In re the Judicial Settlement of the Account of Wiemann

220 A.D. 276, 221 N.Y.S. 409, 1927 N.Y. App. Div. LEXIS 9288
Appellate Division of the Supreme Court of the State of New York·Decided April 22, 1927·Published·Cited by 2 cases

Opinion

Martin, J.

The will of Frederick Wiemann, who died on January 19, 1919, was duly admitted to probate without contest on February 21, 1919. By it the residuary estate was divided equally among the nine children of his deceased sister, Amelia Bender, and the four children of his deceased brother George F. Wiemann, each receiving one-thirteenth. George F. Wiemann, a nephew, and the son of the decedent’s brother of the same name, was made one of the executors. He was the head of the George F. Wiemann Company, engaged in the wholesale coffee business at No. 406 Greenwich street, New York city.

George F. Wiemann had been in close and daily association with the decedent for upwards of twenty-five years. The other executor, George Filers, was associated with George F. Wiemann in the business mentioned as were Albert B. Wiemann and Frederick Wiemann, nephews and legatees. The will specifically bequeathed two mortgages to George Filers.

The objectants to the account as filed were five of the children of Amelia Bender, deceased. Three'of her children, one an incompetent, and two of the children of George Wiemann, deceased, have not joined in the contest, although their rights are the same as those of the objectants.

The objections relate chiefly to four gifts, two to George F. Wiemann, one of the executors, a third to his brother, Albert B. Wiemann, and a fourth to one Clara Pallehner from whom decedent rented rooms and with whom he boarded for fourteen years. The objections are principally to the failure to include as assets the property affected by these gifts.

The contestants themselves offered in evidence three assignments of mortgage, each signed Frederick Wiemann ” and dated October 10, 1918.

The first of these was an assignment of a mortgage upon No. 406 Greenwich street. It runs to George F. Wiemann. It was a first mortgage for the sum of $63,000.

[278] The second also runs to George F. Wiemann. It is an assignment of a second mortgage upon the same premises. This mortgage though originally for $32,000 had been reduced to $23,237.50.

The third assignment of mortgage runs to Albert B. Wiemann, a brother of George F. Wiemann. The principal amount was $50,000.

The assignments are all dated October 10, 1918. They were acknowledged the same day the testator executed his last will.

The executors maintain that the three assignments were properly executed by the decedent and were duly delivered at the same time that the will was executed on October 10, 1918. This, the object-ants dispute. They contend that the record does not sustain the findings to the effect that valid gifts inter vivos of the mortgages were made. They also challenge a gift of $20,000 in United States Liberty bonds to Clara Pallehner, asserting that these bonds are part of the testator’s estate.

The referee found that there was a failure to prove the gift of the Liberty bonds and that the executors should be surcharged accordingly. The surrogate, however, overruled the referee in this respect and held that a gift of the Liberty bonds to Clara Pallehner had been established.

In each instance the assignments recite as consideration the amount of the principal of the mortgage. That to Albert B. Wiemann recites a consideration of $50,000, the first to George F. Wiemann a consideration of $63,000 and the second to George F. Wiemann a consideration of $23,237.50.

The original objections are to the effect, not that the assignments are invalid, but that George F. Wiemann and Albert B. Wiemann had failed to turn into the estate the amounts recited as consideration therein. The objectants assert that the assignees had respectively agreed to pay the said sums for the assignments. This assumed that the mortgages were assigned and was wholly inconsistent with the position, subsequently taken, that the assignments had not been validly delivered.

The executors having moved to dismiss objections Nos. 13, 14 and 15, because of a failure to prove that George F. Wiemann or Albert B. Wiemann had agreed to pay any consideration for the assignments, the objectants changed their position. They obtained leave to amend their objections, adding 13a, 14a and 15a, which set up the invalidity of the gifts in question.

The referee reported that the assignments were validly delivered, and disallowed objections 13a, 14a and 15a. In this respect his report was confirmed by the surrogate.

The gift to Clara Pellehner consisted of twenty Liberty bonds [279] delivered by the decedent to George F. Wiemann. This gift the contestants say was not made. In this respect the referee sustained the objections, holding that the language of the testator relied upon by the executors was as indicative of a parol trust as of a gift; and that, as a parol trust, it must fail for uncertainty. As to this the referee was reversed by the surrogate, who held that a valid gift was proved in the case of the Liberty bonds as in the case of the assignments of mortgages.

Neither the referee nor the surrogate discussed the contestants’ charges of fraud and conspiracy. The referee found that both George F. Wiemann and George Filers, in their dealings with the testator prior to his death and in their administration of his estate as executors, have at all times and in all their proceedings acted fairly and uprightly and with the utmost good faith; and that the executors have acted as reasonable and prudent persons, exercising diligence and discretion in handling the affairs of the estate.

Peter Cook, as notary public, certified to the testator’s acknowledgments of he assignments. They are not otherwise witnessed. Within a few minutes after their execution, the testator signed his last will and testament in the presence of Peter Cook and Clara Pallehner. One Lizzie Johnson was then called into the room and, upon being requested by the testator, Peter Cook, Clara Pallehner and Lizzie Johnson acted as witnesses to the will, signing their names as such.

The testator thereupon handed the three assignments of mortgages to George F. Wiemann, stating to him that two of them covered the property at No. 406 Greenwich street and were for him, and that the third one covered the mortgage on the Regent place property, executed by Bohack, and was for his brother Albert B. Wiemann. At the same time the testator stated to George F. Wiemann that as he was the main proprietor of the business the building ought to be bis and that he gave the mortgage to Albert in order to enable him to keep the Bohack trade.

George F. Wiemann took possession of the said assignments and had the two relating to No. 406 Greenwich street in his possession continuously up to the time of the testator’s death. He gave the assignment covering the Bohack mortgage to Albert B. Wiemann about the middle of October, 1918; and Albert B. Wiemann requested George F. Wiemann to keep it for him, handing it back to George F. Wiemann. During the month of October, 1918, George F. Wiemann exhibited these assignments to Samuel N. Freeman, an attorney. Shortly before Christmas, 1918, Albert B. Wiemann received the assignment of the Bohack mortgage from George F. Wiemann, and showed it to his wife; thereafter he had it con[280] tinuously in Ms possession up to the time of the death of the testator on January 19, 1919.

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In re the Judicial Settlement of the Account of Wiemann, 220 A.D. 276, 221 N.Y.S. 409, 1927 N.Y. App. Div. LEXIS 9288 (N.Y. Ct. App. 1927).

220 A.D. 276 (In re the Judicial Settlement of the Account of Wiemann) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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