Security Trust Co. v. Adams

72 A.2d 630, 31 Del. Ch. 327, 1950 Del. Ch. LEXIS 53
CourtCourt of Chancery of Delaware
DecidedApril 14, 1950
StatusPublished

This text of 72 A.2d 630 (Security Trust Co. v. Adams) 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
Security Trust Co. v. Adams, 72 A.2d 630, 31 Del. Ch. 327, 1950 Del. Ch. LEXIS 53 (Del. Ct. App. 1950).

Opinion

Seitz, Vice Chancellor.

This is a complaint seeking instructions as to the meaning of certain provisions of a will and codicil.

The testator, Lilburn Chandler, died December 1, 1948, at the age of 93 years. The testator, who was a Delaware attorney, left surviving him a widow, Helen Dudley Chandler, who was then 66 years of age. The testator also left surviving him three children by a former marriage, viz.: Edna C. Eliason, then 62 years of age, Swithin T. Chandler, then 60 years of age, and Greta C. Adams, then 55 years of age.

The testator’s will was dated January 18, 1937 while his codicils were dated respectively December 9, 1940, December 25, 1945 and May 24, 1948.

The testator left a gross estate of approximately. $500,-000. The request for instructions by the executor and trustee are premised upon alleged ambiguities between the will itself and the third codicil.

As the case has developed it becomes unnecessary to discuss the first three requests for instructions dealing with the so-called $10,000 trust. All parties in interest are represented. They have either by admission or failure to take a position conceded that the power of appointment granted Greta C. Adams under the original will was not revoked by the language of the codicils. For the same reasons the [329]*329parties have all agreed that the duty to maintain the home to be purchased under the $10,000 trust falls on Greta C. Adams and her husband, Howard H. Adams. The parties have also by silence or admission conceded that the trust ' of the home terminates upon the death of the survivor of Greta C. Adams and Howard H. Adams. The executor and trustee will be so instructed as to these three items.

We come now to the three points of active disagreement among the various defendants. The first question presented is as to the termination date of the residuary trust. Specifically, does the trust continue for the lifetimes of the three named children, or also during the lifetime of the widow, if she survives the children. The testator’s widow contends that the trust continues during her lifetime without regard to the survivancy of the children. The children contend that the trust terminates upon the death of the last survivor of the testator’s children. The original will provided that the residue of the testator’s estate was left

“* * * in Trust to collect all rents, dividends and interests thereon and therefrom, during the lifetimes of Edna C. Eliason, Greta C. Adams, Helen D. Chandler and Swithin T. Chandler provided that should any of the said my children, die, or decease, the children thereof to take the part and the place of its or their deceased parent, during the continuance of this trust. In further Trust to pay the net income of my estate to my wife and children, quarterly during the respective livetimes [sic] of my wife and children, or the heirs of any one or more deceased child or children and in further trust, upon the decease of the survivor of my children to pay the whole principal of this my Trust Estate, to divide and pay same to the heirs of my said children, the same in thirds, Edna’s heirs to receive one third, Greta’s heirs to receive one third, and Swithin’s heirs to receive one third.”

The testator’s third codicil reads as follows:

“I, Lilburn Chandler the testator do hereby additionally provide and do authorize my the said Trustee of my will to pay monthly to my wife Helen Dudley Chandler seventy five Dollars each and every month during her lifetime out of my income from my estate.
“Further I provide said Trustee shall all [sic] pay twenty-five dollars monthly to my daughter, Greta Adams out of the income of my estate during her lifetime.
[330]*330“Witness my hand and seal the day and year above written.
“All other provisions of my estate under my will to be kept and at the death of the survivor of my wife and children my estate is to be settled and the- total estate divided to their heirs and issue of heirs such as their parent could be allowed under the Laws of the State of Delaware.”

The parties argue at length as to the effect of the testator’s testamentary expressions of affection for his wife. I shall assume that the testator was quite fond of his wife and his children. He specifically left his New Jersey property and his Florida house and contents plus $1,000 to his wife. Looking at the residuary clause of the will apart from the codicils we see that he contemplated in one provision of that clause that the trust should continue for the life of his wife as well as his children because he said that the property was in trust to collect the rents, etc., “during the lifetimes of Edna C. Eliason, Greta C. Adams, Helen D. Chandler, and Swithin T. Chandler.” He also provided that the income was to be paid to his wife and children quarterly during their respective lifetimes. However, he went on in the same clause to say that “upon the decease of the survivor of my children to pay the whole principal of this my trust estate, to divide and pay same to the heirs of my said children.”

If I were concerned solely with the quoted language of the original will my problem would be somewhat difficult. However, I think the language of the third codicil clearly shows that the testator intended the trust to continue during the lifetime of the widow as well as of the children. Thus in the third codicil he provides for a $75 monthly payment from the residuary trust to the widow “during her lifetime.” Later in the same codicil he recites that “at the death of the survivor of my wife and children my estate is to be settled and the total estate divided *

These two provisions of the codicil are patently inconsistent with a construction which would terminate the trust prior to the widow’s death. Since the provisions [331]*331of the last codicil cannot, in this respect, be reasonably reconciled with a construction of the language of the original will excluding the widow’s life from consideration, I conclude that the codicil governs and the trust continues for the lifetimes of the three children and during the lifetime of the widow if she survives them.

I next consider the question as to the identity of the beneficiaries of the corpus upon the termination of the residuary trust. The widow contends that her heirs and the heirs of the testator’s children are entitled to share equally. The children contend that only the heirs of the testator’s children are entitled to take and they per stirpes.

The language of the original will clearly limits the beneficiaries of the corpus of the residuary trust to the heirs of the testator’s children per stirpes. Did the testator alter this intention by the use of the following language in his third codicil:

“All other provisions of my estate under my will to be kept and at the death of the survivor of my wife and children my estate is to be settled and the total estate divided to their heirs and issue of heirs such as their parent could be allowed under the Laws of the State of Delaware.”

The solution to the problem of ascertaining the testator’s intention here must be found from an analysis of the language of the will, the codicils and the surrounding circumstances.

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

Cite This Page — Counsel Stack

Bluebook (online)
72 A.2d 630, 31 Del. Ch. 327, 1950 Del. Ch. LEXIS 53, Counsel Stack Legal Research, https://law.counselstack.com/opinion/security-trust-co-v-adams-delch-1950.