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Simmons v. Parsons College

256 N.W.2d 225 (1977)

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Simmons v. Parsons College

Iowa Supreme Court
256 N.W.2d 225 (1977)

  • Written by Rose VanHofwegen, JD

Facts

Lester Wells left a will that purported to establish two trusts for needy students at Drake University and Parsons College. The will specified that if either of the institutions failed to faithfully carry out the provisions, then the affected trust or trusts “shall fail and shall stand cancelled or revoked” and directed the funds to go to Wells’s heirs at law instead. Wells died five years after executing his will. By that time, Parsons College had gone bankrupt and no longer operated as an educational institution. The executor of Wells’s estate, Dorothy Simmons (plaintiff), filed a petition to construe the will, naming the two colleges, Parsons’s trustee in bankruptcy, and Wells’s heirs at law (defendants) as parties in interest. Parsons disclaimed its interest. The trial court found the trust for Parsons students failed and directed the property that would have funded it to Wells’s heirs at law instead. Drake appealed, arguing the court should apply the cy pres doctrine, direct the funds for Parsons students to the trust for Drake students, and let Drake serve as trustee over the entire fund. Otherwise, according to Drake, the funds would go to distant collateral relatives Wells did not intend to benefit.

Rule of Law

Issue

Holding and Reasoning (LeGrand, J.)

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Casebooks

Wills, Trusts, and Estates

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