Majority
Headnote
1. Real Property — Rule in Shelley’s Case—Estates of Different Quality. The rule in Shelley’s case does not apply to a conveyance made under the direction of a court of chancery to the guardian of an infant married woman in trust to receive and pay over to her the rents and profits during her life and thereafter to her husband for life; and after his death in case he survives her, and after her death whether he be then living or dead, “ to have and hold such premises and the rents, issues and profits thereof in trust to and for the sole use, benefit and behoof ” of her right heirs, to them, their heirs and assigns forever, because under such deed she took an equitable life estate and her right heirs an estate of a different quality, namely, a legal estate, and the gift over to them must, therefore, be construed as a purchase and not a limitation.The trust provisions of the deed of 1827 of the York street property, and of the deed of 1835 of the Bridge street property are in the same words and in our opinion of the same legal effect. We think the rule in Shelley’s case, which was abrogated by the Bevised Statutes, January 1, 1830, did not apply to the deed of 1827, and, therefore, the deed of that date had the same meaning as the deed of 1835? which is to be construed under the Revised Statutes. The rule as stated in Shelley’s Case (1 Coke Rep. 104) was: “ When the ancestor by any gift or conveyance takes an estate of freehold and in the same gift or conveyance an estate is limited either mediately or immediately to his heirs in fee or in tail,
It will be observed that under the deed of 1827 Catharine Buss did not take an estate in freehold for her life; her trustee took the estate, and she took but the equity to have the trust enforced, or an equitable estate, and that upon her death (her husband having meantime died) her right heirs took an estate of a different quality, namely, the premises and their rents, issues and profits forever, that is, a legal estate. An active trust was declared for the life of Mrs. Buss and for her benefit, a trust ordered by Chancery, and, therefore, one which Chancery would support and enforce. Thus, although the deed was in form a bargain and sale deed under the Statute of "Uses, and the legal title, instead of a fiduciary estate, was in William Cornell, the bargainee, as the rule of law then was (see revisers’ notes to part 2, chapter 1, B. S., section 50), yet Chancery would convert the use for the benefit of Mrs. Buss into a trust, and declare the bargainee to be a trustee, and enforce the trust, and thus vest an equitable life estate in Mrs. Buss, whether she were under coverture or not. (Jackson v. Cary, 16 Johns. 302 .) But being under coverture, and the object of the trust being to protect her estate from. the control of her husband, and secure it to herself and her heirs, this would most certainly be the case. (4 Kent’s Com. 218, 230.) The trust as to the right heirs was also ordered by Chancery, and the deed was taken pursuant to its order; but that trust was a formal or passive one, since the trustee had nothing to do, not even to convey to them, to protect or perfect their remainder, and, therefore, their remainder would in equity be treated as a legal estate. It was declared to be a legal estate by the retroactive and prospective declaration of the Bevised Statutes. (1 R. S. 727, secs. 45, 46, 47; ib. 750, sec. 11,) “ Formal trusts,” said the revisers in their notes, “ we jnopose to abolish by converting those which now
Thus Mrs. Buss had an equitable estate for life, and her right heirs took as purchasers the remainder in freehold. (4 Kent Com. 210, 211.) This diversity in quality of the estates given respectively to Mrs. Buss and to her right heirs would not permit the grant over to her right heirs to be construed as a limitation, that is, as descriptive of the inheritable quality of her estate, vesting the whole title in her, through her heirs forever, but required such gift over to be construed as a purchase, that is to say, the remainder was sold to her right heirs and not to herself, giving them the freehold estate in remainder precisely as the Bevised Statutes now declare. (1 R. S. 725, sec. 28; Vanderheyden v. Crandall, 2 Denio, 9 ; Striker v. Mott, 28 N. Y. 82 ; Smith v. Scholtz, 68 N. Y. 41 ; Schoonmaker v. Sheely, 3 Denio, 485 ; 4 Kent Com. 247, 256.) McWhorter v. Agnew (6 Paige, 111) is not in point, because the equitable estate was granted to the wife for life with a general power of appointment. The right to the use of the whole for life, with right of disposition of the remainder, when fully executed could not be afterwards questioned, whether the rule in Shelley’s case applied or not.
One method of conveyance, as stated in Vanderheyden v. Crandall (supra), was to convey the estate to trustees and their heirs in trust for the person who was to have its beneficial use for life, and upon a further trust to preserve the contingent limitations and with remainders over, thus preventing the several estates from merging. This precaution, says Chancellor Kent (4 Com. 258), is still used in settlements on marriage, or by will where there are contingent remainders to be protected. The legal estate remains in the trustees, subject to the trust, and the cestui que trust for life has only an equitable estate.
In ante-nuptial contracts, with a view to a subsequent settlement,' the limitation of real estate to the husband and wife
We shall next consider whether any injustice was done to Mrs. Buss in either deed, so that a trust in the whole estate resulted in her favor.
When Catharine Cornell and John A. Buss intermarried in 1826 she was a minor, eighteen years of age. She was entitled, under the will of Bichólas B. Cowenhoven, deceased, to a one-seventh interest in certain real estate upon the death of her father, William Cornell, if she should survive him. That interest was, after her marriage, in proceedings duly had before the chancellor for the purpose, sold for $6,000 March 8, 1821. Contingencies might have arisen which, under the will of Cowenhoven, would have defeated her interest, but they never did arise. The proceeds were still real estate so far as the rights of husband and wife were concerned. (Ellsworth v. Cook, 8 Paige, 643.) If the proceeds were personal property ithen they would belong to the husband upon his reducing them to his possession. John A. Buss, by virtue of his marital rights, was entitled to all of his wife’s personal property which he could reduce to his possession, and to the income and profits of his' wife’s real estate, and thus of its proceeds for their joint lives, and in case-a child of the marriage should be born alive, until his own decease if he should survive her. (2 Kent’s Com. 130.) But the proceeds were under the control of Chancery in the hands of the wife’s father, William Cornell, whom the court had appointed her guardian to sell her interest and hold the proceeds subject to “ such order as he (the chancellor) shall deem fit touching the invest
“ The wife’s equity to a reasonable provision out of her property for the support of herself and her children makes a distinguished figure in the modern Chancery cases which relate to the claims of the husband upon the property of his wife in action.” (2 Kent’s Com. 139.) “Where the husband seeks to recover his wife’s property, and he has made no settlement upon her, he shall not have it without making a suitable settlement.” (Story’s Eq. sec. 64c.) That her children born or to be born of the marriage should be protected in these post-nuptial judicial settlements, as well as herself, appears by the cases last above cited and by abundant other authority. The court would assume as a matter of course that she was as anxious for her children as for herself, and that when she asked for herself she asked also for her children. When the court of its own motion interposed for her protection, it did so for her children also. (1 White & Tudor’s Leading Cases in Equity [6th ed.], 516; 1 Daniel Ch. Pl. & Pr. 106; 2 Perry on Trusts, sec. 627; 2 Pomeroy Eq. Jur. sec. 1114; Smith’s Manual Eq. 469; Adams’ Eq. 47.) The equity rule was at first limited to the wife’s personal property, but later was extended to her realty. (Haviland v. Bloom, 6 Johns. Ch. 178 ; Story’s Eq. secs. 1406, 7, 8, 17, and cases there cited.) Naturally the provision for her children would come into force upon the death of both her husband and herself; that is to say, out of the reversion remaining in her after her husband’s
The defendants insist that the chancellor had no power to direct that this reversion be vested in her right heirs as a remainder upon the death of herself and husband, since it would be depriving her of her property without compensation, without her consent, she being an infant and incapable of consent, and also under coverture, which suspended her legal existence or incorporated it into that of her husband.. (2 Black. Com. 483.) But her consent during her infancy was not necessary to the chancellor’s jurisdiction. The fund was in court subject to his judicial disposal. The proceeding was not to deprive her of her estate, but to confirm her equities in it. Her consent would be necessary to a deprivation but not to a confirmation of her equities. She was competent to marry, and had married, and thus had conferred upon her husband, notwithstanding her infancy, his marital rights over her property and had suspended her own. The chancellor could not and would not surrender control of her property without requiring her husband to do equity, that is, to make suitable provision for her and her. children. To do this he first ascertained by means of a reference all the material facts, and then made his order. Thus he supplied to the infant his ripe judgment and sound discretion and protected her from any prejudice from her own incompetency and disability. The whole matter was within his judicial discretion. (Smith’s Manual Eq. 469.) The wife and her interests were bound by his order. (Cahill v. Cahill, L. R. [8 App. Cases] 420.) The chancellor’s jurisdiction did not ■proceed from the consent of the wife, but from his power in
In 1862 she obtained a judgment of absolute divorce against her husband, which by its terms transferred to her his interest in the premises. She never asserted any disability of, coverture, and if, as we do not think, it held the validity of either deed in suspense, it was removed. By the act of 1849, ch. 375, amending ch. 200 of the Laws of 1848, “for the more, effectual protection of married women,” the trustee could on her request and with the approval of a justice of the Supreme Court, convey to her whatever he held as trustee for her, but nothing more. He did make such conveyance, and presumably she was content with it. She did nothing and could do nothing to defeat the interests of her right heirs, as settled in the deed of 1835. (Neves v. Scott, 9 How. [U. S.] 196.)
Hlmer C. Buss, her son, predeceased her, and, therefore, never became her hem, and his deed to John A. Buss, Jr., simply conveyed his expectancy, which failed by his death.
When she died in 1894, the plaintiffs as her right heirs,
Dissent
The judgment should be reversed, new trial granted, costs to abide the event.
(dissenting). I must dissent from the conclusion reached in this case by my brother Landon. The deed of 1827'from Talhnan to Cornell, which created the trust for Catharine Buss, was, unquestionably, understood to be within the operation of the rule in Shelley’s case. She had, while a minor, received the land as devisee under her grandfather’s will and, after her marriage, pursuant to an order of the chancellor, in proceedings had to that end, which appointed William Cornell as her guardian for the purpose, it was sold and a portion of the proceeds was invested in Brooklyn real estate. The title need not have been taken by her guardian to himself as trustee; but it was, and to preserve it from the control, or obligations, of her husband, a trust was created for Catharine’s life, with the provision that “from and after the death of the said Catharine Buss, living the said John A. Buss, her husband, then upon trust to pay such rents, issues and profits to the said John A. Buss during his natural life, and from and after the death of said John A. Buss in case he survives the said Catharine, and also from and after the death of the said Catharine, whether the said John A. Buss be then living or dead, to have and to hold the same premises and the rents, issues and profits thereof in trust to and for the sole use, benefit and behoof of the right heirs of the said Catharine Buss, to them, their heirs and assigns forever.” I think the case falls within Mr. Preston’s definition of the rule in Shelley’s case:' “ When a person takes an estate of freehold, legally or equitably, under a deed, will or other writing, and in the same instrument there is a limitation by way of remainder, either with or without the interposition of another estate, of an interest of the same legal or equitable quality, to his heirs, or heirs of his body, as a class of persons to take in succession,
For these reasons, briefly, as for those advanced in the opinion at the Appellate Division, I am of the opinion that the judgment below was right and should be affirmed. •
Parker, Oh. J., O’Brien and Werner, JJ., concur with Landón, J.; Gray, J., reads for affirmance; Martin, J., not voting; Cullen, J., not sitting.
Judgment reversed, etc.
Cases cited
- Jackson ex dem. Houseman v. Hart 12 Johns. 77 p. 230
- Clark v. Wethey 19 Wend. 320 p. 230
- Drew v. Swift 46 N. Y. 204 p. 230
- Muldoon v. Deline 135 N. Y. 150 p. 230
- McCluskey v. Cromwell 11 N. Y. 593 p. 230
- Reynolds v. Commerce Fire Insurance 47 N. Y. 597 p. 230
- Dwight v. Germania Life Insurance 103 N. Y. 341 p. 230
- Humphreys v. New York, Lake Erie & Western Railroad 121 N. Y. 435 p. 230
- Watkins v. Reynolds 123 N. Y. 211 p. 230
- Stevenson v. Lesley 70 N. Y. 512 p. 230
- O'Donoghue v. Boies 159 N. Y. 87 p. 230
- Knowlton v. Atkins 134 N. Y. 313 p. 230
- Campbell v. Stokes 142 N. Y. 23 p. 230
- In re the Accounting of Brown 154 N. Y. 313 p. 230
- Bool v. Mix 17 Wend. 119 p. 230
- Albany Fire Insurance v. Bay 4 N. Y. 9 p. 230, p. 231, p. 236
- Dyett v. Central Trust Co. 140 N. Y. 54 p. 230
- Kenny v. Udall 5 Johns. Ch. 464 p. 230
- Losey v. Stanley 147 N. Y. 560 p. 230
- Jackson ex dem. Campbell & Reade v. Holloway 7 Johns. 81 p. 231
- Smith v. Weston 159 N. Y. 194 p. 231
- Jackson v. Cary 16 Johns. 302 p. 232
- Striker v. Mott 28 N. Y. 82 p. 233
- Smith v. Scholtz 68 N. Y. 41 p. 233
- Udall v. Kenney 3 Cow. 590 p. 235
- Haviland v. Bloom 6 Johns. Ch. 178 p. 235
- Anderson v. Mather 44 N. Y. 249 p. 238
- Jones v. Butler 30 Barb. 641 p. 238
- Glen v. Fisher 6 Johns. Ch. 33 p. 239