Bronx County Trust Co. v. O'Connor

226 A.D. 126, 234 N.Y.S. 414, 1929 N.Y. App. Div. LEXIS 8666
CourtAppellate Division of the Supreme Court of the State of New York
DecidedMay 10, 1929
StatusPublished
Cited by2 cases

This text of 226 A.D. 126 (Bronx County Trust Co. v. O'Connor) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bronx County Trust Co. v. O'Connor, 226 A.D. 126, 234 N.Y.S. 414, 1929 N.Y. App. Div. LEXIS 8666 (N.Y. Ct. App. 1929).

Opinions

Martin, J.

The plaintiffs have obtained two judgments: (l) Adjudging that gifts from Ellen Campbell, deceased, to Frances H. O’Connor and Madelon R. O’Connor, and (2) adjudging that a deed of trust executed by Ellen Campbell on the 19th day of June, 1926, were fraudulently procured; and that both the gifts and the deed of trust were the result of undue influence and, therefore, void.

The first action is to recover the proceeds of the sale of 4,252 shares of stock of the British American Tobacco Company, Ltd., of Great Britain, and 794 shares of stock of the Imperial Tobacco Company, Ltd., of Great Britain and Ireland. These shares of stock were sold by Nickerson & Co. under a written order from Ellen Campbell and the sum of $138,409.75, the proceeds of the sale, divided between Frances H. O’Connor (Lamberti) and Madelon R. O’Connor.

The issue involved is whether the sale of the stock and the gift of the proceeds thereof to Frances H. O’Connor and Madelon R. O’Connor were voluntary acts on the part of Ellen Campbell while she was in full possession of her faculties and subject to no undue influence or restraint.

A similar issue is raised as to the trust action. A deed of trust was made on June 19, 1926, supervised by the representative of the New York Trust Company making that company trustee, whereby the decedent turned over to the trustee certain property. This consisted of 666 shares of American Tobacco Company stock, 200 shares of California Gold Mine stock and certain claims that Ellen Campbell had as residuary legatee under the will of her brother Daniel amounting to about $20,000 and a claim she had against [128]*128Sadie Kaplan amounting to $5,600 in respect to a sale of certain American Snuff Company stock together with about $3,000 cash on deposit in the Chatham Phenix National Bank of New York city and in the Irving Bank-Columbia Trust Company.

The deed of trust provides that the income from the trust estate was to be paid to the grantor during her life in quarter annual payments and upon her death the then existing principal was to go to Frances H. O’Connor, if living at the time of grantor’s death, and if not living to the heirs of said Frances H. O’Connor, subject, however, to a payment of $2,750 out of the principal for the perpetual maintenance of the Campbell mausoleum in Woodlawn Cemetery.

On July 24, 1926, Ellen Campbell, then seventy-three years of age, died while a resident óf Bronx county. Her family originally consisted of five sisters and three brothers. Her four sisters were Marguerite Campbell, a nun, who died in St. Augustine, Fla., in 1912, Frances Y. O’Connor, Mary A. Haas and Emma Hogan, and her three brothers were Daniel Campbell, William Campbell and Edward Campbell. Daniel Campbell died in 1918. Ellen Campbell inherited practically his entire estate including the part which is the subject of this litigation. Nothing has been heard from William Campbell or Edward Campbell for upwards of twenty-five years. Two of the sisters, Mrs. Emma Hogan and Mrs. Mary A. Haas, survived the decedent but Mrs. Hogan has since died.

The two surviving sisters are Frances V. O’Connor and Mary A. Haas. The last named survivor has three children, Sadie Kaplan, Alma M. Schneider and Alexander L. Haas. Frances V. O’Connor has four children, Frances H. O’Connor (now Lamberti), Madelon It. O’Connor, Marguerite O’Connor (now Margaret Frenz) and Howard O’Connor.

In her early life the deceased was a seamstress and later when Marguerite O’Connor (now Margaret Frenz) was three years old she took the latter with her and went to five with her brother Daniel, at Fishkill, N. Y. Margaret continued to live with her until 1924, when she married. A quarrel then occurred which resulted in litigation. Ellen Campbell sued Margaret but was unsuccessful in her action; the latter then in turn sued her, which litigation was finally settled.

In 1924, after Margaret left her, Ellen Campbell went to live with Sadie Kaplan. She remained there until Sadie Kaplan told her that she intended to take a cottage at Long Beach for the summer, and that she would either have to go to Long Beach or to a hospital. It was then that Ellen Campbell asked her sister [129]*129Mrs. Frances V. O’Connor to rent an apartment in which she could live with the O’Connor family.

The plaintiffs contend that it was during the time Ellen Campbell lived with the O’Connors that they wrongfully influenced her to give them part of her property.

When the case was before this court on a former appeal from an order denying a motion to enjoin certain of the defendants from disposing of property which is the subject of this litigation, we held that if the facts alleged in the moving papers were established the plaintiffs would undoubtedly be entitled to some form of relief; that the allegations of fact set forth in the affidavits if proved might establish fraud and undue influence. (220 App. Div. 340.)

On this appeal an examination of the record discloses that many of the allegations made in the affidavits on the former appeal have not been proved. In several instances they were wholly disproved. Important witnesses who were in a position to explain the matters referred to on the former appeal, although available on the trial, failed to testify.

A majority of the witnesses for the plaintiffs were relatives, interested in the result and all seeking a share of the property that was the subject of the action. During the course of the trial it appeared they had already received substantial gifts from the decedent.

The witnesses for plaintiffs who were not relatives seeking a share of the property, especially the lawyer, Mr. Heymann, were clearly biased. On cross-examination he admitted that he was related to Sadie ICaplan, was her attorney and was vitally interested in the result because of a will that had been prepared by him but which was destroyed by Ellen Campbell. The trial court commenting on the testimony said: “ The sad and sordid story of the straining of these formerly close relations and their final rupture is hinted at by various witnesses. If fully told it might furnish a key to several obscure problems of the case. Neither Marguerite nor Sadie was called as a witness for either side. On May 10, 1926, Miss Campbell left Sadie and took up her residence with Mrs. O’Connor and Frances, who were two days afterwards joined by Madelon; there she remained until her death on June twenty-fourth of the same year.”

Attention was then called to the fact that several of the relatives had received substantial gifts from the decedent. The trial justice said: Miss Ellen Campbell, the deceased, had been a member of a large family, of whom her brother Daniel J. Campbell, her benefactor through bequests of nearly $400,000, was the most [130]*130successful. After Daniel’s death such of the survivors as were conveniently located appear to have turned to Ellen as the moneyed member and she from time to time distributed gifts to them with a generous hand. By the first or second month of 1926 the score was approximately as follows: Mrs. Frances V. O’Connor, sister (co-defendant), $10,000; Mrs. Alma Schneider, niece, and daughter of Mrs. Haas, $18,000; Al Haas, nephew, and son of Mrs. Haas, $5,000; Mrs. Mary A. Haas, sister (plaintiff), $10,000; Madelon and Frances, nieces, and daughters of defendant Mrs. Frances V. O’Connor (defendants), $15,000 each; Howard O’Connor, nephew, and son of defendant Frances Y. O’Connor, $5,000. Mrs.

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Bluebook (online)
226 A.D. 126, 234 N.Y.S. 414, 1929 N.Y. App. Div. LEXIS 8666, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bronx-county-trust-co-v-oconnor-nyappdiv-1929.