Trust dispute winds up in court

BY STACI WILSON

After Craig Stevens found out his grandmother specifically excluded him from her ‘Snow Hollow Trust’, he moved to block the final distribution in court on Wednesday, Aug. 10.

President Judge Kenneth Seamans heard about two hours of testimony Wednesday afternoon, but as of Tuesday morning (Aug. 16) had not yet ruled on the matter.

The ‘Snow Hollow Trust’ created by Bernice Price in 1994 was changed several times with the final change being made in June 2008. Price died in early 2010.

Stevens argued Price had not been fully informed before making the 2008 changes.

Wendy Schneider, attorney for petitionerNBT/PennStar sought approval for the final account of the trust.

Timothy Handy,NBTBank Corporate Senior Vice President and Chief Trust Officer, took the stand.

He said trust documents appeared to be in order when he approved them for final distribution.

Eugene Cunard, Pennstar vice-president and personal trust officer, served as the administrator of Price’s Snow Hollow Trust.

Cunard said he worked directly with Price. Following Price’s son Lloyd Stevens’ death in 2007, Lloyd Stevens who had been the trustee on the account, was removed. The bank was named as the successor corporate trustee Cunard said.

He also said he was contacted in 2008 when Price decided to make changes to the trust.

Cunard said there was not any indication Price could not handle her financial affairs and she was not being pressured to sign the document.

“She was always there participating,” Cunard said. “Mrs. Price always indicated how to handle her trust.”

On cross examination, Cunard said he noticed family members had been removed from the trust in 2008 but never discussed the reasons for the change with Price.

Cunard also said Price knew how much money she had in the trust.

And although Price deeded her home over to her three children (Lloyd and Wayne Stevens and Eloise Krogh) in 1995, the bank paid the bills on the home from the trust account at her direction.

She also made gifts from the trust prior to her death.

Pennstar’s Montrose branch assistant branch manager Susan O’Brien notarized Price’s signature on the changed trust in June 2008.

O’Brien said she went to Gracious Living Estates personal care home where Price lived to take care of the document for Price.

O’Brien told the court Price was fully aware she was signing the trust change and did so willingly.

Stevens said he only found out about the trust restatement by inquiring at Pennstar Bank after Price’s death.

It was then he learned his father, Lloyd, had been removed as a beneficiary and a paragraph was added specifically remove Stevens and his two other siblings.

Stevens said he visited his grandmother on a regular basis while she resided at Gracious Living Estates but said the two never discussed finances, business affairs or the trust.

Stevens who became a partial owner of Price’s home following his father’s death, also said he was not notified the home had been listed for sale by Price.

The property had been deeded from Price to her three children, Lloyd and Wayne Stevens and Eloise Krogh, in 1994. Price retained status as a life-tenant of the property. The sale was stopped.

“I do not believe she was behind this sale,” Stevens said.

He said he was very concerned that he was removed from the trust because he wouldn’t allow the house be sold.

Stevens admitted Price had not been assessed by a doctor as being mentally incompetent to handle her own affairs.