A trustee applied ex parte for an order permitting payment of residual trust funds into court where one charitable beneficiary could not be identified.
The trust instrument referred to a "Leukemia Fund," but the trustee asserted that the precise organization could not be determined.
The court held that paying the funds into court was inappropriate where further investigation into the intended beneficiary had not been undertaken.
The court emphasized the law’s reluctance to allow charitable gifts to fail and directed the trustee to undertake inquiries and, if necessary, propose a cy-près scheme reflecting the settlors’ general charitable intent.
The application was dismissed and the trustee was directed to return with a proposed distribution plan.
