Clark v. Neil

19 Ohio N.P. (n.s.) 449

This text of 19 Ohio N.P. (n.s.) 449 (Clark v. Neil) is published on Counsel Stack Legal Research, covering Court of Common Pleas of Ohio, Franklin County, Civil Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Clark v. Neil, 19 Ohio N.P. (n.s.) 449 (Ohio Super. Ct. 1917).

Opinion

Dillon, J.

This case is submitted on its merits upon an agreed statement of facts.

It involves tbe validity of title to property which came through William Neil, trustee for Henry M. Neil and family.

The question is whether William Neil, as trustee of William Neil, deceased, had the power and right to make deeds of conveyance of lands devised by the decedent without authority or order from' court.

This question involves all titles in the addition of Indianola Forest, City of Columbus, excepting a few lots for which deeds were given by the original trustees. The interests are very great and the question of vast importance.

Some question was raised in the early history of this addition touching the power of William Neil, trustee, to make deeds in [450]*450fee for this property without having first obtained an order of court, and in one instance it is said opinion was given that an order of court was essential.

On careful examination of the law and the will I am of the opinion that such order was unnecessary; that William Neil, trustee, had full power and authority to sell the property without obtaining an order from the court and that his deeds convey legal title, and that the plaintiff is entitled to the relief by him sought, quieting the title to his property.

I fully coincide in the opinion of my associate, Judge Kinkead, who while in practice passed on the validity of the title to this property when the Indianola Forest Addition was opened up. I am content with, adopting his opinion as that of this court, which is now here in part set forth:

William Neil died testate May 18, 1870. I have read over the entire will in order to arrive at the full scope and extent of the trusts provided for therein. The testator’s intention, as to these 'trusts, and how they were to be carried out, has all to do with the determination of the powers of a successor in the trusteeship.

The premises were devised to Robert E. Neil and William Dennison in trust.

There are four distinct trusts created in this will; Item 2 creates a trust for the benefit of John G. Neil; item 3 creates a trust for the benefit of Henry M. Neil; item 4 creates trusts for the benefit of John G. Neil and Henry M. Neil, for their shares, respectively, of the residuary estate.

The powers and duties conferred on the trustees for all these trusts are:

1. To collect rents, profits and interests, to pay taxes, and to pay the income to the support of John G. Neil and Henry M. Neil.

2. To sell any part of the real estate, and to invest the proceeds.

3. To hold the proceeds for the benefit of John G. Neil and Henry M. Neil.

4. To pay over to any child or children of the two beneficiaries, after their deaths.

[451]*451The purpose of the trust was to place the entire management of all the property devised for the benefit of Henry M. Neil and his family in the hands of trustees for the support of Henry ML Neil and family. To enable the trustees to fully carry out this trust, the testator gave full authority to them to sell his land, the proceeds to he held in trust for the same purposes, and for the same purposes as sand land ivas to he held,.

The polar star of this trust was the “support of said Henry M. Neil and his family, during the lifetime of said Henry M. Neil.”

Upon the death of Henry M. Neil the income to be derived from the trust was to be paid to the children of Henry M- Neil, and at their death the “principal” (not the land), is to be paid over to the children of such deceased child or children, i. e., the great-grandchildren of the testator.

The fact that the chief purpose of the trust is the support of Henry M. Neil and his children during their lives, and the further fact that the will provides that, “at their death (William Neil’s grandchildren), respectively, to pay over the share of the principal to the children of said deceased child or children, ’ ’ shows that the testator intended the broad and comprehensive powers of sale to be coupled with this trust, that is, with the office of trustee, during the continuance of the trust. He provides for the continuance of the trust throughout the lives of his son, Henry M. Neil, and of his children, the testator’s grandchildren. The testator must be presumed to have believed that his self-appointed trustee could not possibly live throughout the life of the trust he was creating. And this trust, it will be remembered, was to pay “principal” derived from both the income by way of rents and profits from the real estate, as well as that which was derived from the sale of his lands, over to his great-grandchildren at the end of his trust.

The testator nowhere made a devise of a remainder in the fee to the lands of his grandchildren, that which is to go to them being the principal derived from the proceeds which he directs to be invested.

The trust was not, merely to hold the lands, and to receive the rents and profits, but to sell the lands. The will does not' provide that the trustees should sell when they should see fit, [452]*452but the broad and comprehensive power of sale is conferred and coupled with the trust, which is only complete when the land is all sold.

The provision as to the power of sale is as follows:

“I do fully authorize and empower said trustees to sell all or any part of said real estate, in such quantities, in such manner, on such terms, and at such prices as to them shall seem best, the purchaser not to be liable for the application of the purchase money; and to execute any and all conveyances and other papers therefore that are proper and necessary, and to collect and invest the proceeds in such manner as they deem best, the proceeds of said land to be held in trust for the same purposes, and for the same purposes as said land is above directed to be held. * * #
“If one of said trustees should accept said office or trust,., or if after acceptance of both, one should resign or cease to act, or be absent from Columbus when any act was necessary to be done, all the powers and interests of this will invested in said trustee shall pass to and be exercised by the sole trustee acting. ’ ’

There is a marked distinction between the powers of an executor merely, and a trustee. In the great majority of instances when power is conferred upon an executor, it is to be regarded as purely personal. It can not in such a case be exercised by an administrator with the will annexed. We have a case of that kind in Ohio (Wills v. Cowper, 2 Ohio, 131). The doctrine of that case, however, is not to be confounded with the rule to be applied to the trust in hand.

Powers of trustees are of different kinds:

1. Powers in the nature of a trust, and
2. Naked or discretionary trust.
“A power in the nature of a trust, or a mixed trust and poAver, is a power annexed to the office of trustee for the pur-' poses of the trust and to promote its objects. It is an imperative power, imposing a duty on the trustee which must be executed and the performance of which can be enforced.” 28 Encyc. of Law, 984; Freeman v. Prendergast, 94 Ga., 369.

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Related

Freeman v. Prendergast
21 S.E. 837 (Supreme Court of Georgia, 1894)
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53 Md. 46 (Court of Appeals of Maryland, 1880)

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Bluebook (online)
19 Ohio N.P. (n.s.) 449, Counsel Stack Legal Research, https://law.counselstack.com/opinion/clark-v-neil-ohctcomplfrankl-1917.