Roy v. Comerica Bank

The issue in this case is whether a spendthrift trust which purports to give the same beneficiary an interest in both the income and the principal is valid in Michigan.

*366More particularly, the issue appears to be whether the language in Rose v Southern Michigan Nat'l Bank, 255 Mich 275, 281; 238 NW 284 (1931), "The gift to the donee must be only of the income” (followed in In re Ford Estate, 331 Mich 220, 229; 49 NW2d 154 [1951]), prevails or whether Michigan should follow the rule of the Restatement Trusts, 2d, § 153(1), p 318, comment b:

Where a beneficiary of a trust is entitled to receive…