Surrogate Rita Mella
Co-trustees sought to terminate a trust created under decedent's will. The trust was created for the benefit of various individuals and charities, directing that it provide beneficiaries with annual income. The will was silent as to the final termination, merely stating its assets were to be held "in perpetuity" so the income could be used to make the described gifts. Co-trustees sought termination under Estates Powers and Trusts Law §7-1.19 claiming the expense of administering the trust rendered its continuation impractical and uneconomical. The court found petitioners established the trust no longer provided the income decedent envisioned, stating it was reasonable to describe the continuance of the trust as economically impracticable. It noted the trust did not explicitly provide a time or condition for termination, nor did it bar early termination, hence, absent such express prohibition, §7-1.19 was not offended. As such, the court found termination did not contravene the testator's expressed intent in creating the trust because termination did not defeat any specified purpose, as none was stated. Further, the court noted termination benefitted the income beneficiaries, granting the petition.
