In re the Probate of the Alleged Will of Liss

445 A.2d 455, 184 N.J. Super. 184, 1981 N.J. Super. LEXIS 821
CourtNew Jersey Superior Court Appellate Division
DecidedDecember 1, 1981
StatusPublished

This text of 445 A.2d 455 (In re the Probate of the Alleged Will of Liss) is published on Counsel Stack Legal Research, covering New Jersey Superior Court Appellate Division primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re the Probate of the Alleged Will of Liss, 445 A.2d 455, 184 N.J. Super. 184, 1981 N.J. Super. LEXIS 821 (N.J. Ct. App. 1981).

Opinion

COBURN, J. S. C.

This matter is before the court on the application of successors to the estate of Fannie Liss for an order directing the executor to abide by the terms of a written agreement altering their interests under her alleged will. Certain of the successors are charitable associations, consequently the court ordered service of all relevant papers to be made on the Attorney General who has [187]*187affirmed that the settlement serves the public interest. The only objector is the executor of the Fannie Liss Estate. Since his position cannot be justified, the court will approve the agreement and order the executor to abide by its terms.

Numerous proceedings have occurred in this complex litigation. For present purposes, no more than a brief outline is in order. However, it is appropriate that reference be made to the related litigation pending before this court arising from the probate of the estate of Fannie Liss’ husband Morris Liss because a settlement of this matter will also bring that case to a conclusion.

Morris Liss died in 1966, survived by his wife and their two children Sylvia Farber and Irving Liss. He left an estate worth approximately $500,000. Under his will Fannie Liss was to receive during her life the income of the residuary estate. She was also granted a power of appointment with respect to one-half of the residuary estate.

Fannie Liss died in 1980 at the age of 80, and on June 27,1980 her executor obtained an ex parte judgment of the Hudson County Surrogate’s Court admitting to probate a document, which he had drafted, purporting to be her last will. The estate consists primarily, if not entirely, of assets originating from the trusts established by her husband’s will. The alleged will was executed when Fannie Liss was 76 years old; it provides extremely minor bequests to family members, with the bulk of the estate going to 11 charities.

On September 26, 1980, within the applicable three-month limitation of R. 4:80-7, attorneys for Sylvia Farber filed a complaint in this court challenging the validity of the Fannie Liss will on numerous grounds, including lack of testamentary capacity. In support of the complaint Sylvia Farber certified that during the 18 years prior to her death Fannie Liss resided with the Farber family; that before she executed the will her physical and mental condition had severely deteriorated; that she could not read English and for the most part communicated [188]*188in Yiddish; that throughout her life all financial matters were handled by her husband and after his death by Sylvia Farber, and that she had no understanding of the size of her estate.

On October 17, 1980, a date beyond the three months allowed by the rule, attorneys for Sylvia Farber obtained in the same action an order to show cause further attacking the June 27, 1980 judgment of the Hudson County Surrogate. On December 18, 1980 the judge before whom the matter was then pending inscribed this legend on the face of the show cause order: “N.B. Complaint on order to show cause dismissed for lack of prosecution without prejudice and without costs.” (Emphasis supplied.) Nothing was written on the complaint and the executor failed to prepare a formal order. At the time settlement discussions were ongoing and the judge, who was about to retire, had informally expressed to counsel his desire to “clear his calendar.”

This court first became involved in these related actions on May 22, 1981, when trustees of the Morris Liss estate, an attorney and Sylvia Farber, asked for approval of their proposed final account. The executor of the Fannie Liss estate, appearing in opposition, filed exceptions to the account and sought to reopen two prior accounts. In a written opinion this court ruled that the executor had made a sufficient showing to permit discovery with respect to the prior accounts, but that a final determination on whether those accounts should be modified would have to follow a plenary hearing.

Thereafter an amended complaint and order to show cause was filed on behalf of Sylvia Farber and others in the Fannie Liss estate. The executor’s answer acknowledged his possession of and claim on behalf of the estate to over $100,000 in joint bank accounts which list either Sylvia Farber or her children as beneficiaries of Fannie Liss. On September 18, 1981 the executor moved to dismiss the challenge to the judgment admitting Fannie Liss’ will to probate on the ground that it was time-barred by R. 4:80-7. At that hearing attorneys representing the [189]*189charities and others reported to the court that a settlement had been reached. Consequently, the court reserved decision on the executor’s motion and urged the interested parties to submit a written agreement within 30 days. The executor expressed adamant opposition to any compromise of the litigation.

On October 23,1981 a proposed order of settlement, signed by all the affected successors and constituting their agreement, was submitted to the court. The court modified the order to provide for service upon the executor and the Attorney General, with provision allowing time for either to object. The Attorney General responded as follows:

After an extensive review of all the papers submitted, our office is satisfied that the settlement is in the best interest of the charities sinee there is a substantial chance that they would lose the will contest. Furthermore, the amount of the settlement appears to be very reasonable in view of the questions involving the Totten trusts and in view of the nature of the estate assets, which largely consist of two mortgages with relatively low interest payments.

The executor objected and the parties gathered in court once again, at which time it became clear after extensive argument that the executor was not yet prepared to set forth any substantive grounds for opposing the settlement. Thereafter, he availed himself of a second opportunity to file written objections. These are addressed below, together with the successors’ argument that the executor lacks standing to oppose their amicable resolution of this case.

In re Seabrook, 90 N.J.Super. 553 (Ch.Div.1966), held that a court may approve the compromise of a will contest over the objection of executors and trustees. Seabrook arose at a time when the only statutory authority for judicial approval of the compromise of a will case was contained in N.J.S.A. 3A:14 1 et seq. That legislation recognized the power of the fiduciary to compromise claims in good faith or to submit proposed written compromises for court approval. In adopting the 1977 probate code amendments the Legislature clarified and strengthened the position of successors who want to settle a will contest. Thus, N.J.S.A. 3A:2A-81 * provides in pertinent part:

* Reenacted as N.J.S.A. 3B:23-9.

[190]*190Subject to the rights of creditors and taxing authorities, competent successors may agree among themselves to alter the interests, shares, or amounts to which they are entitled under the will of the decedent, or under the laws of intestacy, in any way that they provide in a written contract executed by all who are affected by its provisions. The personal representative shall abide by the terms of the agreement

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Bluebook (online)
445 A.2d 455, 184 N.J. Super. 184, 1981 N.J. Super. LEXIS 821, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-probate-of-the-alleged-will-of-liss-njsuperctappdiv-1981.