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Marsh v. Frost National Bank

129 S.W.3d 174 (2004)

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Marsh v. Frost National Bank

Texas Court of Appeals
129 S.W.3d 174 (2004)

Facts

Charles Walker’s will instructed Frost National Bank (Frost) (plaintiff), as the executor of Walker’s estate, to sell a tract of land and invest the approximately $1 million sale proceeds in secure government bonds. Walker’s stated goal was to create a trust that would eventually provide a million-dollar trust fund for every American aged 18 and over regardless of race, religion, marital status, sexual preference, or wealth. The will expressly stated Walker’s expectation that it would take approximately 346 years for the fund to grow to the point where it could fulfill its intended purpose. After Walker’s death, Frost petitioned the probate court for a declaratory judgment construing the will provision and determining its validity. Anna Marsh, Noel Marsh, and Holly McKee (defendants) argued that the will provision was void because the duration of the purported trust violated the rule against perpetuities (RAP). The Texas attorney general (plaintiff) intervened, arguing that the trust was a charitable trust and was therefore not subject to the RAP. The probate court agreed, concluding that the will created a valid charitable trust. Anna Marsh, Noel Marsh, and Holly McKee appealed.

Rule of Law

Issue

Holding and Reasoning (Rodriguez, J.)

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