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In the Matter of Carvel

Appellate Division of the Supreme Court of New York, Second Department
Dec 29, 2003
2 A.D.3d 846 (N.Y. App. Div. 2003)

Opinion

2002-10580.

December 29, 2003.

In a proceeding, inter alia, to settle the intermediate account of four of the seven original executors under the will of Thomas Carvel, the Thomas and Agnes Carvel Foundation appeals, and Pamela Carvel and Leonard M. Ross separately cross-appeal, from a decree of the Surrogate's Court, Westchester County (Scarpino, S.), entered August 22, 2002, which, after a hearing, determined that the estate of Thomas Carvel and the estate of Agnes Carvel each own 50% of the common stock of Chain Locations of America, Inc.

Orrick, Herrington Sutcliffe LLP, New York, N.Y. (Steven J. Fink and Tara J. Myslinski of counsel), for appellant-respondent.

McCarthy, Fingar, Donovan, Drazen Smith, LLP, White Plains, N.Y. (Robert M. Redis, Deborah Y. McCarthy, and Joshua S. Cole of counsel), for respondent-appellant, Pamela Carvel.

Blank Rome LLP, New York, N.Y. (Eve Rachel Markewich and Daniel J. Brown of counsel), for respondent-appellant Leonard M. Ross.

Herbert F. Roth, c/o Andreas Holding Co., Yonkers, N.Y., respondent-respondent pro se.

Before: SANDRA L. TOWNES and BARRY A. COZIER, JJ.


DECISION ORDER

ORDERED that the decree is affirmed, without costs or disbursements.

On February 13, 1988, Thomas Carvel and Agnes Carvel executed a "stock power" purporting to transfer 115 shares in Chain Locations of America, Inc. (hereinafter Chain), from Thomas Carvel and Agnes Carvel to Thomas Carvel. Thereafter, however, no new stock certificates were issued and no other documents, such as corporate books, were amended to reflect Thomas Carvel's sole ownership. In addition, Thomas Carvel and Agnes Carvel subsequently voted their shares in Chain.

The Surrogate's Court determined that, even though the Federal estate tax return filed in 1992, following Thomas Carvel's death, listed the estate of Thomas Carvel as the sole owner of the shares, the evidence did not demonstrate that Agnes Carvel made a gift of her portion of the shares to her husband ( see Gruen v. Gruen, 68 N.Y.2d 48; Mortellaro v. Mortellaro, 91 A.D.2d 862; Matter of Carroll, 100 A.D.2d 337; cf Pell St. Nineteen Corp. v Yue Er Liu Mah, 243 A.D.2d 121).

The court also correctly determined that the estate of Agnes Carvel only owns 50% of the Chain stock since there was insufficient evidence to show that Agnes Carvel had a right of survivorship. The evidence established that Thomas Carvel and Agnes Carvel owned the shares as tenants-in-common ( see Belfanc v. Belfanc, 252 A.D. 453, affd 278 N.Y. 563; EPTL 6-2.2).

Finally, Herbert F. Roth, c/o Andreas Holding Co., an executor of the estate of Thomas Carvel, claims that the "stock power" constituted a binding agreement between Thomas Carvel and Agnes Carvel. However, the claim, which was not addressed by the Surrogate, is not before this court since Roth has not appealed from the decree.

KRAUSMAN, J.P., McGINITY, TOWNES and COZIER, JJ., concur.


Summaries of

In the Matter of Carvel

Appellate Division of the Supreme Court of New York, Second Department
Dec 29, 2003
2 A.D.3d 846 (N.Y. App. Div. 2003)
Case details for

In the Matter of Carvel

Case Details

Full title:IN THE MATTER OF THOMAS CARVEL, deceased. PAMELA CARVEL, ET AL.…

Court:Appellate Division of the Supreme Court of New York, Second Department

Date published: Dec 29, 2003

Citations

2 A.D.3d 846 (N.Y. App. Div. 2003)
769 N.Y.S.2d 403

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