A High Court judge has ruled that nearly $30 million from the estate of the late legal luminary Frank Solomon, SC, must be divided equally between his widow and two children, bringing an end to a lengthy legal battle over trust funds and estate management.

Justice Betsy Ann Lambert-Peterson found that Solomon, a respected senior counsel who died November 30, 2018, had established a trust in 2012 — known as the Abercrombie Trust — naming his wife, Marguerita, and two children, Daniel and Ingrid, as equal beneficiaries. Despite the widow’s claim to the full amount from a joint account created days before his death, the court ruled the funds remained under trust. The decision was delivered earlier this month.

“The defendant breached her fiduciary duty by transferring $30,191,946.71 from the Abercrombie account to her personal account,” the judge ruled. “The trust subsisted at the time of Mr Solomon’s death and continues to subsist at present.”

Lambert-Peterson ordered Solomon’s widow to return the money to the estate and pay one-third to each beneficiary, including herself.

The judge also removed Marguerita as executrix of Solomon’s estate and appointed the administrator general to take over management.

In her ruling, Lambert-Peterson said that on a close examination of the evidence, there was no undue influence, nor was Solomon mentally incoherent or unable to make important or financial decisions when he made his wife a joint holder of the account.

“The evidence in this case demonstrates that in 2018, Frank Solomon retained a force of character and remained in control of his mental faculties.”

“This court has no doubt that he would have been aware of the implications of his decision to change the Abercrombie account to a joint account, notwithstanding the trust arrangements.”

However, in concluding that the joint account did not override the trust and that the funds should be treated as trust property, not solely belonging to the widow, the judge stated that Solomon gave no written intention to revoke the trust.

“The evidence does not support that Frank Solomon wished to make a substantial gift to the defendant, revoke the trust which took effect upon his death, and exclude the claimants in the process.”

Lambert-Peterson also noted that a presumed annexure to Solomon’s will appointed his wife and children as beneficiaries of the units in the Abercrombie account, and his intention was for his widow to access the account.

“There is no indication that he wished thereby to remove the claimants as beneficiaries to the trust.”

In removing Solomon’s widow as executrix of his estate, the judge said she had a fiduciary duty to act in the best interest of the estate, namely to act honestly and in good faith, in the best interests of the beneficiaries, and to avoid conflicts of interest between her personal interest and that of the estate.

However, the judge said Solomon’s widow was in breach of her fiduciary duty to the other beneficiaries of the trust when she transferred the units in the Abercrombie account into her own “for her sole use and benefit.”

“The defendant has not acted in the best interests of all the beneficiaries of Frank Solomon’s estate. She has not avoided conflicts of interest between her personal interest and that of the estate, and has not diligently sought probate of Frank Solomon’s will.”

Lambert-Peterson also said it would be “inappropriate” for the widow to remain as executrix of the estate since she had not applied for a grant of probate and the estate remained unadministered.

“It is this court’s view that an independent and impartial appointment is required in order to preserve the interests of all beneficiaries and maintain their confidence in the process.

“As it stands, the claimants have the right to compel the due administration of Frank Solomon’s estate under the law and the terms of the will. The Administrator General will be clothed with the legal authority to request any information or documents from these financial institutions as the Administrator General deems fit.”

Lambert-Peterson also prohibited Marguerita from destroying any documents in her possession relating to Solomon’s estate while ordering that she preserve any present or future documents relating to assets for the Administrator General.

The judge further ordered the registrar of the High Court to provide the administrator general with a copy of her order by June 30. (Newsday)