Sisters’ trust to benefit from estate 38 years after man died

Thomas Cyril Burke died in 1987 and bequeathed his Christchurch house to his sister, who was a member of the Sisters of St Joseph. Mr Burke stated he wanted the Mt Pleasant Rd home to be used as a “relax” for her and other nuns, so “that they may experience some of the peace and serenity he had enjoyed”.

Otherwise, the assets would go to a woman named Bridie Meagher for her lifetime if she wished.

But soon after Mr Burke died, the house and furniture were sold, with the proceeds placed in a law firm trust account. It is not clear why the sale took place or who did it.

The annual interest from the estate since Mr Burke’s death appeared to have been distributed to his sister, Sr Leo, until she died in 2006, and then to Ms Meagher until her death at age 94 in 2022.

But there remained an issue of what to do with the estate, as the house mentioned in the will had been sold and only the proceeds of the sale remained.

An earlier High Court ruling stated the phrasing “to be used as a relax to religious nuns” created an element of impracticality for the purpose of distributing the proceeds held in the law firm’s trust account.

Retired lawyer Richard Sprott, who had administered Mr Burke’s estate since 1987, applied to the High Court seeking to vary the wording of the charitable gift so that final distributions could be made and the estate wound up.

In the recent decision, Justice David Gendall accepted a suggested variation to the wording of the gift itself. He was also satisfied disposal of the property in the way outlined would best serve the interests of those intended to be beneficiaries.

A sworn affidavit by Sr Moya Campbell in support of the application set out the charitable purposes for which the order would use the funds if gifted, the judgment said.

With orders for the changed wording, Justice Gendall directed the law firm to pay out the proceeds to the Sisters of St Joseph of the Sacred Heart (NZ) Trust Board, a registered charitable trust. The proceeds of the remaining estate amounted to $65,000.

Costs were to be paid out of Mr Burke’s estate. The trust would decide which charities will receive assistance from the fund.

FULL STORY

High Court resolves Christchurch estate for Catholic order four decades on (By Tracy Neal/New Zealand Herald)