- 7 - Section Two of the amended trust provides: Life Estate to Surviving Spouse of Trustor: After the death of trustor survived by his spouse and during the lifetime of his surviving spouse, the trustee shall pay to or apply for the benefit of the surviving spouse, in quarter annual or more frequent installments, all of the net income from the trust estate as the trustee, in the trustee’s reasonable discretion, shall determine to be proper for the health, education, or support, maintenance, comfort and welfare of grantor’s surviving spouse in accordance with the surviving spouse’s accustomed manner of living. Section Three of the amended trust provides: Designation of Successor Trustees: The first successor trustee of the Ralph H. Davis Trust shall be his spouse, Evelyn L. Davis. In the event Evelyn L. Davis shall die, become incapacitated or otherwise be unable to administer the trust estate, then grantor’s daughters, Carol Tawney Pencke and Mary Martha Bennett, or the survivor of them shall serve as co-trustees without bond. Section Four of the amended trust provides: Guideline - Other Sources: Beneficiary: In making distributions to grantor’s surviving spouse, the trustee, in her reasonable discretion, may consider any other income or resources of the beneficiary known to the trustee and reasonably available. Section Five of the amended trust provides: Invasion of Principal for Surviving Spouse - Narrow Standard: If the trustee shall determine that the income from this trust and that the income and principal from the surviving spouse’s own trust2 shall be insufficient to maintain surviving spouse’s health, support, and 2This trust is not directly in issue in the instant case, and shall sometimes hereinafter be referred to as the “Evelyn L. Davis trust”. The trust in issue is the testamentary trust.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011