In re Estate of Gilbert
New York Surrogate’s Court for New York County
592 N.Y.S. 224 (1992)
Peter Gilbert's over-$40-million estate included an elective share trust benefiting his wife (with his children as contingent remainder beneficiaries after her death) and four completely discretionary trusts, one for each of his four children. His son Lester (defendant), who had converted religions and moved away to live with fellow practitioners, served the Executor (plaintiff) a notice renouncing his "dispositive share" in his father's estate; the Executor sued for a declaration the renunciation was invalid, arguing it contradicted the decedent's intent, that Lester had no interest to renounce in a purely discretionary trust until the trustee actually exercised its discretion, and (through the guardian ad litem for Lester's potential future children) that even if valid, the remainder interests shouldn't be accelerated since Lester's future children would then lose their trust interest.
Whether a beneficiary's interest in a fully discretionary trust, or in a contingent remainder dependent on surviving another beneficiary, constitutes a current property interest that the beneficiary may renounce under state law, and whether such a renunciation properly accelerates subsequent interests.