Matter of Greater New York Councils, Boy Scouts of America, 49 N.Y.2d 832 (1980)

The use of precatory language, such as “It is my wish,” in a bequest, absent a clear expression of intent to create a perpetual restriction, does not create a binding trust or enforceable obligation.

Summary

This case concerns a dispute over the use of funds donated to the Boy Scouts of America. The Court of Appeals held that neither the transfer of bank accounts and proceeds from a camp sale, nor a bequest with the language “It is my wish,” created an enforceable trust. The court emphasized the absence of a clear intent to impose a perpetual obligation on the use of the funds, finding that the funds were used as intended for the establishment of a new camp. The decision underscores that vague or precatory language is insufficient to establish a binding trust requiring indefinite maintenance of a specific purpose.

Facts

Queens County Council Boy Scouts of America and Queens Boy Scout Sustaining Association transferred bank accounts and proceeds from the sale of a camp to Greater New York Councils, Boy Scouts of America, on the condition that the funds “be invested in the Stimson tract [later Camp Kaufman] and additions thereto.” Separately, a bequest to Queens County Council contained the language: “It is my wish that the proceeds of this gift to it shall be used for the improvement of Boy Scout Camps, or for the establishment of a new camp on Long Island for the benefit of Queens Council Boy Scouts, in memory of my husband, John Nagel, and my daughter, Jeanne Arline Nagel.” The funds were used to help establish a new camp on Long Island.

Procedural History

The Special Term judgment was modified by the Appellate Division. The Court of Appeals modified the Appellate Division’s order, affirming it as modified. The Court reversed the Appellate Division’s determination that the Nagel bequest created a trust and agreed that the transfer of bank accounts did not create an enforceable obligation.

Issue(s)

1. Whether the transfer of bank accounts and camp sale proceeds to Greater New York Councils created a binding trust or other enforceable obligation requiring the funds to be perpetually invested in the Stimson tract (Camp Kaufman)?

2. Whether the language “It is my wish” in the Nagel bequest to Queens County Council created a trust requiring the funds to be used perpetually for the benefit of Queens Council Boy Scouts, specifically for the improvement of Boy Scout Camps or the establishment of a new camp on Long Island?

Holding

1. No, because the condition that the funds “be invested in the Stimson tract [later Camp Kaufman] and additions thereto” was fulfilled.

2. No, because the language was precatory and lacked a clear expression of intent to create a perpetual trust, and because the funds were used for their intended purpose – the establishment of a new camp.

Court’s Reasoning

Regarding the transfer of bank accounts and camp sale proceeds, the court found that any condition attached to the transfer was satisfied when the funds were invested in the Stimson tract (Camp Kaufman). Thus, there was no remaining obligation.

Regarding the Nagel bequest, the court focused on the testator’s intent, stating that determination of the testator’s intention is a question of law. The court emphasized that the phrase