Appeal, No. 48, March T., 1963, from decree of Court of Common Pleas of Allegheny County, Jan. T., 1962, No. 2661, in re Alloy Manufacturing Company Employees Trust. Decree affirmed; reargument refused July 29, 1963.
Vincent M. Casey, with him Margiotti & Casey, for appellant.
Richard L. Thornburgh, with him Kirkpatrick, Pomeroy, Lockhart & Johnson, for trustee, appellee.
Roy Thomas Clark, with him Kenney, Stevens, Hill & Clark, for appellee.
C. Donald Gates, Jr., with him Brandt, Reister, Brandt & Malone, for appellees.
Before Bell, C.j., Musmanno, Jones, Cohen, Eagen, O'brien and Roberts, JJ.
OPINION BY MR. JUSTICE EAGEN
This is an appeal from a decree of the Court of Common Pleas of Allegheny County dismissing exceptions to a schedule of distribution of a trust fund consisting of monies in a terminated profit sharing plan of a corporation.
On December 31, 1954, Alloy Manufacturing Company, Inc. (Alloy), adopted a profit sharing plan for the benefit of its salaried employees. Substantial contributions were made to the fund by Alloy. Appellant Minnotte was a one-third owner of the common stock of the company and a salaried employee. On June 22, 1958, Minnotte and the other shareholders of Alloy sold their entire holdings to Salem-Brosius, Inc. (Salem). The latter then caused Alloy to be dissolved and transferred all of its assets to Alloy Manufacturing Corporation (Corporation), a newly formed corporation and a wholly owned subsidiary of Salem. As part of the agreement of sale, Corporation assumed all obligations under the profit sharing plan involved. Certain amendments to the plan were made with the consent of all parties to facilitate its assimilation into Corporation's operation. Further, as part of the sale agreement, Minnotte entered into an employment contract with Corporation and agreed to continue as one of its officers and employees for a five-year period.
Minnotte suffered two heart attacks in 1958, and asked leave to resign as an officer and employee of Corporation. This suggestion was accepted and Minnotte's employment terminated on September 30, 1958.
Although not material to the determination in the instant case, Minnotte subsequently, in 1959, organized his own business and actively ...