In re the Judicial Settlement of the Accounts of Lapides

144 Misc. 19, 258 N.Y.S. 799, 1932 N.Y. Misc. LEXIS 1515
CourtNew York Surrogate's Court
DecidedJune 15, 1932
StatusPublished
Cited by8 cases

This text of 144 Misc. 19 (In re the Judicial Settlement of the Accounts of Lapides) 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 Accounts of Lapides, 144 Misc. 19, 258 N.Y.S. 799, 1932 N.Y. Misc. LEXIS 1515 (N.Y. Super. Ct. 1932).

Opinion

Wheeler, S.

This is a proceeding for the final judicial settlement of the accounts of Hyman L. Lapides, as general guardian of the person and estate of Lillian Lapides Levin, above named.

The general guardian charges himself with receiving $1,000, and also with interest at the rate of four per cent to the date of the filing of the account, amounting in all to $1,176.65, and credits himself with cash advanced to his ward for the education and expenses of his ward at the Starrett School for Girls, located at Chicago, 111., in the amount of $1,135.50, leaving a balance on hand, subject to the commissions and expenses of his accounting, of $41.15.

These disbursements were made by the general guardian without application to the Surrogate’s Court for an order authorizing such expenditures.

The ward objected to the account, contending that the payments were unauthorized and unwarranted, and asks that the general guardian be required to pay to her the sum of $1,000, with interest at the rate of six per cent.

The ward, Lillian Lapides Levin, was born in 1908 and her mother died in the year 1919, and her father, Hyman L. Lapides, was appointed the general guardian of her person and estate April 11, 1919, and in the year of 1921 her father and general guardian remarried.

After her mother’s death she went to live with her grandmother in New York city, attending the public schools.

In the year 1922 she entered the Rochester Business Institute and in June, 1923, graduated therefrom. She was then given a position with her father until September, 1923, when she entered the Starrett School for Girls at Chicago, remaining there for the term and then went to New York city without the knowledge of her guardian and secured a position as typist and bookkeeper with the Rogal Furniture Company, and while there lived with her grandmother.

This contest centers about the right of the guardian to expend bis ward’s estate for educational purposes at the Starrett School for Girls at Chicago without application to the court.

It was the legal duty of the parent, if of sufficient financial ability, to support, maintain and educate this minor child, and where the [21]*21parent is also the guardian, the circumstances of the parent as well as his ward’s estate may be taken into consideration in determining the liability of the parent to pay for the education of the ward.

It is the proper practice where the ward’s income is insufficient for the suitable and proper education, to apply to the court for leave to employ so much of the principal as may be required for such educational purpose.

The right of the guardian to the custody of the person of the ward carries with it the obligation to provide for the proper support and education and upbringing of the ward. It is one of the first and highest duties of a general guardian to provide for the education and maintenance of his ward and in a manner fitting her station in life, and, where the income is insufficient, resort may be had to the capital, if justifiable.

Where, however, the guardian does encroach upon the principal, without securing the order or direction of the court, the court may in a proper case, if it has been for the welfare of the ward, sanction such expenditures made in the ward’s behalf. (Voessing v. Voessing, 4 Redf. 360.)

The test for determining whether the expenditures should be allowed to the guardian in his account is whether he acted in good faith and with reasonable discretion in making such expenditures (28 C. J. 1117), and was financially unable to provide for her education.

Concerning the financial condition of the parent (guardian) and his ability to educate his minor child, the record discloses: In 1918 I had lost practically everything; in 1921 burned out and lost all our stock and lost upwards of 30 to $50,000.00 worth of stock — no insurance.

In 1922 when the ward started for school, I will show by my bookkeeper that we were not doing a good business. After the fire, in 19221 was not in a position to spend a dollar.

In 1923 I borrowed money on my fife insurance policy and in that way I financed her schooling.

I had two policies of $1,500 taken out in 1913 and 1915, and I borrowed $375.00 on one and $325.00 on the other. This money was deposited in the bank to my credit and I checked out that $585.00.”

The bookkeeper testified in substance: The bank balance of the guardian in 1923 was practically nothing; that the business owed upwards of $20,000.00.

“ I mean from that time, 1922, no bank balance, no profit in the business since 1922.

At the time of the hearing, no property.

[22]*22Last year we done $60,000.00 worth of business and had $30.00 to the good.

<{ The parent had an income of $2,000 a year.”

There is ample proof before the court that the father was not financially able to pay the expense of his minor daughter at the Starrett School for Girls. In fact it was necessary for him to borrow upon his life insurance policies sufficient money to meet the required payments.

A serious question is raised which relates to whether the guardian was justified in expending his ward’s money for her education at this private school, for which he claims credit in this accounting.

What does the record disclose that would justify the guardian in spending his ward’s estate for her education, as claimed?

Reference to the record in that connection shows: “ She refused to go to school ever since I was married in 1921 — trouble all the while — discontented; we had trouble about her going to school before I married. The trouble was ever since the mother died. I never could control the girl. When her mother was alive she could take care of the girls. After she died I could not tell her — she would not go to school. I would go to business at seven in the morning and come back and she had not been to school. The housekeeper at the house would tell me. She would start for school; I knew she was not in school. She would not go to school, she would run around town and all over. Discontented about the town, did not want to stay there — it was too small for her. She said she wanted to go to a private school. I told her we could not send her to school. She said she had some money coming to her from her mother’s estate and that it would not be any more than right to use the money and that I should send her to school.

“ In 1922 and 1923 she was at Rochester with her grandmother. She would not stay at home, we simply knew she was at her grandmother’s.

She started at the Rochester Business school; afterwards I had her in my office. I just tried to keep her off the streets.

There was a time when I appealed to Justice Alverson; I felt it was necessary; she was running around with boys after twelve and one o’clock — Tom, Dick and Harry.

“ Later I took her with me over to Mr. Alverson’s. She told me she would not go to school at Dansville. She was tired of Dansville and wanted to go to school in some big city; she wanted to go to this school because it was in a big city.

We had both written letters inquiring and at her request we settled upon the Starrett School for Girls at Chicago.”

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Bluebook (online)
144 Misc. 19, 258 N.Y.S. 799, 1932 N.Y. Misc. LEXIS 1515, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-judicial-settlement-of-the-accounts-of-lapides-nysurct-1932.