NC Illinois Trust Co. v. Madigan

Earl M. Bane died in 1974. His will directed that his assets be put into a trust to care for his wife during her life and that the residue be used to provide for medical research. Bane’s wife predeceased him, and on his death the Earl M. Bane Charitable Trust (trust) was established. The trust, administered by a predecessor to petitioner National City Bank of Michigan/Illinois (National City), made annual distributions to the four universities that are parties to this action (intervenors).

In 1999, National City filed a petition to reform the trust so as to avoid federal excise taxes. The…