         Ms. Thompson; a February 26, 1987, handwritten letter from                   
         decedent to her children;13 decedent’s awareness of the potential            


               13The handwritten letter, dated February 26, 1987, reads as            
          follows:                                                                    
               Dear Kids of Ours,                                                     
                    We hope this does not shock you too much, but we                  
               * * * [thought] we’d like to share with you some of the                
               rewards of our efforts, and we like to think, “good                    
               management.”  We * * * [thought] too that it is better,                
               to give to you now, instead of from a will.  Then most                 
               of it would be consumed by old Uncle Sam, who is always                
               hungry.  We want you to enjoy it.  It will cause you no                
               income tax, because it has already been paid.                          
                                                             (continued...)           





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