Rau's Estate

98 A. 1068, 254 Pa. 464, 1916 Pa. LEXIS 753
CourtSupreme Court of Pennsylvania
DecidedJuly 1, 1916
DocketAppeal, No. 237
StatusPublished
Cited by34 cases

This text of 98 A. 1068 (Rau's Estate) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rau's Estate, 98 A. 1068, 254 Pa. 464, 1916 Pa. LEXIS 753 (Pa. 1916).

Opinion

Opinion by

Mr. Justice Stewart,

That portion of tbe will of Henry Rau, deceased that gives rise to the present controversy has respect to a one-eighth share in his estate, which he disposes, of as follows :

“And the remaining equal one-eighth part of my residuary estate, I direct shall be held and retained by said trustees who shall invest and reinvest the same in good interest bearing securities, and collect and receive the interest and income thereof, and when and as received to pay the same to my said daughter Elizabeth Rau, or to such person or persons as she may appoint from' time to time to receive the same by any revocable instrument under her hands, and not by way of anticipation, for and during her natural life. Such payments to be made notwithstanding my said daughter may be under coverture and in case of such coverture for her separate use; and to be made in such way and manner as that said income shall not be liable for the debts, contracts or engagements of my said daughter Elizabeth, or the debts, contracts or engagements of any husband she may take; and from and immediately after the decease of my said daughter Elizabeth, then In Trust, to grant and convey, assign, transfer and set over the principal of said remaining one equal eighth part of my residuary estate unto all and every the child and children of my said daughter Elizabeth and the legal issue of any of them deceased leaving issue, their respective heirs, executors, administrators and assigns in equal parts and shares. The issue of any such deceased child or children to take and receive such part and share only as its deceased parent would have had and taken if then living. The shares of such children or issue that may be minors to be held and retained by said trustees who shall pay and apply their several shares of said interest and income toward [467]*467their support and maintenance during their respective minority.”

The question for determination arises in the distribution of testator’s estate. The appeal is from a decree awarding the fund — something in excess of $30,000 — to the next of kin of the testator. The ground on which the court rests its decree is, that intestacy resulted with respect to so much of the estate as was given to the daughter Elizabeth and then over to her children upon her death, inasmuch as the gift over was contingent upon child or children, or issue of a deceased child surviving her; and that this condition having failed of fulfillment, with no one qualified to take when the prior estate determined, the gift over lapsed. The contention on part of appellants is, that under above recited provision in the will, William H. Rau, a son and only child born to Elizabeth but who died in his minority, during the lifetime of his mother, unmarried and leaving no issue, took, not a contingent but vested interest in the remainder, transmissible, and which upon his death passed by inheritance to his mother and upon her death passed to her legatees, she having died testate.

We cannot agree that the construction placed on this bequest by the court below is correct. It finds little or no support in the language of the will that we can discover, while, on the other hand, if it does not wholly disregard settled rules of construction, it allows a single circumstance to which it gives mistaken import to overcome the effect of these established canons. Because the will provides that upon determination of the prior estate the residuary estate is to go to the children of the said Elizabeth and the lawful issue of any then deceased leaving issue — the issue of any such deceased child to take and receive such part or share only as its deceased parent would have taken if then living — the auditing judge reached the conclusion that the vesting of the remainder was postponed until the determination of the prior estate; that until then those to take could not be [468]*468determined, and the legacy was therefore contingent. He does not say that the language employed by the testator reveals a purpose to suspend or postpone the vesting of the legacy, and that to give effect to this purpose the legacy must be held contingent, or whether the contingency he affirms results by virtue of some subordinate rule of construction which qualifies in some way the general rule that-an interest is to be construed contingent only when it is impossible to construe it as vested. If the former, the only, but quite sufficient, answer must be that it is just as reasonable — to our mind' it is much more so — to infer from the language used that its only purpose was to indicate the period when the legatees were to come into possession and enjoyment of the legacy; if the latter, then the existence of any such rule may be freely challenged. The general rule governing-in such cases as this is thus stated by Mr. Jarman on his Treatise on Wills, Ch. XXV, p. 773, 6 Amer. Ed.

“Where a testator creates a particular estate, and then goes on to dispose of the ulterior interest, expressly in an event which will determine the prior estate, the words descriptive of such an event occurring in the latter devise will be construed as referring merely to the period of the determination of the possession or enjoyment under the prior gift, and not as designed to postpone the vesting.”

This rule is of universal application, and in no jurisdiction has it been applied more frequently than in our own: Womrath v. McCormick, 51 Pa. 504. Considering that the effect of disregarding it in any case is to make a legacy contingent, when the whole policy of the law inclines to the vesting of legacies, and allows that policy to yield only when a contrary purpose is clearly expressed in the instrument, it is apparent that the court allowed the words of futurity here used by the testator a significance to which they are not entitled, and, in view of the general rule here quoted, misapplied them as well. A second reason assigned by the court for holding the [469]*469legacy contingent is, that the will contains no direct gift to the children of the daughter Elizabeth upon the determination of the particular estate, but that such gift can arise only by implication from the direction of the trustees, upon the death of the said Elizabeth to convey, assign, transfer and set over to her children the principal of said remaining one equal eighth part of the residuary estate; this conclusion being reached because of supposed analogy to the case of Rosengarten v. Ashton, 228 Pa. 389. We quite agree that the case referred to is conclusive of this present controversy except as it can be distinguished on its facts. That a marked distinction exists we think is clear. The will there under consideration gave the estate to trustees for the benefit of testator’s children for life, with the direction upon the death of the last child “to pay over and distribute” the estate to all testator’s grandchildren and the issue of such as may be dead, such issue to take the share only the parent would have taken if living at the time of distribution ; and it was held that the interest of a grandchild who died before the period of distribution was contingent. As clearly appears in the opinion in the case, delivered by Mr. Justice Brown, now the chief justice of the court, this conclusion was based on the fact that there the testator by his will made no direct or express gift to his grandchildren. The opinion thus proceeds (p. 394):

“Whatever interest a grandchild takes in the corpus of the grandfather’s estate passes under this clause which simply directs distribution.

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Bluebook (online)
98 A. 1068, 254 Pa. 464, 1916 Pa. LEXIS 753, Counsel Stack Legal Research, https://law.counselstack.com/opinion/raus-estate-pa-1916.