Graham v. Graham's Trustees [1904] ScotLR 41_846 (20 July 1904)

Graham v. Graham's Trustees [1904] ScotLR 41_846 (20 July 1904)

The goodwill of the licensed public-house businesses in question was heritable, as its value was inseparable from the premises and the subsistence of the licence. Therefore, the price received for goodwill was not part of the moveable estate and did not form a fund from which legitim was payable.

Citation
[1904] ScotLR 41_846
Parties
Pursuer/appellant: Peter Macpherson Graham; Defenders/respondents: Alexander Lang and others, Trustees of Alexander Graham
Jurisdiction
Scotland
Judgment Date
20 July 1904
Procedural Posture
Civil Appeal / Appeal From Sheriff Court to Court of Session Inner House, First Division
Outcome
appeal dismissed; judgment of Sheriff Court affirmed
Legal Topics
Legitim, Goodwill, Heritable Vs Moveable Property, Trusts and Trustees, Valuation of Estate
Succession Law Property Law Legitim Goodwill Heritable Vs Moveable Property Trusts and Trustees Valuation of Estate

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Parties

Peter Macpherson Graham

Pursuer/appellant

Alexander Lang and others, Trustees of Alexander Graham

Defenders/respondents

Procedural Posture

Civil Appeal / Appeal From Sheriff Court to Court of Session Inner House, First Division

Legal Issues

  1. 1 Whether the goodwill of licensed public-house businesses held by a tenant is heritable or moveable estate for the purpose of calculating legitim.
  2. 2 Whether the price received for goodwill forms part of the fund from which legitim is payable.

Ratio Decidendi

The goodwill of the licensed public-house businesses in question was heritable, as its value was inseparable from the premises and the subsistence of the licence. Therefore, the price received for goodwill was not part of the moveable estate and did not form a fund from which legitim was payable.

Court Disposition

appeal dismissed; judgment of Sheriff Court affirmed

Orders

  • Defenders assoilzied from the conclusions of the action
  • No legitim fund available; goodwill excluded from moveable estate