In re the Estate of Sauer

194 Misc. 2d 634, 753 N.Y.S.2d 318, 2002 N.Y. Misc. LEXIS 1638
CourtNew York Surrogate's Court
DecidedNovember 18, 2002
StatusPublished
Cited by5 cases

This text of 194 Misc. 2d 634 (In re the Estate of Sauer) is published on Counsel Stack Legal Research, covering New York Surrogate's Court 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 Sauer, 194 Misc. 2d 634, 753 N.Y.S.2d 318, 2002 N.Y. Misc. LEXIS 1638 (N.Y. Super. Ct. 2002).

Opinion

OPINION OF THE COURT

John B. Riordan, S.

This is a proceeding pursuant to sections 1901, 1902 (7) and [635]*6351918 of the Surrogate’s Court Procedure Act by the decedent’s surviving spouse to dispose of the decedent’s interest in real property in which the petitioner has a life estate. The decedent, Sally E. Sauer, died on August 24, 2001. She was survived by a spouse, Arthur W. Sauer, Jr., the petitioner herein. The decedent was also survived by three children from a previous marriage — Kathleen Siracusa, Arthur Caddigan and James Caddigan. The decedent’s daughter, Kathleen Siracusa, was appointed executrix of her mother’s estate on December 5, 2001. The executrix opposes the application.

The decedent and her husband owned a home in Garden City as tenants-in-common. Pursuant to article Tenth of the decedent’s last will and testament, the decedent provided the following: “my husband, Arthur W. Sauer, shall continue to live, for his lifetime should he so choose, in our marital residence and he shall not be asked, forced, nor required in any manner to sell the premises until he so desires as long as the maintenance is paid by my husband, including all taxes and insurance thereon.”

The petitioner has asked the court for permission to buy the real property for $161,264.08. The aforesaid amount represents the decedent’s one half of the home based on an appraisal of $575,000 less one half of the outstanding mortgage less the value of petitioner’s life estate. The petitioner received an offer to buy the house for the amount of $605,000. When a contract was drafted and sent to the executrix to sign, the executrix was made aware, apparently for the first time, that the petitioner would seek the value of his life estate. The executrix refused to sign the contract. As a result the petitioner has now asked the court for permission pursuant to sections 1901 and 1902 of the Surrogate’s Court Procedure Act to buy the property himself since presumably the buyer may no longer be interested. The petitioner has further asked the court to value his life estate pursuant to section 1918 (2) of the Surrogate’s Court Procedure Act.

The question thus becomes, can the holder of a life estate force the sale of the real property and collect the value of his life estate over the objections of the remaindermen, or can the remaindermen simply wait for the death of the life tenant and collect the full value of their interest in the real property upon his death?

Although not in dispute, the threshold question is whether the petitioner holds a life estate in the home or whether the [636]*636petitioner is merely allowed to occupy the house. Traditionally, the “descriptive words denoting a life tenancy are ‘use and occupation’ ” (8 Warren’s Weed, New York Real Property, Life Estates § 1.01 [2] [4th ed]). The distinction is critical as a right of occupancy is a personal privilege only (Estate of Cimino, NYLJ, Aug. 2, 1995, at 25, col 6). Where an agreement was drawn by an experienced lawyer and the “usual words denoting a life tenancy ‘use and occupation’ were not used,” the court found the party had “merely a right to occupancy” as opposed to a life estate (Rizzo v Mataranglo, 16 Misc 2d 20, 21, affd 16 Misc 2d 21, lv denied 285 App Div 814). Similarly, when the wife of the decedent was “permitted to occupy, rent free, for her residential purposes,” the wife was found to have a “mere right of occupancy” as the bequest was carefully drafted to avoid giving the “use” of the premises (Matter of Stokes, NYLJ, Dec. 29, 1995, at 31, col 5). Further indicia of a right of occupancy can be found where there is “no language from which the added rights and responsibilities of a life estate can be implied” and no right exists to lease or collect rents and the responsibility for maintenance falls upon someone other than the life tenant (Stokes, supra).

A life estate has been found to exist where the decedent left her one half of real property “for the use and benefit” of her son “for so long as he shall wish to remain in residence there” and where the son was responsible for the payment of all taxes and maintenance for as long as he resided in the house (Matter of Heinlin, NYLJ, May 21, 1996, at 35, col 2; see also, Matter of Holzwasser, 177 Misc 868). A declaration by a testator that his purpose in giving his wife a life estate was to provide her with a suitable residence did not act as a “limitation of the estate to a mere * * * occupancy” (Tobias v Cohn, 36 NY 363, 364). Further, a “devise of the use of a piece of property during the natural life of a person gives to that person a life estate in the property and not merely the right to occupy it” (Matter of Gaffers, 254 App Div 448, 451).

In the instant proceeding, the petitioner was given the right to live in the premises for his lifetime and was directed to pay the maintenance, including the insurance and taxes thereon. Further, the petitioner has an apparent power of sale as he can be neither forced nor required to sell “until he so desires.” Finally, all of the parties conceded that the petitioner has a life estate in the home. Clearly, even though the traditional “use [637]*637and occupancy” words were not used, the petitioner has a life estate in the real property.

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Cite This Page — Counsel Stack

Bluebook (online)
194 Misc. 2d 634, 753 N.Y.S.2d 318, 2002 N.Y. Misc. LEXIS 1638, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-estate-of-sauer-nysurct-2002.