Kirkwoods v. Nicol and Others (Kirkwood's Trustees) [1912] ScotLR 458 (27 February 1912)

Kirkwoods v. Nicol and Others (Kirkwood's Trustees) [1912] ScotLR 458 (27 February 1912)

Trustees are not entitled to retain a capital sum from the residue to meet their annual legacy; such payments must be charged against the income of the alimentary fund. The retained £900 forms part of the residue and must be divided among the beneficiaries.

Citation
[1912] ScotLR 458
Parties
First Parties (applicants/beneficiaries): John Macdonald Kirkwood and others (the four children of the late James Kirkwood); Second Parties (respondents/trustees): Rev. Thomas Nicol, D.D. and others (trustees under James Kirkwood's trust-disposition and settlement)
Jurisdiction
Scotland
Judgment Date
27 February 1912
Procedural Posture
Special Case (court Opinion on Trust Administration) / Judgment (inner House, Second Division, Court of Session)
Outcome
Trustees not entitled to retain £900 from residue; must divide it among beneficiaries. Trustee remuneration to be paid from income of alimentary fund.
Legal Topics
Alimentary Liferents, Trustee Remuneration, Division of Residue, Trust Administration Expenses
Succession Trusts Administration of Estates Alimentary Liferents Trustee Remuneration Division of Residue Trust Administration Expenses

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 2 Party arguments 2 Amounts and remedies 3
Sign in to unlock

Parties

John Macdonald Kirkwood and others (the four children of the late James Kirkwood)

First Parties (applicants/beneficiaries)

Rev. Thomas Nicol, D.D. and others (trustees under James Kirkwood's trust-disposition and settlement)

Second Parties (respondents/trustees)

Procedural Posture

Special Case (court Opinion on Trust Administration) / Judgment (inner House, Second Division, Court of Session)

Legal Issues

  1. 1 Whether trustees are entitled to retain part of the residue to provide for their annual legacy or must charge it against the income of the alimentary fund
  2. 2 Whether the retained sum of £900 should be divided among the beneficiaries

Ratio Decidendi

Trustees are not entitled to retain a capital sum from the residue to meet their annual legacy; such payments must be charged against the income of the alimentary fund. The retained £900 forms part of the residue and must be divided among the beneficiaries.

Court Disposition

Trustees not entitled to retain £900 from residue; must divide it among beneficiaries. Trustee remuneration to be paid from income of alimentary fund.

Orders

  • Trustees to divide the retained £900 among the beneficiaries.
  • Trustee annual legacy to be charged against the income of the alimentary fund.