In re Parsons’ Will, 242 N.Y. 246 (1926)

When a will directs property to be divided among the ‘surviving’ children of a relative after a life estate, the survivorship is generally determined at the termination of the life estate, not at the testator’s death, unless a contrary intention is clear from the will.

Summary

This case involves the interpretation of a will to determine who should receive a portion of the residuary estate. The testator left property to his daughter for life, and upon her death without issue, directed that it be divided among the ‘surviving children’ of his deceased brother. The court had to decide whether ‘surviving children’ meant those alive at the testator’s death or those alive when the life estate terminated. The court held that survivorship was determined at the daughter’s death, awarding the property to the one child of the testator’s brother who was alive at that time. The Court also clarified distribution of another part of the residuary estate inadvertently overlooked by the lower courts.

Facts

George Parsons died in 1887, leaving a will that divided his residuary estate. One part was given to his daughter, Ella, for life, with the remainder to the ‘surviving children’ of his deceased brother, John. Another portion involved a life estate for his daughter in property at Mount Pleasant, which then was to become part of the residuary estate. Ella died in 1924 without issue. At the time of the testator’s death, two children of John (Edward and Katharine) were alive. However, Edward predeceased Ella. The question arose as to whether Edward’s children should receive a share of the residuary estate, or whether Katharine, the only surviving child of John at Ella’s death, should receive it all. The lower courts also overlooked distribution of the Mount Pleasant property after Ella’s death, specifically one-half of it under clause eight of the will.

Procedural History

The Surrogate’s Court made a decree regarding the distribution of the estate. The Appellate Division affirmed the Surrogate Court’s decision. The case was then appealed to the New York Court of Appeals.

Issue(s)

1. Whether the phrase ‘surviving children’ in the will refers to the children of the testator’s deceased brother who were living at the time of the testator’s death, or those living at the time of the life tenant’s (Ella’s) death.
2. Whether the lower courts erred in failing to provide for the proper distribution of the Mount Pleasant property under clause eight of the will, specifically regarding the share belonging to the children of Edward Parsons.

Holding

1. No, because considering all the circumstances, the time of survivorship was the death of the testator’s daughter, Ella.
2. Yes, because the will clearly directed that Edward’s children should receive his share of the Mount Pleasant property.

Court’s Reasoning

The court reasoned that the testator’s primary intent in paragraph seven was to benefit his daughter and her children first. Only if she died without children would the remainder go to the surviving children of his deceased brother. The court noted the testator’s use of the phrase ‘surviving me’ in other parts of the will, indicating that when he intended survivorship to be determined at his death, he clearly stated so. Since that phrase was absent from paragraph seven, the court inferred that the testator intended survivorship to be determined at the death of the life tenant, Ella. The court stated, “In view of all the circumstances, we think the time of survivorship was the death of his daughter Ella.” Regarding the Mount Pleasant property, the court found the will’s language clear: Edward Parsons was to receive the income during his life, and upon his death, the principal was to be paid to his children. The lower courts had overlooked this provision. The court noted, “This is the plain direction of the will, which apparently has been overlooked or unprovided for in the decree of the Surrogate’s Court.”