Spatz's Estate

Citations

• 245 Pa. 334
• 91 A. 492
• 1914 Pa. LEXIS 880

Syllabus

<p>Trusts — Trustees—Neglect and mismanagement — Surcharge.</p> <p>At the audit of the account of a testamentary trustee, as stated by Ms administrator, it appeared that decedent held a fund of $20,000 in trust for the benefit of a minor and others; that the guardian of such minor had previously petitioned the Orphans’ Court for the removal of decedent as trustee, alleging that he was insolvent and wasting the estate. By agreement of the parties the trustee filed a bond for the protection of the estate, and the proceeding was discontinued. The bond recited an agreement on the part of' the trustee that the full amount of $20,000 should be secured intact. The accountant charged himself with securities having a face value of $20,174.18. Exceptions to the account were filed by the substituted trustee, and the accountant converted a portion of the securities into cash, ¡and paid $10,728.27 to the substituted trustee. The substituted trustee refused to accept the remaining securities in satisfaction of the balance of the $20,000. There was no evidence of the value of a number of the securities, and it was, impossible to say what they were worth. The auditing judge found that decedent had neglected and mismanaged the estate, and impaired its value, and ordered the administrator to pay the balance in cash to the substituted trustee. Held, no error.</p>