In Re Estate Of Houston

201 A.2d 592 (1964)

Purchase the Printed Copy at bsmsphd.com

Nature of the Case

To access this section all you need to do is click here and register.

Facts

Houston (T) died in 1895. T left a lengthy will including a lengthy trust. The details of the most important part of the will are on page 295 of Kurtz 3rd edition. The issue presented to the court was whether T's gift of principal contingent or vested, and if vested, when vested and who took thereunder. T's widow died intestate in 1913, T's daughter, Sallie died in 1938, T's son died in 1952 and the last surviving daughter of T, Gertrude died in 1961. T's son had four children, three of whom survived for this court action. Sallied had two children who survived T's last living child and a son who had predeceased her leaving a wife with two daughters who were still living; the dead son willed his entire estate to his wife. Gertrude had three children who survived her and two who predeceased her. Each of the predeceased children died intestate and unmarried. The sole heirs of the predeceased children were Gertrude and her husband. The remaining money in the trust was worth $145,000,000. If T's grandchildren were vested at T's death or became vested on birth after T's death subject to being divested in favor of their children if any such grandchild predeceased T's last surviving child, the residuary would be divided 12 ways; eight of such parts for the eight living grandchildren; three for the heirs of T's three grandchildren who died after T's death but before the death of T's last surviving child (Gertrude) intestate and unmarried and one part of the two living daughters of T's deceased grandson (Sallie's son T. Charlton Henry). If the remainders were contingent upon T's grandchildren or their children living at the death of T's last surviving child, T's remainder estate would be divided into nine equal parts; eight to the eight living grandchildren and one to the two living daughters per stirpes of T's deceased grandchild, T Charlton Henry. The lower court held that T gave a vested interest in the principal of his residuary trust in equal portions to his grandchildren who survived him or were born after his death, the children of any deceased grandchild taking their deceased parent's share and thus dividing the estate into 12 parts. This appeal resulted.