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Arthur G. Walton, trustee, vs. Martha Draper & others

Massachusetts Supreme Judicial Court1910-05-18
206 Mass. 20

Summary

Holding. The trustee must divide the trust principal equally between the estates of the two sons, paying one share to each son's executor or executrix, as the sons' equitable reversionary interest in the principal vested in them as the testatrix's heirs and passed through their own testamentary dispositions. The decree of the Probate Court is affirmed.

A testatrix created a trust with the residue of her estate, directing the trustee to pay income to her two sons during their lifetimes. The trust provided that upon either son's death, his share of income would pass to his children if any existed, or to the surviving son if he had no issue. When both sons died without children, the question arose whether the trust principal should go to the testatrix's next of kin or be distributed according to the sons' wills. The court examined the will's language and found it unambiguous: the trust created only a life estate in the income for the sons, leaving the principal (the equitable reversion) to pass by the sons' own estates.

The court rejected the defendants' attempt to introduce testimony about conversations with the testatrix to show she intended a different outcome. Such extrinsic evidence is inadmissible when the will's language is clear and no fraud is alleged, as allowing it would permit disappointed heirs to reform wills based on speculation about the testator's intentions. Because the sons inherited the equitable reversion as the testatrix's next of kin, that interest passed through their respective wills to their own beneficiaries.

Summary generated by law.co from the public-domain opinion. The opinion text itself is public domain.

Key issues

  • Whether a life estate in income carries an implied gift of principal or only an equitable reversion
  • Admissibility of extrinsic evidence regarding testator's intent when will language is unambiguous
  • Distribution of trust principal when beneficiaries die without issue and no express remainder clause exists

Procedural posture

This case involves an appeal from a decree of the Probate Court regarding the disposition of trust principal upon the termination of the trust.

Authorities cited

No cited authorities resolved to law.co cases yet.

Opinion

majority opinion

Braley, J.

The testatrix, after having provided for the payment of debts, funeral expenses and the maintenance of her family burial lot, and making small pecuniary bequests to her sister and several public charities, devised and bequeathed by the eighth clause of her will the residue of her property in trust. The trustee, who was given ample discretionary powers in the investment and management of the estate, was directed to pay over the income to her sons, “ Charles H. Patch and Fred C. Patch share and share alike . . . upon the death of either to pay his share of the income to the lawful issue of his body, but if he dies without such issue then to pay the entire net income to the survivor: upon the death of both this trust shall cease and determine.” The sons who survived their mother were her only heirs, and, they having died testate but without issue, upon the death of the survivor the trust terminated. At the time of his death her next of kin were some of the defendants, and the question for decision is, whether the principal shall be divided among them, or be paid over in equal proportions for distribution under the wills of the beneficiaries for life. We assume, in the absence of any statement to the contrary, that the residue turned over to the trustee consisted solely of personal property.

If the use and income had been directly given to the sons, or if, after using such terms, the gift had been coupled with the further provision that the estate should be held in trust, a construction could be adopted that the testatrix intended an absolute gift of the principal, or that the sons took an equitable fee, and a partial intestacy would be avoided. Chase v. Chase, 132 Mass. 473. Seaver v. Griffing, 176 Mass. 59. Fay v. Phipps, 10 Met. 341. Holden v. Blaney, 119 Mass. 421. Warren v. Street Commissioners, 181 Mass. 6, 15. Chauncey v. Francis, 181 Mass. 513. Chauncey v. Salisbury, 181 Mass. 516. Hayward v. Rowe, 190 Mass. 1.

But, evidently intending to provide a permanent income for her sons, she placed the residue in trust, which-gave them no right to possess or power to use the principal, and the legal title remained in the trustee until the termination of the Gribbs v. Marsh, 2 Met. 243. It may be, that she overlooked the contingency that both sons might die childless, or that after her purpose for the benefit of her children or grandchildren had been accomplished, if no further provision was made, the property would go to her next of kin. It is also conceivable that, having the matter in mind, she did not care to make any disposition of the remainder upon the falling in of the equitable life estates. But whatever may have been the reason, the language she employed being unambiguous and the other clauses of the will failing to disclose a different intention, the evidence of conversations with the testatrix either before or after the will was executed and published, offered by the defendants, was inadmissible to vary or enlarge the terms of the instrument or to supply possible omissions. If extrinsic evidence of this character were admissible, where no claim is advanced that fraud was practised upon the testator, every will might be reformed or remoulded to meet the demands of disappointed heirs or legatees. Lincoln v. Perry, 149 Mass. 368. Best v. Berry, 189 Mass. 510, 512. Polsey v. Newton, 199 Mass. 450,455, and cases there cited.

The equitable reversion, therefore, vested at her death in her sons as her next of kin, although by reason of the trust they never came into possession, and the share which each inherited passed by the provisions of their respective wills. Keating v. Smith, 5 Cush. 232, 235. Stearns v. Stearns, 192 Mass. 144. Cushman v. Arnold, 185 Mass. 165, 169.

It accordingly remains the duty of the trustee to divide the principal into two equal parts, and pay one part to the executor of the will of Charles H. Patch, and the other part to the executrix of the will of Fred C. Patch.

Decree of Probate Court affirmed.