Robson v. Jones

3 Del. Ch. 51
CourtCourt of Chancery of Delaware
DecidedSeptember 15, 1866
StatusPublished
Cited by13 cases

This text of 3 Del. Ch. 51 (Robson v. Jones) is published on Counsel Stack Legal Research, covering Court of Chancery of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Robson v. Jones, 3 Del. Ch. 51 (Del. Ct. App. 1866).

Opinion

The Chancellor :■—

The complainant, John Robson, was indebted to his father, Michael Robson in two judgment bonds, one dated March 25, 1856, for $1000. and the other dated April 30, 1857, for $500. After the father’s death these bonds came into the possession of his administrator, the defendant, who caused judgments to be entered and executions to be issued. This bill is filed to restrain the collection [60]*60of the judgments, the complainant claiming to be discharged from the payment of these bonds in consequence of certain acts of Michael Robson set forth in the bill, and in respect to which he claims the benefit of some one of four distinct grounds of equitable relief. I will consider them in order.

I. It is insisted that there was a gift inter vivos of the principal of these bonds to John Robson. To this position there are two fatal objections :

1st. The benefit which Michael Robson intended for John was testamentary. In each indorsement the “gift” so called, is declared to take effect “at my death” not before; and this as to all that the gift embraces, — that is, the bonds, the whole, both principal and interest, not the former as contra-distinguished from the latter. There is nothing in these indorsements which,by the most strained construction can, in the donor’s lifetime, carry to John, Robson any benefit, or take from the donor any right, in these bonds or control over them i. e. to collect the whole, principal and interest, or to make any disposal of them whatever. So clear is this construction that had either of these indorsements been signed and attested, according to the statute of wills, it would have been valid as a testamentary disposition of the debt. Nor can there be the least doubt as to Michael Robson’s power, at pleasure, to strike off these indorsements and revoke whatever effect could be ascribed to them, I mean so long as the bonds themselves should remain under his control, uncancelled or unsurrendered. Now, if a discharge of John Robson at his death, directed by a will executed with all legal solemnity, would have been revocable, how much more so, an indorsement of such a nature that it may well be denominated an informal will. Indeed, the real and only difference between the two is that the indorsements need no revocation, as would a will, to defeat their effect; for, taken alone, they have no legal operation, being the mere [61]*61expression of a wish or intention not carried into execution by the appropriate legal forms.

In thus construing these indorsements upon their face we are relieved from any apprehension that Michael Robson’s inartificial language may have failed to express all that he meant. For the frequent declarations he made of his purpose respecting these bonds shew that he intended John Robson to be discharged from the bonds only at his (Michael’s) death, and that meantime they were to remain in full force and subject to his absolute control. In all his conversations on the subject his language is such as this. To'Mrs. Senior he said “the money John owes ’ (this means the principal) “is a free gift to him at my decease “the bonds are to be given up at my death.” To Wm. Surgen hé said with a difference of mere phraseology, that “he would have them fixed so that they could not be collected after his death!' And in similar style were his declarations to David Senior, Mary Bennett, John P. Hudson and Hannah Surgen. With respect to the condition of the bonds in his lifetime, no expressions by him indicate that John was to take any benefit or that the force and effect of the bonds or his own control over them were to be at all impaired. On the contray, after the indorsements were made and while he no doubt considered them as giving legal effect to his wishes he held John bound for the interest, collected it in part and charged him with the unpaid interest in an account kept up to Sept. 1864; and on this very ground, that is the necessity of keeping the bonds in force in order to secure him the interest, he declined the suggestion of friends that he should surrender or destroy them; a suggestion made once by Wm. W. Nelson and at another time by Mrs. Surgen. His notion was in accordance with the legal effect of any present discharge of the principal; for this would necessarily discharge the interest. The interest is but an incident or consequence of the obligation to pay the principal and must stand or fall with it. Again, to several [62]*62witnesses,and to one standing in no relation tobe biased, John Hall, he expressed his purpose to hold John to pay the bonds, meaning principal and interest; and according to James B. Riggs’ testimony he at one time meditated striking off the indorsements.

I cannot then accept Mr. Rodney's proposition that the gift, intended in these indorsements, and insisted to have been effectuated by delivery of the bonds to Mrs. Surgen, was an 'immediate discharge of the principal, operating, that far, inter vivos, with a reservation of the interest during his lifetime. On the contrary, his intention was to hold both principal and interest in force during his lifetime : indeed, their separation would have been legally impracticable. If this view of the testamentary nature of the benefit intended for John Robson is correct, then, it cannot be the subject of a gift inter vivos. The two things are incompatible ; the one being intended to operate after the donor’s death and subject in the meantime to his control and revocation ; the other, as its name imports, “gift inter vivos,” being a gift to operate, if at all, in the donor’s lifetime, immediately and irrevocably. It is a gift executed. No further act of parties,no contingency of death or otherwise, is needed to give it effect. Says Kent, 2 Comm. 354; “Gifts inter vivos have no reference to the future and go into immediate and absolute effect.” It is true, as the complainant’s counsel suggested, that under a gift inter vivos a party may take a benefit to accrue at a future day — it may be at the donor’s death. But this can be only through the instrumentality of a trust created either in a third person or in the donor. The effect of creating the trust is to divest at once the former property of the donor in the thing so given. Such a gift is no less immediate than in the ordinary case. No such trust was created with respect to these bonds.

2d. In this view of the case it becomes unnecessary— perhaps inappropriate — to consider under this head the question of the delivery of these bonds to Mrs. Surgen. [63]*63For if there were a delivery sufficient to operate as a gift of any sort it would be only as a gift causa mortis.

II. Was there then a gift causa mortis ?

A gift causa mortis has some properties in common with gifts inter vivos and some in common with legacies ; but in its essential properties it is testamentary ; being made in consideration of the donor’s death ; and being in the meantime revocable. It is in fact one of the exceptions (nuncupative wills being the other) to the policy of the statute of wills, which requires dispositions of property intended to take effect after death to be made in writing, signed by the party making them, and attested by two witnesses, — an exception originally allowed as a concession to those who through sickness or some impending danger were disabled from making a formal will. Hence, the validity of such a gift is subject to these conditions. 1st. It must be made “in peril of death.” 2d.

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Bluebook (online)
3 Del. Ch. 51, Counsel Stack Legal Research, https://law.counselstack.com/opinion/robson-v-jones-delch-1866.