Newark City National Bank v. Crane

45 A. 975, 60 N.J. Eq. 121, 15 Dickinson 121, 1900 N.J. Ch. LEXIS 79
CourtNew Jersey Court of Chancery
DecidedMarch 21, 1900
StatusPublished
Cited by3 cases

This text of 45 A. 975 (Newark City National Bank v. Crane) is published on Counsel Stack Legal Research, covering New Jersey Court of Chancery primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Newark City National Bank v. Crane, 45 A. 975, 60 N.J. Eq. 121, 15 Dickinson 121, 1900 N.J. Ch. LEXIS 79 (N.J. Ct. App. 1900).

Opinion

Pitney, V. C.

The contest in this cause is over a sum of thirty thousand dollars and more in the hands of the defendant Crane as surviving executor of, and trustee under, the will of Nathan Bolles, deceased. It is so much of the proceeds of a sale of real estate of the testator, made by Crane as surviving executor, as repre- ' sents the ’ share of Thomas N. Bolles, deceased, a son of the testator, under said will. Thomas N. was co-executor and trustee with the defendant Crane, but died before the sale of the lands which produced the fund.

The contestants on either side are the complainant, the Newark City National Bank and other judgment creditors, and a mortgagee of Thomas N. Bolles (who will hereafter be spoken of as the hank), on the one side, and the children of-Thomas N. Bolles, on the other side, who are parties defendant.

The bank claims as a judgment creditor of Thomas N. Bolles, and asserts that its judgment was declared and decreed by this court, on February 3d, 1892, in the lifetime of the judgment debtor, to be a lien upon the lands which were sold to produce the fund in court. That decree was made in a contested, hut unreported suit of Crane, executor, against Bolles, which was commenced on the 1st of November, 1890, and is the second of that name.

, The children of the judgment debtor, on the other hand, claim by virtue of the twelfth clause in the will of Nathan Bolles, which is in these words: “It is my will that the issue of any [123]*123child who may hereafter decease shall receive the share or portion to which their parents would be entitled to if living.” And they assert that the true construction of that clause, as applied to the case in hand, has been determined by this court in a contested suit of Crane v. Bolles (No. 1), commenced in April, 1889, in an opinion of the chancellor, reported in 4 Dick. Ch. Rep. 373 (where the will is set forth at length), and that a decree was made therein in accordance therewith on the 17th of May, 1892.

The counsel for the bank, on the other side, assert, and truly, that their client was not a party to that suit of Crane v. Bolles, which was the first of that name, and hence is not bound by any decree made therein. The children of the judgment debtor, on the other hand, assert truly that they were not parties to the second suit of Crane v. Bolles, and therefore are not bound by the decree relied upon by the bank to establish its lien; and they further set up and show that the suit ISTo. 1 was commenced and was pending before the accrual of the encumbrances under which the bank and others claim herein. So that there was no intentional omission to make them parties to that suit.

It is plain, therefore, that neither party is bound by the decree proper in either cause which is relied upon, unless the failure of the bank to make itself a party to the first suit had that effect.

But there is a clear distinction between a decree and the law declared by the court which produces the decree, and though a party may not be bound by a decree, as such, he may be bound, so to speak, by the law which produces that decree. That is to say, his rights are affected, as all other citizen’s rights are affected, by the declaration of the law made by the courts in the due administration of justice.

This rule is illustrated in New Jersey by the line of cases which seem to have fairly established the rule that, in a suit for specific performance of a contract for the conveyance of land, where the defendant sets up as a defence a defect in the title of the complainant, and its validity depends upon the construction of a written instrument — deed or will — the court may construe the deed or will, and the construction so adopted, so far at least as is necessary for the determination of the question then before [124]*124the court, will be binding, subject always to the right of appeal, on all persons interested in the question, whether parties to the suit or not. Such determination is the determination of a question of law. Clark v. Denton, 9 Stew. Eq. 419, and, on appeal, Ibid. 534; Cruikshank v. Parker, 6 Dick. Ch. Rep. 21, and, on appeal, 7 Dick. Ch. Rep. 310; Lippincott v. Wikoff, 9 Dick. Ch. Rep. 107 (at p. 115); Fahy v. Cavanagh, 44 Atl. Rep. 154.

It is quite impossible to entertain the notion that after the court of errors and appeals has determined that a particular estate has passed and become vested by virtue of a particular clause in a deed or will, and compelled the purchaser to accept and pay for the property on the strength of such determination, it will afterwards permit a person not a party to the record’ in which that 'determination was made, to procure from it a contrary determination. It is on the very ground that the court will in such cases stand by its determination that it undertakes to construe deeds and wills in debatable cases for the purposes of specific performance. The case of ’ Cruikshank v. Parker, above cited, is an illustration of the power of the court to determine and finally settle a debatable question of that kind.

Let us, then, inquire what was the issue involved in Crane v. Bolles (No. 1); If Dick. Ch. Rep. 372. There one of'the children of the testator, and who stood under the will in precisely the situation that Thomas N. Bolles stood here, had intermarried with Henry C. Howell, and borne him one child, Elizabeth Howell, and had then died. After her death, the bulk of the real estate still being undisposed of, dividends were accumulating in the hands of the executors, which were claimed by Henry C. Howell in the double capacity of administrator of his deceased wife and as tenant by the curtesy of her real estate, and the executors filed a bill for the construction of the will in general, and in particular to determine the rights to those rents and profits as between Henry C. Howell and his daughter Elizabeth. In that manner the construction of the twelfth clause of the will was brought directly in question before the chancellor and carefully considered by him.

He determined, in the first place, that the effect of the will was to convert the real estate into personalty. The result of [125]*125that would ho to give Howell a greater.right, as administrator, in the estate than as though not converted. But he. decided, in the second place, that the effect of the twelfth clause was to give a vested estate to the children of the testator, subject, however, to be devested in favor of their children as to any of the real estate not actually sold and conveyed prior to the death of the first taker. The result was that Elizabeth Howell was decreed to be entitled to take all rents and interest which accrued on the share of her mother after her mother’s death, and the proceeds of any sale of such share made thereafter, free from any claim on the part of her father.

This seems to me to cover the very point involved in this cause, and to declare and determine that the share given by. the will to Thomas NT. Bolles vested in him, but that it was subject to be devested in. favor of his children as to any of the property which had not, in due course of administration, been sold at the date of his decease. That precise situation is here presented, and hence the children are entitled to the proceeds of the sales made and of rent which accrued since their father’s death.

How let us examine the decree that was made in the suit of ■ Crane v.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Riddle v. Cella
15 A.2d 59 (New Jersey Court of Chancery, 1940)
In Re Killough
182 A. 34 (New Jersey Superior Court App Division, 1935)
Reibesehl v. Reibesehl
149 A. 823 (New Jersey Court of Chancery, 1930)

Cite This Page — Counsel Stack

Bluebook (online)
45 A. 975, 60 N.J. Eq. 121, 15 Dickinson 121, 1900 N.J. Ch. LEXIS 79, Counsel Stack Legal Research, https://law.counselstack.com/opinion/newark-city-national-bank-v-crane-njch-1900.