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Judges rule in favor of bank on request to end trust

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A beneficiary of a trust couldn’t prove to the Indiana Court of Appeals that the purpose of the trust, created by her mother, was to benefit any grandchildren and because there are no grandchildren, the trust should be terminated.

Sally Jean Kristoff established the Sally Jean Kristoff Trust in 1985 and amended the trust document in 1988. Upon her death in 2000, two separate trusts were created in the names of her daughters, Amy Kristoff and Laurie Ann Kristoff, with each trust funded with an amount equal to the then-existing generation skipping tax exemption.

Amy sought to terminate the Amy Jean Kristoff Trust in November 2010, arguing that the trust was created to benefit her and her sister’s children. Since neither sister had children, these circumstances weren’t forseen by Sally Jean Kristoff and the continuing existence of the trust is impractical and wasteful.

The trial court granted summary judgment in favor of Centier Bank and denied Amy’s request to terminate the trust.

After reading the terms of the trust set up by Kristoff’s mother, the judges rejected Kristoff’s claim that the purpose of the trust was to provide for grandchildren while avoiding consequences of the generation-skipping tax. Tax avoidance was a part of the trust’s purpose, but the main purpose was to provide for the health and welfare of the beneficiaries and his or her dependents, Judge Paul Mathias wrote.

Also, the trust document anticipates that all the assets in the trust may be distributed before the death of the beneficiary, leaving nothing for any children of the beneficiary. The trust doesn’t require that any assets be distributed to Sally Jean Kristoff’s grandchildren.

The judges held that the lack of children by Kristoff and her sister is not an unforeseen circumstance to support the termination of the trust.

“The terms of the trust document are clear and unambiguous, and the primary purpose of the trust was not for the benefit of the beneficiaries’ children. Nor was the beneficiaries’ failure to have children an unforeseen circumstance. Amy has identified no genuine issue of material fact, and the Bank has demonstrated that it is entitled to judgment as a matter of law,” the judge wrote in Amy Jean Kristoff v. Centier Bank, 45A03-1204-TR-186.

 

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  1. A traditional parade of attorneys? Really Evansville? Y'all need to get out more. When is the traditional parade of notaries? Nurses? Sanitation workers? Pole dancers? I gotta wonder, do throngs of admiring citizens gather to laud these marching servants of the constitution? "Show us your billing records!!!" Hoping some video gets posted. Ours is not a narcissistic profession by any chance, is it? Nah .....

  2. My previous comment not an aside at court. I agree with smith. Good call. Just thought posting here a bit on the if it bleeds it leads side. Most attorneys need to think of last lines of story above.

  3. Hello everyone I'm Gina and I'm here for the exact same thing you are. I have the wonderful joy of waking up every morning to my heart being pulled out and sheer terror of what DCS is going to Throw at me and my family today.Let me start from the !bebeginning.My daughter lost all rights to her 3beautiful children due to Severe mental issues she no longer lives in our state and has cut all ties.DCS led her to belive that once she done signed over her right the babies would be with their family. We have faught screamed begged and anything else we could possibly due I hired a lawyer five grand down the drain.You know all I want is my babies home.I've done everything they have even asked me to do.Now their saying I can't see my grandchildren cause I'M on a prescription for paipain.I have a very rare blood disease it causes cellulitis a form of blood poisoning to stay dormant in my tissues and nervous system it also causes a ,blood clotting disorder.even with the two blood thinners I'm on I still Continue to develop them them also.DCS knows about my illness and still they refuse to let me see my grandchildren. I Love and miss them so much Please can anyone help Us my grandchildren and I they should be worrying about what toy there going to play with but instead there worrying about if there ever coming home again.THANK YOU DCS FOR ALL YOU'VE DONE. ( And if anyone at all has any ideals or knows who can help. Please contact (765)960~5096.only serious callers

  4. He must be a Rethuglican, for if from the other side of the aisle such acts would be merely personal and thus not something that attaches to his professional life. AND ... gotta love this ... oh, and on top of talking dirty on the phone, he also, as an aside, guess we should mention, might be important, not sure, but .... "In addition to these allegations, Keaton was accused of failing to file an appeal after he collected advance payment from a client seeking to challenge a ruling that the client repay benefits because of unreported income." rimshot

  5. I am not a fan of some of the 8.4 discipline we have seen for private conduct-- but this was so egregious and abusive and had so many points of bad conduct relates to the law and the lawyer's status as a lawyer that it is clearly a proper and just disbarment. A truly despicable account of bad acts showing unfit character to practice law. I applaud the outcome.

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