In Re Clayton's Trust Estate

Markell, J., delivered the opinion of the Court. This is an appeal from a decree, adopting the report of the auditor and master, making distribution of the corpus of the trust estate under the will of Samuel S. Clayton. Samuel S. Clayton died on January 12, 1896, leaving a will, dated August 21, 1895, by which he left the residue of his estate (with exceptions not now material) in trust for his son James E. Clayton and his daughter Nannie Clayton for life, and provided, inter alia, “If both my said son James E. Clayton and my said daughter Nannie Clayton shall die without leaving lawful issue living at their death, then and in that event I give, devise and bequeath three fourths of the rest and residue of my estate to the children of my deceased brother, Edward W. Clayton and to Samuel A. Tweedy to be held by them in equal portions — one fourth of said three fourths to each absolutely — * * At the time of the execution of the will and at the death of the ⁶²⁴ testator, there were living three children of his deceased brother Edward W. Clayton, .viz., Edward C. Clayton, Hannah A. Sadtler, and Margaret C. Engel. The testator’s son, James E. Clayton, died without issue in 1902; his daughter, Nannie Clayton, died without issue in 1946.

Edward C. Clayton died in 1925; grandchildren of his are now living. Hannah A. Sadtler died intestate in 1923; her surviving son and other descendants of hers are the appellants. A daughter of Margaret C. Engel is now living. On December 22, 1915 Hannah A. Sadtler and husband by deed assigned to Elmer E. Leary, for $10,000 paid, all her right, title, interest and estate in all the property passing from Samuel S. Clayton in any way whatsoevér and especially under his will.

Appellants assert, without any supporting evidence, that in 1915 Hannah A. Sadtler’s interest [three-sixteenths] was worth $30,000 and the price of $10,000 was “wholly inadequate”. If, as appellants assert, the value of the entire estate then approximated $157,000, a three-sixteenths interest in possession would have been worth about $30,000. Measured by the event at least, $10,000 was not an inadequate price for a future interest of $30,000 to be enjoyed after thirty years. Appellants contend that Mrs. Sadtler’s interest was a mere possibility, was not alienable by her, and did not pass by her deed but passed on Nannie Clayton’s death in 1946 to Mrs. Sadtler’s heirs, i.e., her issue per stirpes.

The lower court held that her interest was a remainder, contingent not as to the person, but only as to the event, viz., the death of Nannie Clayton without issue, was therefore transmissible by deed, as well as by will, and did pass under the deed of December 22, 1915. The decree accordingly distributed her share to the successors in interest of Elmer E. Leary. The sole question presented is whether or not Mrs. Sadtler’s future interest in the estate of Samuel S. Clayton passed under the deed of December 22, 1915. ⁶²⁵ A few centuries ago this question might have presented difficulties. It is too late now to raise the question in Maryland.

As Mr. Coe, the auditor and master says, Samuel A. Tweedy and the three children of Edward W. Clayton “took remainders under the will contingent upon the deaths of both of