In re Landis

46 F.2d 524, 1929 U.S. Dist. LEXIS 1140
CourtDistrict Court, S.D. Illinois
DecidedJune 27, 1929
DocketNo. 4184
StatusPublished

This text of 46 F.2d 524 (In re Landis) is published on Counsel Stack Legal Research, covering District Court, S.D. Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Landis, 46 F.2d 524, 1929 U.S. Dist. LEXIS 1140 (S.D. Ill. 1929).

Opinion

FITZHENRY, District Judge.

In the course of the administration of this bankruptcy estate, the referee passed an order directing the trustee to sell real estate at public auction, free from liens. Certain judgment creditors, feeling aggrieved at the order, filed their petition for a review thereof. The real estate sought to be sold was certain property claimed by the trustee in bankruptcy to have been devised to the bankrupt by his father. The testator died June 15, 1906. The will was duly admitted to probate in Logan county September 24, 1906. There were left surviving the testator’s widow, Susannah I. Landis, Leland K. Landis, and Elmer E. Landis, sons, and Louisa S. Griffin, his daughter. Thereafter, May 22,1927, Susannah I. Landis, widow of the testator, died. The bankrupt herein was adjudicated a bankrupt in this court June 18, 1925.

Upon a consideration of the petition for sale, the referee held that the bankrupt was the owner of a vested remainder in an undivided one-third part of all the real estate, subject to the life estate of Susannah I. Landis, the widow, and subject to an executory devise in favor of the descendants of the bankrupt, in the event of his death prior to the death of the widow. The bankrupt having survived the widow, the trustee is now the owner of the undivided one-third interest in the real estate.

After the adjudication of the bankrupt, a number of judgments were taken against him, and the referees held that the interest of the bankrupt in his father’s estate, being a vested remainder, was not affected thereby. The judgment creditors filed their petition for review, contending that the bankrupt’s interest at the time of the filing of the petition was a contingent remainder, did not pass to the trustee, and became vested after adjudication and subject to the lien .of their judgments.

The third paragraph of the last will and testament of David B. Landis is as follows :

“Three: After the expiration of the prior life estate therein of my said wife, I give, devise and bequeath the remainder in the real estate hereinbefore devised unto my-said wife for life unto my children Lulu S. Griffin, Leland K. Landis and Elmer E. Landis and the descendants of any of my children that shall depart this life before the death of my said wife, in fee simple, in equal shares among them, giving to the descendants’ of any deceased child his, her or their parent’s portion, in equal shares among them.
“It is my intention that the interest hereby given to my said children and to the descendants of any of them that shall depart this life before the death of my said wife, [525]*525shall not become a vested interest during the lifetime of my said wife.”

The question submitted by the referee is: “Was Elmer E. Landis, the bankrupt, at the time of his adjudication in bankruptcy, the owner of a vested, or contingent interest .in the real estate directed to be sold? ”

There can be no serious question but that under the first clause of the third paragraph of the will the interest here involved was a vested remainder. Nicol v. Morton, 332 Ill. 533, 164 N. E. 5 (opinion by Mr. Commissioner Partlow adopted by the court, pages 539, 540, 541 of 332 Ill., 164 N. E. 5, 8, 9); In re McHarry, 111 F. 498 (C. C. A. 7th Cir.); Lachenmyer v. Gehlbach, 266 Ill. 12, 107 N. E. 202, 204; Ducker v. Burnham, 146 Ill. 9, 34 N. E. 558, 37 Am. St. Rep. 135; Strickland v. Strickland, 271 Ill. 614, 111 N. E. 592; Remmers v. Remmers, 280 Ill. 93, 117 N. E. 474.

In Nicol v. Morton, supra, substantially all of the leading Illinois cases upon vested and contingent remainder are reviewed and applied. The case of Lachenmyer v. Gehlbach, supra, is especially referred to. In the latter case, Mr. Justice Cartwright, in discussing the subject, quoted from Brown v. Brown, 247 Ill. 528, 93 N. E. 357, as follows :

“A ‘vested remainder’ is one which throughout its continuance gives the remainderman or his heirs the right to the immediate possession whenever and however the preceding estates may determine.”

The opinion then proceeds:

“In Carter v. Carter, 234 Ill. 507, 85 N. E. 292, the distinguishing characteristics of vested and contingent remainders were clearly stated, and it was said that a contingent remainder — -‘is an estate which is not ready to come into possession at any moment when the prior estate may end. On the other hand, if the estate is at any time ready to come into possession, provided the prior estate should end, then it is a vested estate.’ The definition given by Gray in his Rule against Perpetuities (section 101) is: ‘A remainder is vested in A when throughout its continuance A, or A and his heirs, have the right to the immediate possession, whenever and however the preceding estate may determine.’ The rule has also been stated quite as fully as follows: ‘But if any estate be it ever so small, is always ready, from its commencement to its end, to come into possession the moment the prior estates, be they what they may, happen to determine, it is then a vested remainder and recognized in law as an estate grantable by deed. It would be an estate in possession were it not that other estates have a prior claim; and their priority alone postpones, or may perhaps entirely prevent, possession being taken by the remainderman. The gift is immediate, but the enjoyment must necessarily depend on the determination of the estates of those who have a prior right to the possession.’ Williams on Real Prop. 345.”

The first clause of paragraph 3 clearly gives the fee-simple title to the three children named, share and share alike, subject to the prior life estate of the widow, and subject, however, to the substitution of the descendants of any deceased named ehild.

In re MeHarry, supra, the Circuit Court of Appeals for this circuit, in an opinion by Judge Grosseup, laid down the rule that:

“Where lands were devised to a life tenant, with remainder in fee to his children or their descendants, if any should survive him, a son of such life tenant took a vested remainder, both under the general law and under the law of Illinois, which he could transfer, and which passed to his trustee on his bankruptcy during the lifetime of his father.”

By all the tests applied in the various decisions under the first clause of the third paragraph of this will, the remainder granted after the expiration of the life estate in the widow was a vested remainder. The serious question here involved is whether the second clause of paragraph 3 changes the legal effect of the first paragraph. The second clause is as follows:

“It is my intention that the interest hereby given to my said children and to the descendants of any of them that shall depart this life before the death of my said wife leaving descendants who shall survive my said wife, shall not become a vested interest during the life time of my said wife.”

The second paragraph of the will created and gave to the wife a life estate in the real estate of which the testator died seized. The first clause of the third paragraph gave the remainder, after the expiration of the life estate, to the three children, subject to a right of substitution in the event of the death of either before the death of the life tenant. The clear intent of the testator as exhibited by the second clause of the third paragraph was to provide that nothing should intervene to interfere with the full enjoyment of the life estate by his wife as long as she should live.

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Related

Nicol v. Morton
164 N.E. 5 (Illinois Supreme Court, 1928)
Burney v. Arnold
67 S.E. 712 (Supreme Court of Georgia, 1910)
Higgins v. Dwen
100 Ill. 554 (Illinois Supreme Court, 1881)
Ducker v. Burnham
34 N.E. 558 (Illinois Supreme Court, 1893)
Hayward v. Loper
35 N.E. 225 (Illinois Supreme Court, 1893)
Hawkins v. Bohling
48 N.E. 94 (Illinois Supreme Court, 1897)
Bowler v. Bowler
52 N.E. 437 (Illinois Supreme Court, 1898)
Chapman v. Cheney
61 N.E. 363 (Illinois Supreme Court, 1901)
Carter v. Carter
85 N.E. 292 (Illinois Supreme Court, 1908)
Brown v. Brown
93 N.E. 357 (Illinois Supreme Court, 1910)
Northern Trust Co. v. Wheaton
94 N.E. 980 (Illinois Supreme Court, 1911)
Strickland v. Strickland
271 Ill. 614 (Illinois Supreme Court, 1916)
Remmers v. Remmers
117 N.E. 474 (Illinois Supreme Court, 1917)
McHarry v. Kingman & Co.
111 F. 498 (Seventh Circuit, 1901)

Cite This Page — Counsel Stack

Bluebook (online)
46 F.2d 524, 1929 U.S. Dist. LEXIS 1140, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-landis-ilsd-1929.