Reynolds v. Reynolds

As explained more fully below, the trustees seek to reform the trust by revising the funding formula for two subtrusts. The trustees contend that reformation is necessary to effectuate the settlor’s intent to minimize that portion of his estate subject to Federal and Massachusetts estate taxes. The parties assert that the trust contains a scrivener’s error that, in the absence of reformation, will result in the imposition of taxes on the estate of the settlor’s spouse, which the settlor intended to avoid to the extent possible.5

Facts. The trust was established in 1994, as part of a general…