Spring 2001 Professor Naomi R. Cahn

Trusts and Estates I



TRUSTS AND ESTATES I



1. Course Materials: The book for the course is Jesse Dukeminier and Stanley M. Johanson, WILLS, TRUSTS, AND ESTATES (6th ed. 2000).



I recommend the following if you would like to consult any outside sources: Roger W. Anderson, UNDERSTANDING TRUSTS AND ESTATES (1994); Gerry Beyer, WILLS, TRUSTS, AND ESTATES: EXAMPLES AND EXPLANATIONS (1999); or William McGovern, Jr., Sheldon Kurtz, & Jan Rein, WILLS, TRUSTS, AND ESTATES (1988).



2. Professor's Office Hours: My office is Old Main, rm 403; my telephone number is 46025; and my e-mail address is ncahn@main.nlc.gwu.edu. My office hours will be on Wednesday from 1:50-3:30. Please feel free to call me if you would like to schedule an appointment for another time. I invite any student who wants to discuss further any issues that we have (or have not) discussed in class to speak with me after class or to set up another time to talk.



3. About the Course: Trusts & Estates is an interesting and challenging course for many reasons. Perhaps at the most basic level, the course (and the practice of T&E) is about people. Everyone will die at some point, and, although many of us don't want to think about this, some people do like to plan for that eventuality: deciding who will take care of minor children; dividing up assets; and if they have substantial resources, attempting to minimize wealth transfer tax liability. T&E also offers a glimpse into some of the most interesting and troublesome questions in our society -- from the changing structures of family life, to end-of-life decision making, to advanced reproductive technologies. In addition, T&E raises some of the fundamental tensions in jurisprudence: e.g., between default rules (background rules) and individual's actual preferences; between mandatory rules (society's absolute preferences) and individual autonomy; and between form and substance.



4. Requirements for the course:



a. Class attendance and participation: I expect everyone to prepare for class, to attend, and to participate regularly. Where there are problems in the casebook, please think carefully about your answers.

In order to stimulate class discussion, I plan to use a volunteer system. I will distribute a sign-up sheet each week for 6 volunteers for the following week. Everyone in the class must sign up for at least one week (so please don't wait for the last week!). Students who recurrently miss class without excuse will not be permitted to take the final examination.



Class participation can affect your grade positively or negatively; it can raise or lower your grade by one grade step (e.g., from B to B+).



b. Exam: The final exam will be an open book examination on Friday May 11. The examination will be approximately one-third multiple choice and two-thirds essay questions.

Spring 2001 Professor Naomi R. Cahn

Trusts and Estates I





SYLLABUS FOR TRUSTS AND ESTATES I





I. Introduction to Estate Planning

A. The Power to Transmit Property at Death 1-34

1. Justifications and Limitations

Hodel v. Irving

Shapira v. Union National Bank

B. Transfer of Decedent's Estate 34-49

1. Probate and Nonprobate Property

C. Introduction to Wealth Transfer Taxation 977-985

D. Professional Responsibility 59-70

Simpson v. Calivas

Hotz v. Minyard

E. An Estate Planning Problem: the Browns 49-59



II. Intestacy

A. The Basic Scheme 71-97

1. Share of Surviving Spouse

2. Shares of Descendants

3. Shares of Ancestors and Collaterals

B. Transfers to Children 97-140

1. Children

Hall v. Vallandingham

O'Neal v. Wilkes

Hecht v. Superior Court

2. Advancements

3. Managing a Minor's Property

4. Brown's Estate Planning Problem, cont.

C. Bars to Succession 141-157

1. Homicide

In re Estate of Mahoney

2. Disclaimer

Troy v. Hart



III. Wills: Capacity and Contests

A. Mental Capacity 159-175

In re Strittmater

In re Honigman

B. Undue Influence 175-213

Lipper v. Weslow

In re Will of Moses

Seward Johnson's Estate



C. Fraud 213-222

Latham v. Father Divine

IV. Wills: Formalities and Forms

A. Execution of Wills

1. Attested Wills 223-262

In re Groffman

Estate of Parsons

In re Pavlinko's Estate

In re Will of Ranney

2. Holographic Wills 262-276

In re Estate of Johnson

Kimmel's Estate

B. Revocation of Wills

1. Revocation by Writing or Physical Act 276-285

Harrison v. Bird

Thompson v. Royall

2. Dependent Relative Revocation and Revival 286-300

Carter v. First United Methodist Church of Albany

Estate of Alburn

3. Revocation by Operation of Law

C. Components of a Will 301-319

1. Integration of Wills

2. Republication by Codicil

3. Incorporation by Reference

Clark v. Greenhalge

Simon v. Grayson

Johnson v. Johnson

4. Acts of Independent Significance

D. Contracts Relating to Wills 319-329

1. Contracts to Make a Will

2. Contracts Not to Revoke a Will

Via v. Putnam

E. Admission of Extrinsic Evidence 409-438

1. Interpretation of Wills

Mahoney v. Grainger

Fleming v. Morrison

Estate of Russell

2. Correcting Mistakes

Erickson v. Erickson



V. Nonprobate Transfers 331-344

A. Contracts with Payable on Death Provisions

Wilhoit v. Peoples Life Insurance Co.

Estate of Hillowitz

Cook v. Equitable Life Assurance Society

B. Multiple Party Bank Accounts 344-350

Franklin v. Anna National Bank of Anna

C. Joint Tenancies 350-351

VI. Planning for Incapacity 396-408

1. Durable Power of Attorney

Franzen v. Norwest Bank Colorado

2. Directives Regarding Health Care and Disposition of the Body

VII. Restrictions on the Power of Disposition

A. Rights of the Surviving Spouse 471-480

1. To Support

2. To a Share of Decedent's Property/Elective Share 480-500

In re Estate of Cross

In re Estate of Cooper

3. Property Subject to the Elective Share 500-517

Sullivan v. Burkin

In re Reynolds

4. Waiver 517-521

In re Estate of Garbade

In Re Grieff

5. Community Property Issues 521-530

6. Spouse Omitted from Premarital Will 530-536

Estate of Shannon

B. Rights of Issue Omitted from the Will 536-551

Azcunce v. Estate of Azcunce

Espinosa v. Sparber et al.

In re Estate of Laura

VIII. Trusts

A. Introduction 553-567

B. Creation of a Trust 567-575,

1. Intent 580-581

Jiminez v. Lee

2. Trust Property 581-597

Unthank v. Rippstein

Brainard v. Commissioner

Speelman v. Pascal



3. Beneficiaries 597-608

Clark v. Campbell

In re Searight's Estate

4. Written Instrument 608-617

Hieble v. Hieble

Olliffe v. Wells

C. Discretionary Trusts 617-631

Marsman v. Nasca

D. Revocable Trusts 351-371

1. Introduction

Farkas v. Williams

In re Estate and Trust of Pilafas

State Street Bank and Trust Co. v. Reiser

2. Pour-over Wills 371-396

Clymer v. Mayo



IX. Powers of Appointment 665-676

A. Types of Powers

Irwin Union Bank & Trust Co. v. Long



X. Trust Administration

A. Powers of the Trustee 950-954

B. Duties of the Trustee

1. Loyalty 903-919

Hartman v. Hartle

In re Rothko

2. Care of Trust Property 919-922

3. Duty not to Delegate 922-929

Shriners Hospital for Crippled Children v. Gardiner

4. Duty of Impartiality 929-938

Dennis v. Rhode Island Hospital Trust Co.

5. Duty to Inform and Account to Beneficiaries 938-949

Fletcher v. Fletcher

National Academy of Sciences v. Cambridge Trust Co.