Estate of Reith

77 P. 942, 144 Cal. 314, 1904 Cal. LEXIS 693
CourtCalifornia Supreme Court
DecidedAugust 2, 1904
DocketSac. No. 1150.
StatusPublished
Cited by18 cases

This text of 77 P. 942 (Estate of Reith) is published on Counsel Stack Legal Research, covering California Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Estate of Reith, 77 P. 942, 144 Cal. 314, 1904 Cal. LEXIS 693 (Cal. 1904).

Opinion

McPARBAND, J.

This is an appeal from that part of the decree of distribution which distributes the estate of the minors to trustees. The decree follows the will under which it was made, and the question is thus presented as to whether or not the will created a trust as to the property of the minor children. The portion of the will material here is as follows: “Of my real estate and business interests I bequeath to my children all equally share and share alike the property bounded by 7th., J—the alley etc.,—my interest in the home property on H, 13th. and 14th., and the part of the business and property now carried on on K. Street, between 3rd. and 4th., my interest in the Buffalo Brewery and lands in Arizona and the Omaha. To my husband, John Reith, Jr., I name one tenth of all such of my estate not mentioned as personal property, together with small personal bank interests, and together with Douglas A. Bindley, Wallace A. Briggs, I name him trustees for my whole estate, to be so protected by them that my children shall receive at the age of twenty-five one half of all that is due and at thirty, the remaining half, and that these trustees shall receive a small commission each in consideration of their services. I also assign to said trustees the added duty of keeping my children in such circumstances as will permit them to have every comfort of dress etc., and all the needed education which shall fit them for a career in any position of life. In the event of my husband’s death, I name my brother-in-law Jesse B. Reith, to act as trustee with the surviving ones, knowing him to be honorable, competent and justly fitted for such responsibility as are herein expected. Furthermore, I wish to state that if the trustees see fit to make over to my children because of good character and industrious propensities the whole rather than one half of my estate as they reach the age of twenty-five, it shall be in their power to do so.

Alice Bindley Reith.”

“The will is in the handwriting of deceased and was evidently written without legal assistance. But no matter how poorly expressed, nor how ungrammatical may be the sentences, it is the duty of the court to interpret it and carry out the intention of the testatrix if that intention can be ascer *317 tained, provided no law is violated in so doing. The court must examine the will in all its parts with the honest and earnest purpose of arriving at the thing that the deceased intended should he done with her property. She had property and desired to dispose of it. She had four children of tender age and she desired to provide for their care and education. She had the right to dispose of her property as she saw fit, provided she violated no law in so doing. It is plain that the deceased intended her husband to have one tenth of the property, after excluding the specific bequests made in the first part of the will and the personal property which had been given to her children. It is equally plain that the children were to have the remaining nine tenths. She named her husband and Bindley and Briggs as trustees of her whole estate, but by ‘whole estate ’ she evidently meant the whole of the estate left to the children, for the statement immediately follows: ‘to be protected by them that my children shall receive at the age of twenty-five one half of all that is due, and at thirty, the remaining half, and that these trustees shall receive a small commission each in consideration of their services. ’ She did not mean that the trustees should have charge of her husband’s portion, because she states that the trustees are to keep it until the children shall receive it under certain conditions. In the next paragraph she makes it the duty of the trustees to keep her children, to give them a proper education, and to provide suitable clothing for them. She had named the children, she had given them an estate, she had named trustees, and she designated the duty of the trustees. She did not intend that the executors, as such, should keep the estate for the children and clothe and educate them, because that is no part of the duties of executors. She expressly states that the trustees shall receive a commission. And in the latter clause she states that in the event of her husband’s death she names her brother-in-law, Jesse L. Keith, ‘to act as trustee with the surviving ones, knowing him to be honorable, competent and justly fitted for such responsibility.’ The intention was that the children’s portion should be held and managed by trustees of her own selection, until the time when they should have full possession.

“A voluntary trust is an obligation arising out of a personal confidence reposed in, and voluntarily accepted by, one for the benefit of another. The trustee stands upon the same footing *318 as a confidential agent or adviser, and in cases of minor children, much like a guardian. The confidence reposed is the essence of the relation, and the trust is always for the benefit of some third party or parties, or for some particular object. A trust may be created for any purpose allowed by the code. The subject-matter of the trust, the purpose thereof, and the persons beneficially interested, must be reasonably ascertained. A voluntary trust is created, as to the trustor and beneficiary, ‘by any words or acts of the trustor, indicating with reasonable certainty: 1. An intention on the part of the trustor to create a trust; and 2. The subject, purpose, and beneficiary of the trust.’ (Civ. Code, sec. 2221.) In the case of Colton v. Colton, 127 U. S. 300, which was on appeal from the circuit court of the United States for the district of California, the words of the will were ‘I give and bequeath to my said wife E. M. C. all of the estate, real and personal, of which I shall die seized, possessed, or entitled to. I recommend to her the care and protection of my mother and sister, and request her to make such provision for them as in her judgment will be best. ’ It was held that a trust was imposed upon the surviving wife to make suitable provision for the mother and sister. The court said: ‘No technical language, however, is necessary to the creation of a trust, either by deed or by will. It is not necessary to use the words ‘upon trust’ or ‘trustee’ if the creation of a trust is otherwise sufficiently evident. If it appears to be the intention of the parties from the whole instrument creating it that the property conveyed is to be held or dealt with for the benefit of another, a court of equity will affix to it the character of a trust, and impose corresponding duties upon the party receiving the title if it be capable of lawful enforcement. No general rule can be stated that will determine when a conveyance will carry with it the whole beneficial interest and when it will be construed to create a trust; but the intention is to be gathered in each case from the general purpose and scope of the instrument.’ In Tobias v. Ketchum, 32 N. Y. 319, the testator did not use the word ‘trustee’ or ‘trustees,’ but gave the executors power to rent, lease, repair, and insure his real estate, until sold or divided, and out of the rents and profits to pay the provision made for the widow, and to at a certain time divide the property among the children or other heirs. It was held that the will created a trust in the execu *319 tors.

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Bluebook (online)
77 P. 942, 144 Cal. 314, 1904 Cal. LEXIS 693, Counsel Stack Legal Research, https://law.counselstack.com/opinion/estate-of-reith-cal-1904.