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IN RE: MANUFACTURERS & TRADERS TRUST COMPANY (Formerly Merchants National Bank and trust Company of Syracuse), a Co-Trustee of the David Small Trust Under Agreement Dated December 28, 1938, for Advice and Direction Pursuant to SCPA 2107, Petitioner-Appellant-Respondent. David Small and Patricia Small Kellett, Respondents-Respondents-Appellants.
Petitioner appeals from that part of a decree determining that “EPTL 11-A-4.6 does not require the distribution of an amount equal to the annual fixed appreciation in value of the original issue discount bonds currently owned by the David Small Trust.” That part of the decree does not affect a substantial right of petitioner (see Matter of Michel, 12 A.D.3d 1189, 1190, 786 N.Y.S.2d 867; Matter of Sayers, 273 App.Div. 1051, 79 N.Y.S.2d 770; see also SCPA 2701; CPLR 5701[a][2][v] ), and petitioner does not have a direct interest in the outcome of this matter and is not affected by the result (see Matter of Huggins, 239 N.Y. 511, 147 N.E. 174; Isham v. New York Assn. for Improving Condition of Poor, 177 N.Y. 218, 222, 69 N.E. 367; cf. Matter of Farone, 101 A.D.2d 986, 987-988, 477 N.Y.S.2d 470, revd. on other grounds 65 N.Y.2d 764, 492 N.Y.S.2d 938, 482 N.E.2d 556). We thus dismiss petitioner's appeal inasmuch as petitioner is not an aggrieved party (see CPLR 5511; Matter of Cannan, 278 App.Div. 742, 103 N.Y.S.2d 422).
We note that the issue raised by respondents on their cross appeal, i.e., that Surrogate's Court erred in determining that the trust instrument requires that $10,000 per year be distributed to each of the six children as the income beneficiaries of the trust, is not encompassed by the notice of cross appeal. Nevertheless, inasmuch as there is no indication on this record that petitioner is prejudiced by that omission, we exercise our discretion “to reach beyond” the scope of respondents' notice of cross appeal and address the merits of that issue (McSparron v. McSparron, 87 N.Y.2d 275, 282, 639 N.Y.S.2d 265, 662 N.E.2d 745, rearg. dismissed 88 N.Y.2d 916, 646 N.Y.S.2d 982, 670 N.E.2d 222). “[I]t is a fundamental principle of will and trust construction that[,] where the document in question ․ is clear, it must be enforced as written, without reference to parol evidence with respect to the original intent of the grantor” (Hemingway v. Hemingway Found., 193 A.D.2d 559, 560, 598 N.Y.S.2d 221). Contrary to respondents' contention, paragraph FIRST (f) of the trust instrument unambiguously directs that $10,000 must be paid each year to each of David and Florence Small's children, regardless of their age. The word “child” is unambiguous, and resort to parol evidence is not necessary to discern the grantor's intention. While we acknowledge that such distribution will deplete the corpus of the trust, the trust is unambiguous in that respect and the Surrogate therefore properly determined that the provision in the trust applies to each child, regardless of whether they are minors.
Respondents further contend that the Surrogate erred in failing to determine that the trust instrument did not require distribution of an amount equal to the annual fixed appreciation in value of the original issue discount bonds owned by the David Small Trust. Resolution of that contention involves an interpretation of whether the trust instrument at paragraph FIRST (a) requires the distribution of that type of income and, although the petition sought a determination of that issue, the Surrogate in fact never addressed it. We therefore modify the decree by remitting the matter to Surrogate's Court to determine that issue.
It is hereby ORDERED that said appeal be and the same hereby is unanimously dismissed without costs and the decree is modified on the law by remitting the matter to Surrogate's Court, Onondaga County, for further proceedings in accordance with the memorandum and as modified the decree is affirmed without costs.
MEMORANDUM:
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Decided: July 06, 2007
Court: Supreme Court, Appellate Division, Fourth Department, New York.
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FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.
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