whole or in part, thus removing them from the trust; and, in the event of his death, the funds represented by the account shall be transferred or paid to the account of the beneficiary.
3. The person denoted on the aforesaid account card as Doris Ann Ehrlich is Doris Ann Ehrlich Marshall, the daughter of Myron G. Ehrlich, and a defendant in this action.
4. Myron G. Ehrlich died on December 22, 1970, and letters testamentary for his estate have been issued to Alvin Q. Ehrlich in Administration No. 381-71 in this Court. Alvin Q. Ehrlich is, therefore, a party to this action as the executor of the Estate of Myron G. Ehrlich.
5. At the time of the death of Myron G. Ehrlich, the amount on deposit in the Association's account number S32-352 was $10,749.22. The Association has paid this sum into the registry of this Court and has been discharged, all by order previously filed herein October 6, 1971.
CONCLUSIONS OF LAW
The bank account which is the subject of the cross-motions for summary judgment constitutes the corpus of a revocable inter vivos trust created by Myron G. Ehrlich during his lifetime for the benefit of his daughter as cestui que trust, with himself as trustee. Upon his death the trust terminated and its corpus, represented by the account, was payable to Mrs. Marshall as the beneficiary.
Such revocable trusts in the form of bank deposits are in common use throughout the United States and are often termed totten trusts after the celebrated case of In re Totten, 179 N.Y. 112, 71 N.E. 748 (1908), which is the case most often cited to establish the validity of the relationship. The majority of states have recognized that totten trusts may be established by savings and loan accounts and this is the preferred position of the commentators. 1 G. Bogert, Trusts and Trustees, § 47 (2d ed. 1960); 1 Scott, Law of Trusts, § 58 (3d ed. 1967); Restatement 2d, Trusts, § 58.
This Court has previously recognized the validity of totten trusts. Simmons v. First Federal Savings and Loan Ass'n, 132 F. Supp. 370 (D.D.C. 1955); In Re Scott's Estate, 96 F. Supp. 290 (D.D.C. 1951). In the Simmons case the committee of an elderly incompetent, not expected to regain her sanity, sought to gain control of several totten trusts created by her ward in favor of her grandnieces prior to the time she became incompetent. Two of the trusts were created on cards containing terms virtually identical to those in the case at bar, the others were less formal. The court held that all the accounts created valid trusts revocable at will by the depositor. Simmons, supra, 132 F. Supp. at 372.
The case of Betker v. Nalley, 78 U.S. App. D.C. 312, 140 F.2d 171 (1944) relied upon by the executor is inapposite in that it deals solely with real property.
The Court therefore concludes that the Association's account number S32-352 constituted a valid revocable inter vivos trust of which the defendant, Doris Ann Ehrlich Marshall, was the sole beneficiary, and that the trust was terminated upon the death of the grantor, thus entitling Doris Ann Ehrlich Marshall, as sole beneficiary, to receive the corpus.
An appropriate order will be entered.
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