Mt. Plymouth Corp. v. Commissioner
United States Board of Tax Appeals
A corporation selling lots from a tract gave assurance that each lot owner would for 21 years have the privileges of a golf course and club house in the tract and stated that $100 of the price of each lot would be used to maintain such golf course and club house. Held, that no trust existed in respect of such $100 and that such $100 is within the corporation's gross income.
1Dissent
Teammell,
dissenting: The precise question for determination in this case is whether or not a trust relationship existed between the petitioner and the lot owners in respect of the “ special fund ” set aside for maintenance of the golf course and clubhouse. The correct answer to this question is not dependent solely upon the statements contained in the contract of purchase and sale or other written instrument, nor the covenants contained in the deed. A valid trust may be created by parol in respect of personal property, such as we are dealing with here. Metairie Cemetery Association, 4 B. T.…
2Cases cited5 opinions
- Colton v. ColtonSupreme Court of the United States · 1888
- Estate of SmithPennsylvania Orphans' Court, Philadelphia County · 1891
- Chicago, Milwaukee & St. Paul Railway Co. v. Des Moines Union Railway Co.Supreme Court of the United States · 1920
- Chicago & C. Ry. v. DES MOINES & C. RYSupreme Court of the United States · 1920
- Holden v. Circleville Light & Power Co.Court of Appeals for the Sixth Circuit · 1914