TABLE OF CONTENTS
WILL OF JEROME J. GARCIA
REVOCATION OF
PRIOR WILLS
DECLARATIONS
COMMUNITY PROPERTY
PERSONAL PROPERTY
GUITARS
DISTRIBUTION OF RESIDUE OF ESTATE
ULTIMATE DISTRIBUTION
TRUSTEE'S POWERS
PAYMENT OF TAXES AND EXPENSES
NO CONTEST CLAUSE
SPENDTHRIFT PROVISION
EXECUTOR'S APPOINTMENT AND POWERS
TRUSTEE'S APPOINTMENT AND COMPENSATION
GUARDIAN
DELAYED DISTRIBUTION
DEFINITIONS
WILL OF JEROME
J. GARCIA
I, JEROME J.
GARCIA, also known as JERRY GARCIA, a resident of Marin County,
California, hereby make, publish and declare this to be my Last
Will and Testament.
FIRST REVOCATION
OF PRIOR WILLS
I revoke all Wills and Codicils heretofore made by me.
SECOND DECLARATIONS
I declare that I am married; my wife's name is DEBORAH KOONS. We
have no children by our marriage. I have four children now living
from prior relationships, namely HEATHER GARCIA KATZ, born December
8, 1963, ANNABELLE WLAKER GARCIA, born February 2, 1970, THERESA
ADAMS GARCIA, born September 21, 1974, and KEELIN GARCIA, born December
20, 1987. I have no deceased children leaving issue, and I have
not adopted any children. The terms ``child'' or ``children'' as
used in this Will shall refer only to my children and if any person
shall claim and establish any right to participate in my estate
other than as provided in this Will, whether as heir or in any other
capacity whatsoever, I give and bequeath to each such person the
sum of One Dollar ($1.00).
THIRD COMMUNITY
PROPERTY
I declare my intention to dispose of all property, real and personal,
of which I have the right to dispose by Will, including any and
all property as to which I may have at the time of my death a power
of appointment by Will. I confirm to my wife her interest in our
community property. It is my intention by this Will to dispose of
all my separate Property and of my one-half (1/2) interest in our
community property.
FOURTH PERSONAL
PROPERTY
Except as specifically provided hereinbelow, I give my jewelry,
clothing, household furniture and furnishings, personal automobiles,
books, pictures, objects of art and other tangible articles of a
personal nature, or my interest in such property, which I may have
at the time of my death, not otherwise specifically disposed of
by this Will or in any other manner, together with any insurance
on such property, to my wife, if she survives me for sixty (60)
days, and if she does not, then to such of my children, by representation,
who survive me for sixty (60) days in equal shares as they shall
agree, or as my Executor shall, in my Executor's discretion, determine
if my children do not agree within one hundred fifty (150) days
of my death.
In the absence
of a conflict of interest, my Executor shall represent any child
under age eighteen (18) in matter relating to any distribution under
this Article FOURTH, including selection of the assets that shall
constitute that child's share, and my Executor may, in my Executor's
discretion, sell for the child's account any part of that child's
share. Any property or its proceeds distributable to a child under
age eighteen (18) pursuant to this Paragraph may be delivered without
bond to the guardian of such child or to any suitable person with
whom he or she resides or who has the care or control of him or
her.
If neither my
wife nor any of my children shall survive me, then this gift shall
lapse and such property, and any insurance thereon, shall become
part of the residue of my estate.
FIFTH GUITARS
I give all my guitars made by DOUGLAS ERWIN, to DOUGLAS ERWIN, or
to his estate if he predeceases me.
SIXTH DISTRIBUTION
OF RESIDUE OF ESTATE
After payment of all my debts, my last illness and funeral expenses,
and provision for my child support obligations for KEELIN GARCIS,
my marital settlement agreement with CAROLYN ADAMS GARCIA which
is being drafted at the time of signing this will, and my agreement
with MANASHA MATHESON regarding the house to be owned one-half by
her and one-half by the trust established for KEELIN GARCIA which
is being drafted at the time of signing this will, my Executor shall
divide and distribute the remainder of my estate for my wife/husband
and children as follows:
A. If my wife
survives me for sixty (60) days, I give her one-third (1/3) of my
estate outright and free of trust. If my wife fails to survice me
for sixty days this bequest shall lapse and the amount shall be
included with the remainder of my estate under paragraph B.
B. I give the
remaining two-thirds (2/3) of my estate, or if my wife fails to
survive me, my entire remaining estate, to my daughters, my friends,
and my brother as follows:
1. The following
shares shall be distributed outright and free of trust, by right
of representation, to the persons indicated:
HEATHER GARCIA
KATZ ONE-FIFTH (1/5)
ANNABELLE WALKER GARCIA ONE-FIFTH (1/5)
SUNSHINE MAY WALKER KESEY ONE-TENTH (1/10)
CLIFFORD GARCIA ONE-TENTH (1/10)
2. I give to
the Trustee hereinafter named, IN TRUST, for the benefit of my younger
daughters, THERESA ADAMS GARCIA and KEELIN GARCIA, one-fifth (1/5)
of my estate for each, to be held, administered and distributed
as a separate trust for each child as follows: a. So long as my
child is living and is under age twenty-one (21), the Trustee shall
pay to or apply for her benefit, as much of the net income and principal
of the Trust as the Trustee, in the Trustee's absolute discretion,
shall deem necessary for her proper support, health, maintenance
and education, after taking into consideration, to the extent the
Trustee shall deem advisable, any other income or resources of my
child, known to the Trustee. Any net income not distributed shall
be accumulated and added to principal.
b. When the
child attains the age of twenty-one (21), the trust share allocated
on account of such child shall thereupon be distributed free of
trust to that child.
c. If my child
dies prior to receipt of her entire share of principal and income
provided herein, and that child is survived by issue, then the remaining
principal and income shall be held in trust for those issue under
the terms of this subparagraph 2. If my child is not survived by
issue, then the remaining principal and income shall be distributed
free of trust to the other residual beneficiaries receiving fractional
interests in my estate under this paragraph B in proporation to
those fractional interests, by right of representation; provided,
however, if a part of that balance would otherwise be distributed
to aperson for whose benefit a trust is then being administered
under this Will, that part shall instead be added to that trust
and shall thereafter be administered according to its terms.
d. Whenever
provision is made in this Article SIXTH for payment for the ``education''
of a beneficiary, the term ``education'' shall be construed to include
college and postgraduate study, so long as pursued to advantage
by the beneficiary at an institution of the beneficiary's choice;
and in determining payments to be made for such college of post-graduate
education, the Trustee shall take into consideration the beneficary's
related living expenses to the extent that they are reasonable.
e. Notwithstanding
the directions given as to the distribution of income and principal
in this Article SIXTH, any trusts established by this Article shall
terminate, if they have not previously terminated, twenty-one (21)
years after the death of the survivor of the class composed of my
wife/husband and all my issue living at my death, and the then remaining
principal and undistributed income of such trusts shall be paid
to my issue or other beneficiaries then living to whom income payments
could be made under such trusts immediately prior to its termination
under this clause, such issue to take by right of representation.
SEVENTH
ULTIMATE DISTRIBUTION
If at the time of my death, or at any later time before full distribution
of any Trust established under Article SIXTH, all my issue are deceased,
and no other disposition of the property is directed by this Will,
the estate or the portion of it then remaining shall there upon
be distributed to those persons who would then by my heirs, their
identities and respective shares to be determined as though my death
had then occurred and according to the laws of the State of California
then in effect relating to the succession of separate property not
acquired from a predeceased spouse.
EIGHTH
TRUSTEE'S POWERS
I give to the Trustee of all of the Trusts established under this
Will the following powers, in addition to and not in limitation
of the common-law and statutory powers, and without application
or permission of any court.
A. To retain
any property, real or personal, which the Trustee may receive, even
though such property (by reason of its character, amount, proportion
to the total Trust Estate or otherwise) would not be considered
appropriate for a Trustee apart from this provision.
B. To sell,
exchange, give options upon, partition, or otherwise dispose of
any property which the Trustee may hold from time to time at public
or private sale or otherwise, for cash or other consideration or
on credit, and upon such terms and for such consideration as the
Trustee shall think fit, and to transfer and convey the same free
of all trust.
C. To invest
and reinvest the Trust Estate from time to time in any property,
real or personal, including (without limiting the generality of
the foregoing language) securities of domestic and foreign corporations
and investment trusts, common trust funds, including those established
by any successor corporate fiduciary which acts as Executor and
Trustee hereunder, bonds, preferred stocks, common stocks, mortgages,
mortgage participation, even though such investment (by reason of
its character, amount, proportion to the total Trust Estate or otherwise)
would not be considered appropriate for a Trustee apart from this
provision, and even though such investment causes a greater proportion
of the principal to be invested in investment of one type or of
one company than would be considered appropriate for a Trustee apart
from this provision; to lend money to any and all persons, including
any or all of the beneficiaries hereof, upon such terms and conditions
as the Trustee in the Trustee's sole discretion deems proper; in
connection with such loans the Trustee may or may not demand security
therefor or interest thereon as the Trustee in the Trustee's sole
discretion deems proper.
D. To improve
any real estate held in the Trust Estate, including the power to
demolish any buildings in whole or in part and to erect buildings;
to lease real estate on such terms as the Trustee thinks fit, including
leases for periods that my extend beyond the duration of the Trusts,
and to grant renewals thereof; and to foreclose, extend, assign,
partially release and discharge mortgages.
E. To borrow
money from any lender even though a successor fiduciary hereunder,
execute promissory notes therefor, and to secure said obligations
by mortgage or pledge of any of the Trust property.
F. To compromise
or arbitrate any claim in favor of or against the Trust Estate;
to commence or defend any litigation concerning the Trust Estate
which the Trustee in the Trustee's absolutie discretion considers
prudent, and costs and expenses of such, including reasonable attorney's
fees, to be borne by the Trust Estate; to give or receive consideration
in any settlement to reduce the rate of return on any investment,
with or without consideration; to prepay or accept prepayment of
any debt; to enforce, abstain from enforcing, release or modify,
with or without consideration, any right, obligation, or claim;
to extend and renew any obligation or hold the same after maturity
without extension or renewal; to accept deeds in lieu of foreclosure
and pay consideration for the same; to determine that any property
is worthless or of insufficient value to warrant keeping or protecting,
and to abandon any such property or convey the same with or without
consideration; and to use any portion of the Trust Estate to protect
any other portion of the Trust Estate.
G. To vote all
securities held as a part of the Trust Estate, or to join in a voting
trust or other lawful form of stockholders' agreements respecting
the voting of shares for such period as the Trustee deems proper;
to pay all assessments on such securities, to exercise options,
subscriptions and conversion rights on such securities, with respect
thereto; to employ such brokers, banks, counsel, custodians, attorneys
or other agents, and to delegate to them such powers (including,
among others, the right to vote shares of stock held in trust) or
join in a voting trust or other lawful form of stockholders' agreements
respecting the voting of shares for such periods as the Trustee
deems proper; and to cause securities held from time to time to
be registered in the name of the Trustee, or in the name of the
Trustee's nominee with or without mention of the Trust in any instrument
of ownership, and to keep the same unregistered or to retain them
in condition that they will pass by delivery.
H. To incur
and pay all taxes, assessments, costs, charges, fees and other expenses
of every kind which the Trustee deems necessary or advisable in
connection with the administration of the Trust created hereby,
including reasonable Trustee's fees.
I. To join in
or oppose any reorganization, recapitalization, consolidation ormerger,
liquidation or foreclosure, or any plan therefor; to deposit property
with, and delegate discretionary power to any committee or depository;
to pay assessments, expenses and compensation; and to retain any
property issued therein; to exercise or sell conversion or subscription
rights, and to retain the property received.
J. To hold,
manage, invest and account for the several shares which may be held
in trust, either as separate funds or as a single fund, as the Trustee
deems proper; if as a single fund, making the division thereof only
upon the Trustee's books of account and allocating to each share
its proportionate part of the principal and income of the common
fund and charging against each share its proportionate part of the
common expenses.
K. To keep any
or all of the Trust property at any place or places in California
or elsewhere in the United States or abroad, or with a depository
or custodian at such place or places.
L. In dividing
the Trust Estate into shares or in distributing the same, to divide
or distribute in cash or in kind as the Trustee thinks fit. For
purposes of division or distribution, to value the Trust Estate
reasonably and in good faith, and such valuation shall be conclusive
on all parties. Where distribution or division is made in kind,
the Trustee shall, so far as the Trustee finds practicable, allocate
to the beneficiaries proportionate amounts of each kind or security;
or other property of the Trust Estate.
M. The Trustee
is authorized in the Trustee's discretion to retain from income
distributable to any beneficiary an amount equal to the income tax
(Federal and State) the Trustee estimates will be imposed upon such
income; any sums so withheld shall be applied to the tax liability
of such beneficiary. Nothing herein shall be construed as imposing
an obligation upon the Trustee to retain any sums for the purpose
mentioned, nor that said tax shall be assumed or borne by the assets
held for such beneficiary. No liability shall attach to the Trustee
if the Trustee acts or fails to act as authorized in Subparagraph
M.
N. To partition,
without sale, any real or personal property held jointly or in common
with others or distributable to one or more persons hereunder; to
pay or receive consideration to effect equality of partition; to
unite with any other owner in the management, leasing, use of improvement
of any property.
O. To determine,
as to all property received, whether and to what extent the same
shall be deemed to be principal or income and as to all charges
or expenses paid, whether and to what extent the same shall be charged
against principal or against income, including, without limiting
the generality of the foregoing language, power to apportion any
receipt or expense between principal and income and to determine
what part, if any, of the actual income received upon any wasting
investment or upon any security purchased or acquired at a premium
shall be retained and added to principal to prevent diminution of
principal upon exhaustion or maturity thereof. In this regard, the
Trustee in the Trustee's absolute discretion, may, but shall not
be required to, if the Trustees deems it proper, allocate receipts
or charges and expenses to income or principal according to the
Principal and Income Law of the State of California as it may from
time to time exist. All allocation of receipts or charges and expenses
shall be conclusive on all persons interested in any trusts created
hereby.
P. In all matters
to administer and invest the Trust Estate as fully and freely as
an individual owner might do, without any restrictions to which
fiduciaries are ordinarily subject, except the duty to act in good
faith and with reasonable care.
Q. The Trustee
shall also have the power to do all things necessary to continue
any business enterprise, in whatever form, owned or controlled by
me upon my death for such period as the Trustee shall deem to be
in the best interests of the Trust Estate.
R. The Trustee
is authorized to employ attorneys, accountants, investment advisors,
specialists and such other agents as he shall deeme necessary or
desirable. The Trustee shall have the authority to appoint an investment
manager or managers to manage all or any part of the assets of the
Trust Estate, appointments shall include the power to acquire and
dispose of such assets. The Trustee may charge the compensation
of such attorneys, accountants, investment advisors, specialists
and other agents and any other expenses against the Trust Estate.
NINTH
PAYMENT OF TAXES AND EXPENSES
I direct that all estate, succession or other death taxes, duties,
charges or assessments that may by reaso of my death be attributable
to my probate estate or any portion of it, or to any property or
transfers of property outside my probate estate, including but not
limited to burial expenses, expenses of last illness, attorney's
fees, executor's fees, appraiser's fees, accountant's fees and other
expenses of administering my estate shall be paid by the Executor
from the estate in the same manner as if said taxes were a debt
of my estate, without apportionment, deduction, or reimbursement
thereof and without adjustment thereof among my beneficiaries. Provided,
however, if there is inadequate cash in my estate to pay such taxes
and expenses, then my executor may borrow such funds as I have given
authority in Article TWELFTH below.
TENTH
NO CONTEST CLAUSE
If any beneficiary of my Will or any Codicil hereto or of the Trusts
created hereunder before or after the admission of this Will to
probate, directly or indirectly, contests or aids in the contest
of the same or any provision thereof, or contests the distribution
of my estate in accordance with my Will or any Codicil, the provisions
herein made to or for the benefit of such contestant or contestants
are hereby revoked and for the purpose of my Will and any Codicil,
said contestant or contestants shall be deemed to have predeceases
me.
ELEVENTH
SPENDTHRIFT PROVISION
Each and every beneficiary under the Trust or Trusts created by
this Will is hereby restrained from and is and shall be without
right, power, or authority to sell, transfer, pledge, hypothecate,
mortgage, alienate, anticipate, or in any other manner affect or
impair his, her or their beneficial and legal rights, titles, interests,
claims and estates in and to the income and/or principal of said
trusts, and the rights, titles, interests and estate of any beneficiary
thereunder shall not be subject nor liable to any process of law
or court, and all of the income and/or principal under said trusts
shall be paid over to the beneficiary in person, or, in the event
of the minority or incompetency of any beneficiary, to the guardian
of that beneficiary in such manner as in the Trustee's discretion
seems most advisable at the time and in the manner provided by the
terms of the Trust.
TWELFTH
EXECUTOR'S APPOINTMENT AND POWERS
I hereby nominate and appoint my wife DEBORAH KOONS, and my attorney
DAVID M. HELLMAN, as Executor of this Will. If either of them shall
be, or become unable or unwilling to act, then the survivor shall
act with JEFFREY E. EHLENBACH. No bond or other security shall be
required of any person who acts as Executor hereunder.
A. I hereby
expressly authorize and empower my Executor to sell and dispose
of the whole or any portion of my estate, real or personal, and
wherever situate, as and when and upon such terms as my Executor
deems proper, at public or private sale, with or without notice,
and without first securing any order or court therefor. I further
grant to my Executor all the powers granted to the Trustee under
Article EIGHTH hereof, insofar as such powers are appropriate for
the administration of my estate and the probate of my Will;
B. If my Executor
in good faith decides that there is uncertainty as to the inclusion
of particular property in my gross estate for federal estate tax
purposes, my Executor shall exclude such property from my gross
estate in the estate tax return. My Executor shall not be liable
for any loss to my estate or to any beneficary, which loss results
from the decision made in good faith that there is uncertainty as
to the inclusion of particular property in my gross estate.
C. The decision
of my Executor as to the date which should be selected for the valuation
of property in my gross estate for federal estate tax purposes shal
be conclusive on al concerned;
D. When a choice
is available as to whether certain deductions shall be taken as
income tax deductions or estate tax deductions, the decision of
my Executor in this regard shall be conclusive on all concerned
and no adjustment of income and principal account shall be made
as a result of such decision;
E. Beginning
as of the date of my death and until the establishment of the trusts
provided for herein, my Executor shall make such payments of estate
income, which is allocable to trust assets, as would be required
if the trusts had actually been established at the date of my death.
F. My Executor
is authorized to execute and deliver disclaimers under Internal
Revenue Code X2518 and California Probate Code XX260 through 295
or any successor statute.
THIRTEENTH
TRUSTEE'S APPOINTMENT AND COMPENSATION
I hereby nominate and appoint my wife DEBORAH KOONS, and my attorney
DAVID M. HELLMAN, as Trustee of this Will. If either of them shall
be, or become unable or unwilling to act, then the survivor shall
act with JEFFREY E. EHLENBACH. No bond or other security shall be
required of any person who acts as Trustee hereunder.
The individual
Trustees shall be entitled to receive reasonable commissions similar
to those charged by corporate Trustees in the San Francisco Bay
Area. Any successor Trustee shall be entitled to reasonable compensation
for its services.
FOURTEENTH
GUARDIAN
If MANASHA MATHESON does not survive me, I hereby nominate and appoint
SUNSHINE MAY WALKER KESEY, as the guardian of KEELIN GARCIA, if
she is then a minor. No bond shall be required of any person who
acts as guardian hereunder.
FIFTEENTH
DELAYED DISTRIBUTION
I direct that no interest shall be payable on account of any delary
in distributing any devise, bequest, or legacy under my Will or
any Codicial thereto.
SIXTEENTH
DEFINITIONS
The words ``Executor,'' ``Trustee,'' ``child,'' ``children,'' and
``beneficiary,'' as used herein, shall comprehend both the singular
and the plural, and the masculine or feminine shall be deemed to
include the other wherever the context of this Will requires. This
Will and any Codicil shall be interpreted under the California law
as in effect at the date of signature of such document.
IN WITNESS WHEREOF,
I have hereunto set my hand this May 12, 1994.
Jerome J. Garcia |