Garland v. Raunheim

29 A.D.2d 383, 288 N.Y.S.2d 417, 1968 N.Y. App. Div. LEXIS 4393
CourtAppellate Division of the Supreme Court of the State of New York
DecidedMarch 21, 1968
StatusPublished
Cited by12 cases

This text of 29 A.D.2d 383 (Garland v. Raunheim) 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
Garland v. Raunheim, 29 A.D.2d 383, 288 N.Y.S.2d 417, 1968 N.Y. App. Div. LEXIS 4393 (N.Y. Ct. App. 1968).

Opinion

Stevens, J. P.

In this action for partition defendant Raunheim as successor trustee of certain trusts appeals from an order entered June 9, 1967 appointing a Referee to ascertain the rights, shares and interests of certain parties in the property to be partitioned, and to determine if a sale should be had. Raunheim also appeals from an order entered October 18, 1967 which granted his motion for reargument and renewal of the motion which resulted in the earlier order of June 9,1967. Special Term denied Raunheim’s motion to dismiss the complaint but held further proceedings in abeyance pending the sale of the property pursuant to order of the Surrogate’s 'Court. Special Term provided, however, that after such bale the plaintiff’s action would attach to the proceeds.

One Nathan Roggen died October 14,1925 leaving a will which was admitted to probate November 5,1925. Paragraph Sixth of that will reads in pertinent part as follows:

“ I give, devise and bequeath unto my executors the entire capital stock of the Roggen Realty Co., Inc., I having acquired and own the entire capital stock of the Company, to have and to hold such stock for the following uses and purposes: to elect or cause to be elected directors and officers of the Roggen Realty Co., Inc. who shall transfer and convey to my executors the following three (3) parcels of real property in the Borough of Manhattan, City, County and State of New York, vig:

“Parcel 1 — Nos. 39-41 East Broadway * * * and I direct my executors * * "*

“ (c) to hold, and I hereby give, devise and bequeath unto my executors, said premises #39-41 East Broadway, to have and to hold the same in trust for the following uses and purposes: to pay out of the net income thereof, to my wife, Brahne, during her life-time, the sum of Twenty ($20.) Dollars per week, payable monthly, and to pay to my sons Sol and Julius and to my Daughter Sarah Raunheim, all the rest and remainder of the net income thereof, that is, one-third of such rest and remainder to each of them; and upon the decease of either of my said sons Sol or Julius, or of my daughter Sarah Raunheim, or of any of them, I direct my executors to convey, and I hereby give, devise and bequeath one undivided third part and share of the said premises #39-41 East Broadway, to the lawful issue of such deceased son or daughter, per stirpes and not per capita, subject to the payment of $20.00 per week to my wife Brahne during her life-time.”

In another paragraph of the will it was provided that the residuary estate of the testator should, go to his seven children or their survivors.

[386]*386Sol Eoggen died September 9, 1961, leaving two daughters, Joan and Natalie, as his lawful issue. Plaintiff acquired the interest of Joan Eoggen on December 28, 1965', and the interest of her sister, Natalie Eapp, on December 31, 1965. The widow of the testator died prior to April 19, 1943, and all of the measuring lives, that is Sol, Sarah and Julius, terminated on September 9, 1961, upon the death of Sol Eoggen. Sarah died January 15, 1956, leaving surviving her husband, Sol Baunheim, now the successor trustee, and two daughters, Stella and Hattie, who subsequently assigned their interests to Sol Baunheim. Julius died without issue and his interest passed under paragraph Seventh of the will to the testator’s children.

On September 20,1962 Sol Baunheim was appointed successor trustee of the trusts provided for under subdivision (c) of paragraph Sixth of the testator’s will. The predecessor trustee to Sol Baunheim, Harry Eoggen, died August 29, 1944 while all of the beneficiaries of the trust were alive. In 1962, when all of such beneficiaries were dead Sol Baunheim applied for appointment as successor trustee and, as indicated, the application was granted. Plaintiff-respondent commenced this action for partition and sale in July, 1966. In his complaint plaintiff alleges that he is the owner of one-third undivided interest in the property at 39-41 East Broadway by purchase from the lawful heirs of Sol Eoggen. Defendant Baunheim affirmatively alleged in his answer that partition and sale is unnecessary and inequitable, that a voluntary sale is imminent, and defendant contended that the plaintiff had only a possible equitable interest and lacked standing to maintain the action. After joinder of issue plaintiff moved for summary judgment. In the first order appealed from Special Term granted the motion to the extent of appointing a referee to ascertain the rights, shares and interests of the several parties having an interest in the property sought to be partitioned, and an abstract of the conveyances or other instruments by which the same are held ”. Special Term found that plaintiff was clearly a tenant in common and as such had an absolute right to partition. Thereafter the successor trustee moved for renewal and reargument, attaching to his papers a contract of sale dated March 23, 1967 between the successor trustee as seller and two other parties as purchasers. He raised the sole issue as to whether the court as a matter of law was correct in holding that the plaintiff was a tenant in common possessing the necessary legal title to support an action for partition. In his affidavit in support of the motion Baunheim pointed out that he as successor trustee had petitioned the Surrogate’s Court for an order authorizing the sale of the sub[387]*387ject real property and that the citations which issued were returnable June 30, 1967. The matter was pending before the Surrogate’s Court. Special Term modified the prior order as heretofore indicated.

Surrogate Di Falco, by order dated July 28,1967, directed that the property be sold in accordance with the terms of the contract earlier referred to. The Surrogate reserved the fixation and determination of the rights and interests of the respective parties until the judicial settlement of the account of the petitioner Raunheim, which account was to be made in 60 days of the date the sale was consummated. The Surrogate ruled that the pendency of the partition action affecting such property would not constitute a bar to the conveyance of the real property by the successor trustee. The property has now been sold and the proceeds are to be deposited in the Surrogate’s Court, if they have not already been so deposited.

Appellant Raunheim urges that the plaintiff does not have standing to maintain an action for partition pursuant to article 9 of the Real Property Actions and Proceedings Law. He argues that what the testator really devised was the stock of the corporation, therefore the trusts were personalty and plaintiff can acquire no more than an equitable title or interest, and plaintiff, therefore, had no legal interest and no status to maintain an action for partition. It should be noted, however, that the testator directed his executors first to transfer the realty out of the corporation so that the trustees were directed to hold as an asset, realty. Only in the barest and most unreasoning technical sense can it be urged that the executors held personalty by reason of the momentary possession of stock. The executors had the power, the duty and were subject to the direction to immediately take title to the realty. It was the obvious and clear intent of the testator that they take and hold the realty for the stated purposes. The executors, therefore, held the realty in trust for a designated purpose with remainder over upon the terminaión of the life tenancies.

‘‘ A future estate is created when the disposition creating it becomes legally effective ” (EPTL 6-3.4).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Lane v. Tyson
133 A.D.3d 530 (Appellate Division of the Supreme Court of New York, 2015)
Ross v. Ross Metals Corp.
87 A.D.3d 573 (Appellate Division of the Supreme Court of New York, 2011)
Matter of Rita F. v. Neil F.
2006 NY Slip Op 26200 (NYC Family Court, 2006)
Rita F. v. Neil F.
12 Misc. 3d 894 (New York Supreme Court, 2006)
Berger v. Ickovicz
175 Misc. 2d 677 (New York Supreme Court, 1998)
Birnbaum v. Central Trust Co.
156 A.D.2d 309 (Appellate Division of the Supreme Court of New York, 1989)
In re the Estate of Weinberg
125 A.D.2d 398 (Appellate Division of the Supreme Court of New York, 1986)
Nichols v. Kruger
113 A.D.2d 878 (Appellate Division of the Supreme Court of New York, 1985)
Collins v. Manufacturers Hanover Trust Co.
124 Misc. 2d 907 (New York Supreme Court, 1984)
Baron & Vesel, P. C. v. Gammerman
101 A.D.2d 763 (Appellate Division of the Supreme Court of New York, 1984)
Peekskill Community Hospital v. Sayres
88 A.D.2d 657 (Appellate Division of the Supreme Court of New York, 1982)
In re the Estate of Walker
85 Misc. 2d 110 (New York Surrogate's Court, 1975)

Cite This Page — Counsel Stack

Bluebook (online)
29 A.D.2d 383, 288 N.Y.S.2d 417, 1968 N.Y. App. Div. LEXIS 4393, Counsel Stack Legal Research, https://law.counselstack.com/opinion/garland-v-raunheim-nyappdiv-1968.