MARRIAGE SETTLEMENT

New Zealand Herald, Volume LXXI, Issue 21875, 10 August 1934, Page 12

MARRIAGE SETTLEMENT

INCOME FROM £50,000 INTERPRETATION SOUGHT McLEAN ESTATE BENEFICIARY [BY TKLKGRAI'H —OWN CORRKSI'ONDKXT] X A PIE R, Thursday The interpretation of a deed of marriage settlement entered into by the late Sir Douglas McLean, on July 15, 1919, on the marriage of his daughter, Louisa Constance, to Admiral (then Captain) C. A. Fountaine, was sought upon an originating summons before Mr. Justice Reed in the Supreme Court to-day. Mr. A. L. Martin appeared for plaintills, the trustees of the estate of the late Sir Douglas McLean; Mr. M. R. Grant for the first defendant, Mrs. Louisa Constance Doiudas Fountaine; Mr. P B. Cooke, of Wellincton, for the second defendants, the marriage settlement trustees; Mr. L. J. V. James, of Wellington, for the children" of Mrs. Fountaine; Mr. H. B. I/usk for Miss Beatrice Susan Douglas McLean, the third defendant.

The settlement was prepared and executed in England. It contained a covenant by Sir Douglas that his executors would, within six months after his death, pay the sum of £50,000 to the settlement trustees, and would, during the life of Mrs. Fountaine. make up the income on the sum of £50,000 to £2500 a year if necessary. By his will, the late Sir Douglas McLean directed that the share in his residuary estate left to Mrs. Fountaine should be subject to her indemnifying the trustees of the will against any claims for deficiencies in the annual income of £2500.

Questions have arisen as to the method of calculation of any annual deficiencies in the income* on the £50,000. The hearing was adjourned.