In re the Judicial Settlement of the Account of Clyne

8 Mills Surr. 234, 72 Misc. 593, 131 N.Y.S. 1090
CourtNew York Surrogate's Court
DecidedJune 15, 1911
StatusPublished
Cited by4 cases

This text of 8 Mills Surr. 234 (In re the Judicial Settlement of the Account of Clyne) 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 Judicial Settlement of the Account of Clyne, 8 Mills Surr. 234, 72 Misc. 593, 131 N.Y.S. 1090 (N.Y. Super. Ct. 1911).

Opinion

Ketcham, S.

The trustee under the will of the decedent above named alleges that, as trustee under the will of the decedent’s wife, she paid from the funds of the wife’s estate certain sums in partial discharge of a mortgage upon lands belonging to the estate of the husband; and, upon further averments tending to support the claim, she asks a decree that she, as trustee of the other estate, be subrogated to the rights of the mortgagee to whom such payment was made.

The question thus presented is of equitable cognizance and [236]*236beyqnd the jurisdiction of this court (Bevan v. Cooper, 72 N. Y. 317; Matter of Wagner, 119 id. 28; Sanders v. Soutter, 126 id. 193; Matter of Randall, 152 id. 508; Matter of McAleenan, 53 App. Div. 193; Matter of U. S. Trust company, 80 id. 77; Matter of Bunting, 98 id. 122), unless the power to dispose of it has been given by section 2472a, which was added to the Code of Civil Procedure in 1910. That section is as follows: “ The surrogate’s court has also jurisdiction upon a judicial accounting or a proceeding for the payment of a legacy to ascertain the title to any legacy or distributive share, to set off a debt against the same and for that purpose ascertain whether the debt exists, to affect the accounting party with a constructive trust, and to exercise all other power, legal or equitable, necessary to the complete disposition of the matter. He must order the trial of any controverted question of fact of which either party has constitutional right of trial by jury and seasonably demands the same.”

New powers are thus bestowed to ascertain the title to a legacy or distributive share, to set off a debt against the same, and to ascertain whether the debt exists, and to affect the accounting party with a constructive trust.

In none of these specific grants of jurisdiction is there included any right to decree that a party, not the accountant, or the accountant in a representative capacity foreign to that in which he is accounting, be subrogated to a demand against the trustee in the character in which he accounts. But the words by which jurisdiction is given for the several purposes enumerated are followed by the phrase “ and to exercise all other power, legal or equitable, necessary to the complete disposition of the matter.”

Under this language it is claimed that the surrogate may now assert any equitable power necessary to a complete determination of the accounting. This, if it involves anything in advance of the law as it was before the enactment quoted [237]*237supra, must mean that the court may determine, by the exercise of equitable powers, all controversies among the parties to the accounting in any manner relating to or provoked by any rights or duties which have arisen among them with regard to the estate, fund or trust which is the subject of the accounting.

This power, not expressed or implied in any of the precise words of grant found in the section, can have no existence unless it be discovered in the general phrase with which the sentence closes. Is this closing expression to be given a meaning independently of the phrases with which it is associated, or is to be characterized and limited by the other members of the sentence?

Where words of specific and inevitable purport are followed by words of general purport, the application of the last phrase is generally to be confined to the subject-matter disclosed in the phrases with which it is connected. It is known by the company which it keeps; and, though capable of a wider significance if found alone, it is limited in its effect by the words to which it is an adjunct. It may strengthen the general structure, but it cannot exceed the original outline.

Thus it would seem that the whole purpose of the statute was defined by the earlier expressions, which aptly confer specific authority to do particular things, and that the last phrase was intended, not to transcend the definite grants, but rather to reinforce and amplify them by an energy always to be confined within their scope. In this view, the jurisdiction “ necessary to the complete disposition of the matter ” would be exhausted in the fulfillment of the authority to try the title to a legacy or distributive share, to set off a debt, to ascertain the existence of the debt, or to affect the accounting party with a constructive trust.

Moreover, the text of the statute is not that these legal and equitable powers shall be used for the disposition of “ the accounting.” They are granted for the disposition of “ the [238]*238matter,” and “ the matter ” can be more rationally referred to one of the matters embraced in the earlier grant of jurisdiction than to the matter of the accounting.

The present case illustrates the rule. It is the more easily believed that the final phrase quoted above was intended to be read only in connection with its predecessors, since, if it were construed to contain a separate and plenary jurisdiction, it would present the absurdity of apparently bestowing the right and duty of a complete disposition, without adequate means to fulfill or enforce the decree in which the disposition might take form. If the question of subrogation were disposed of in this proceeding, the disposition could not proceed beyond the empty finding. - There is no, mechanism in the Surrogate’s Court forr effectuating such result. A court of equity would not content itself with a mere declaration of the right of subrogation. It would cancel the satisfaction of the mortgage, clear the record of the embarrassment which the satisfaction piece imposes, and proceed to the enforcement of the mortgage in favor of the person subrogated and the foreclosure of all subordinate rights. The mind does not readily impose upon the words bestowing these general legal and equitable powers an interpretation which would reduce Doth the provision and the court to such a helpless attitude.

The subject might be dismissed with these observations, were it not that they in part collide with an opinion of unusual dignity. It does not seem to have received judicial construction, but the accountant cites the report of the Law Reform Committee of the Association of the Bar of the City of New York (N. Y. L. J., April 28, 1911), which maintains that the surrogate has been given the right “ to exercise all power, legal or equitable, necessary to the complete disposition of an accounting.”

This is the judgment of a committee imposing not only in number but in the gravity and influence of its scholarship. [239]*239This committee was in large part responsible for the reforms in the procedure of Surrogates’ Courts, which are embodied in sections 2472a, 2547, 2624 and 2625 of the Code, as well as those which were effectuated by the repeal of sections 2647— 2653, and it is devoted to the further amendment of the law on the same subject. The report was recently approved at a general meeting of the association (N. Y. L. J., May 19, 1911), when its recommendations were adopted and the committee was authorized to take certain measures to secure the further legislation therein outlined.

The opinion of these gentlemen is properly cited as authority. Coke says that the poets and philosophers may be resorted to for guidance in the law.

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Bluebook (online)
8 Mills Surr. 234, 72 Misc. 593, 131 N.Y.S. 1090, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-judicial-settlement-of-the-account-of-clyne-nysurct-1911.