A WILL CASE.

Lyttelton Times, Volume CXXII, Issue 15511, 11 January 1911, Page 6

A WILL CASE.

. .. [Per. Press Association.] WELLINGTON, January 10. An important and interesting trill case came before Mr Justice 'Edwards in Chambers to-day. Mr Myers appeared for the petitioner, and Mr Richmond, of Auckland, for the respondents. As an outcome of a disagreement between the trustees of the. estate bequeathed by the late Mrs Elizabeth Knox to certain charities, a petition was filed by -Mr A. Clements, whose views do not coincide with those of his co-trustees, Messrs T. Budcllo and F. G. Clayton,.praying that the Public Trustee should bo appointed solo trustee of the estate,'. The late Mrs Knox, who died in October. 1908, left legacies amounting, to. £22,500 for distribution among her nephews, nieces and friends, most of whom live in Ireland and America. The residue of' the estate, amounting to .about £44,000, she bequeathed to certain charities, £20,000 of the amount, being r.pecilied to go. towards the establishment of a home , for incurables, the trustees being given discretionary powers with regard to,the distribution of the remainder.. Shortly after the' death of Airs Knox .the trustees decided to add the residue.of the estate to the fund for the Incurables Home, bringing it up to about £40,000, and about twelve months ago it was further decided to hand over this money to the Public Trustee.. For a. while the trustees worked in amity, but sprue ..time back disagreements crept in, producing .a. deadlock, the t result of which is that the £20,000 specially bequeathed to .the institution of a Home for .Incurables, together . with about £IO,OOO, part :of- tho residue of the estate, has been lying unproductive at the bank..on ourrent..account.

In addressing his Honor, Mr. Myers stated.that his general submission. was that it was impossible for tho trustees to act in accord, and if matters were left as at present-the-interests of the trust must inevitably suffer, and that being so’, ana as tlie first consideration was the trust itself, it was asked that the Court 'would exorcise its discretion in appointing the Public Trustee.. His-Honor.; The position is very-un-fortunate. Mr Myers: The trustees have been very well paid. They had nearly £IOOO each under the will, and air Clayton-is not satisfied with that. ‘ His Honor: How was the ;amount made upP - Air Myers: It was -3 'per cent on £90,000. One-half was paid immediately the' will was proved, and the balance was paid in instalments. Continuing, Mr Myers said it appeared to him that Air Clayton did not:'want any other trustee because Air Clements wanted one, although Air Clayton was in October, 1909, a party to the resolution by which the money in-the trust shonldbe handed over-to the Public Trustee.

Air Richmond said that it had been alleged that Mr Clayton and Air Buddie had been acting not for the benefit of the 'estate but for the Bank of New Zealand. It was suggested that - the money was lying in the bank without earning.interest because the trustees refused to pay over the funds-to the Public-. Trustee. - This was absolutely incorrect. It. was Air Clements’s fault that the money was lying idle. His Honor: It is quite obvious that continuance, of the present state of things can only lead to expense and trouble.

. Air Richmond: Not if Air. Clements had acted reasonably. We were always willing to' hand-, over the money -to the Public. Trustee, althougli.it was not the desire of the testatrix, and'it-was not the fault of my clients that it was not done long ago. : They think the trust should be administered by the Charitable Aid Board, by a private board, or by themselves.' The whole of-the estate will- be cleared up. There are only one or two matters to be fixed' op- There is an appeal against the'.Stamp Commissioner and there is a. .difficulty in getting • some ■ Irish solicitors to provide proper proofs of identity, etc., in• connection with your Honor’s decision cones ruing blood -relatives. His Honor: That only affects a particular. fund.

Air Richmond: Yes, but the appeal against the Stamp Commissioner affects the residue. These proceedings are purely vindictive. His Honor: I don’t, care twopence what the motive is. Mr Myers put. the case quite fairly. His Honor added that. Mr Clayton was unfit to act.as a' trustee. He thought Air Buddie made a j&ustake in identifying himself with Mr:,Clayton: Proceeding,- his .Honor’ said ho did not; think he should make an order in this case, at ■ all, but ) the position could not-.reinain as.it'was-.- It did not follow,: if .he thought fit to remove tlie present trustees, that- he would appoint tho Public Trustee. The trustees had better'understand' that- the' Court could control matters. One thing that must be done was''that' the trustees must deposit the money in the bank' within-a week on fixed, deposit- for- ‘six' months.: Other matters' could" sTand over arid the. application would be adjourned. -