In re the Estate of Liberman

160 N.E.2d 912, 6 N.Y.2d 525, 190 N.Y.S.2d 672, 1959 N.Y. LEXIS 1177
CourtNew York Court of Appeals
DecidedJuly 8, 1959
StatusPublished
Cited by3 cases

This text of 160 N.E.2d 912 (In re the Estate of Liberman) is published on Counsel Stack Legal Research, covering New York Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re the Estate of Liberman, 160 N.E.2d 912, 6 N.Y.2d 525, 190 N.Y.S.2d 672, 1959 N.Y. LEXIS 1177 (N.Y. 1959).

Opinions

Chief Judge Conway.

In 1954 Bertha Liberman brought a proceeding in the Surrogate’s Court of New York County to validate her election to take an intestate share of the estate of her deceased husband, Philip Liberman, against the provisions of his will. Her petition alleged that the testator created a trust in her favor of one third of the residuary estate, that taxes were made payable from that.residue and that the capital of the trust in her favor was subject to dilution in favor of others. The answer of the other parties interested in the estate denied that petitioner was the surviving spouse, because a Nevada decree, divorcing petitioner from another man prior to her marriage to Liberman, was invalid for lack of jurisdiction. They also denied that the trust was constituted as alleged in the petition. Finally, they pleaded that the petitioner had waived her right of election in writing during the lifetime of the testator. Petitioner replied that she signed the alleged waiver but that she was ignorant of its nature, of the extent of Liberman’s property and that the instrument was inequitable and the product of concealment of material facts. She further alleged that the waiver was drawn and signed with specific reference to the 1942 marriage to Liberman when her first husband was still alive. She then alleged that in 1945, after the death of her first husband, she and Liberman went through a religious ceremony which constituted a repudiation of the waiver agreement. Finally, she set forth that she had cohabited with Liberman as man and wife in Florida and elsewhere until his death in 1954.

After a hearing on the merits, the Surrogate decided in favor of the petitioner. As one of his grounds for decision, the Surrogate held that petitioner’s rights in the trust were subject to being vitiated in favor of others under the doctrine of Matter of Wittner (301 N. Y. 461) and thus the provisions for her did not satisfy the requirements of section 18 of the Decedent Estate Law (6 Misc 2d 396).

The Appellate Division, First Department, reversed on the law and the facts. It decided, in effect, that the portion set aside for the petitioner was separate and not subject to invasion on behalf of the other beneficiaries, and that, therefore, the [528]*528trust satisfied the requirements of section 18 of the Decedent Estate Law. Moreover, the court took the view that there was insufficient proof in the record to show that the 1942 divorce was invalid and, further, that petitioner was barréd by the antenuptial agreement. The antenuptial agreement including the waiver was also deemed to apply to the 1945 ceremonial marriage, as well as the 1942 marriage. In addition, it was observed that there was insufficient proof to show fraud or overreaching in obtaining her assent and signature to the document (4 A D 2d 512).

An appeal was taken to our court wherein the briefs contained lengthy argument as to the proper construction of the will. We unanimously affirmed the order of the Appellate Division without opinion (5 N Y 2d 719).

Accordingly, upon our remittitur, the Surrogate issued a decree making our order the order and decree of the Surrogate’s Court. However, that decree also provided for an allowance of $2,500 to be paid from the general estate by the executors to counsel for petitioner, for their services on the appeals to the Appellate Division and to our court. An appeal was taken and the Appellate Division modified the order, on the law, to delete the provision allowing compensation to petitioner’s attorneys, from which modification petitioner Bertha Liberman now appeals to our court.

The statute primarily involved in this appeal is that part of section 278 of the Surrogate’s Court Act which provides that: ‘ When the decree is made in a proceeding to construe a will, or after appeal, in such a proceeding, pursuant to the direction of the appeEate court, the surrogate may, in his discretion, aEow to an executor, trustee, guardian, or any party to said proceeding, such sum as the surrogate deems reasonable for his counsel fees and other expenses necessarily incurred in such a proceeding or on such appeal.”

AppeEant contends that the Etigation in which she sought to assert her right of election required a construction of the wiE in order to determine the rights of the parties and that, thus, it constitutes “ a proceeding to construe a wiE ” within the meaning of section 278. Respondents argue that such a proceeding can be brought only pursuant to section 145-a of the Surrogate’s Court Act which provides that: “ An executor, [529]*529administrator with the will annexed, a surviving spouse, or any person interested in obtaining a determination as to the validity or effect of any election to take an intestate share against the provisions of a will under section eighteen of the decedent estate law may present to the surrogate’s court in which such will was probated, a petition setting forth the facts which show his interest, the names and post office addresses of the other persons interested and the particular question concerning which he requests the determination of the court.”

They then maintain that such a proceeding is entirely different from a construction proceeding which may be brought under section 145 of the Surrogate’s Court Act which states that: ‘ ‘ An executor, administrator with the will annexed, testamentary trustee, or any person interested in obtaining a determination as to the validity, construction or effect of any disposition of property contained in a will, may present to the surrogate’s court in which such will was probated, a petition setting forth the facts which show his interest, the names and post office addresses of the other parties interested, and the particular portion of such will concerning which he requests the determination of the court.” Hence, they conclude that the litigation in this case was not a 1 ‘ proceeding to construe a will ’ ’ under section 278.

The Surrogate, after indicating his belief that in the ordinary case respondents would be correct in their assertion that a right of election proceeding is not a proceeding to construe a will, held that in this case the issue of whether the trust was adequate under section 18 of the Decedent Estate Law required a construction of the will. He pointed out that subdivision 8 of section 40 of the Surrogate’s Court Act empowers the Surrogate “ To determine the validity, construction or effect of any disposition of property contained in any will proved in his court, whenever a special proceeding is brought for that purpose, or whenever it is necessary to make such determination as to any will in a proceeding pending before him * * *.” Therefore, he concluded that he was authorized to grant an allowance under section 278 and, in his discretion, did so.

The Appellate Division, on the other hand, declared that ‘ * a proceeding to construe a will” differs materially from “a [530]*530proceeding in which a will may be construed,” and held “ [t]hat the court in the course of a particular proceeding may have to read the will to determine whether the petition should be granted or denied does not serve to transform the nature of the proceeding itself into a construction proceeding ’ The court also noted that since the widow here was unsuccessful there was no necessity for the court to pass upon the devolutionary effect a valid election might have upon the interests of the other beneficiaries.

The Appellate Division order of modification was stated to be on the law.

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In re the Estate of Nelson
134 Misc. 2d 936 (New York Surrogate's Court, 1987)
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492 N.E.2d 751 (New York Court of Appeals, 1986)
Seidel v. Werner
81 Misc. 2d 1064 (New York Supreme Court, 1975)

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Bluebook (online)
160 N.E.2d 912, 6 N.Y.2d 525, 190 N.Y.S.2d 672, 1959 N.Y. LEXIS 1177, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-estate-of-liberman-ny-1959.