American Security & Trust Co. v. Cramer case brief

American Security & Trust Co. v. Cramer case brief summary

175 F. Supp. 367 (D.D.C. 1959)

CASE SYNOPSIS

Defendants', heirs of the testator, moved for summary judgment in an action brought by plaintiff trustee seeking instruction as the disposition of a testamentary gift.

CASE FACTS
The testator died leaving a will which created a trust and directed that at the death of his wife half of the corpus was to remain in trust for his adopted daughter, and at her death the income was to go to her children then living or the issue of such of them as may then be dead leaving issue surviving her, and then upon the death of each the share of the one so dying to go to the persons who were then her or his heirs.

DISCUSSION

• The court found that: 
• (1) the remainders were granted to subclasses and therefore stood separately from one another; 
• (2) the remainder over to the two children of the adopted daughter who were living at the time the testator died were valid, but that those to her children who were born after the testator died were invalid, being against the rule of perpetuities; and 
• (3) the rule in Shelley's case did not save the two invalid remainders. 
• Further, the court ordered the corpus of the trust paid to the life tenant, the daughter of the adopted daughter of the testator.

CONCLUSION

The heir's motion for summary judgment was granted, and the daughter of the adopted daughter of the testator was granted her motion for that portion of the corpus presently supplying her income to be paid to her.

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