December Mr. Joseph E, 24, 1986 Olsen 510 Galler Place Glendale, California Dear ir. Oleens: Your letter of yesterday, addressed to Marriner, has just been sent down to me, I have read it hurriedly. I shall not attempt to answer it completely until 1 have had an opportunity to study it further, but in the meantime I want to consider with you the problem i was working on when it came, ay I say first that the number of interests assigned to urs. Olsém results from the thought that the family trusts will be revoked immediately before the royalty trust agreement ig made, Mrs, Olsen has 291 shares of stock, not counting those she attempted to transfer to the trustees. of the shares in the family trust is 216.72 her the advantage of the fraction, she thus shares, Your letter shows that you agree Her proportion shares. Giving has a total of 508 with us that the royalty trust agreement should, if possible, cover the entire interests in the patents and the royalty contracts. We should like very much to have that done, but 1 wonderif the BrowningOlsen trustees can become parties to such a trust, thus creating a trust within a trust. It is not that they cannot make contracts regarding the property conveyed to them. Their powers seem to be very broadin that regard. The proposed royalty trust requires payment to be made to each beneficiary during his lifetime, and thereafter in accordance with his exercise of a power of appointment, or in default thereof, to his heirs at law, That might well and probably would result in e distribution of money contrary to the. terms of your trust. That, you will ommeede, may not be done, The omly alternative I can in other see, in which your trust will be recognizedas a is to have one royelty trust in which your trust beneficiary, and an entirely different one stockholder, will be the which the stockholders will be the beneficiaries. That, all of us here feel, should be avoided if possible. Every time another method of handling moneys is injected, the difficulties ere inereased, and it might even be that your trustees may not substitute others in their arrangement, place, even to the extent required by such an