Borroughs v. McColgan

— During the month of December, 1934, plaintiff, John N. Borroughs, transferred a number of shares of stock in the Oakland California Towel Company to himself as trustee, for the benefit of his two minor children. The trusts were declared to be irrevocable and were to terminate on the death of the beneficiaries or when they became thirty years of age. The declaration of trust provided that all dividends and income received from said shares of stock “now are and shall become the absolute property of my said children.” It further provided that discretion is vested in the trustee to accumulate…