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Scottish Court of Session Decisions


You are here: BAILII >> Databases >> Scottish Court of Session Decisions >> Mrs Hutchison and Husband in M.P. Miss Mart Hill and Others (Tait's Trustees) [1874] ScotLR 12_112 (5 December 1874)
URL: http://www.bailii.org/scot/cases/ScotCS/1874/12SLR0112.html
Cite as: [1874] ScotLR 12_112, [1874] SLR 12_112

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SCOTTISH_SLR_Court_of_Session

Page: 112

Court of Session Inner House Second Division.

Saturday, December 5. 1874.

[ Lord Shand, Ordinary.

12 SLR 112

Mrs Hutchison and Husband in M.P. Miss Mart Hill and Others (Tait's Trustees).

Subject_1Settlement
Subject_2Beneficiary
Subject_3Powers of Settler
Subject_4Agreement — Essential Condition.
Facts:

Certain beneficiaries under a settlement maintained that its terms were ultra vires of the settler, and in violation of the terms of her marriage-contract, where as the trustees under the settlement maintained that the action was excluded by an express agreement to accept of a fixed sum. Held that the agreement was proved by the correspondence, and that it was not an essential condition thereof that the trustees should admit that the other parties were making thereby a considerable concession.

Headnote:

This case came up by reclaiming note against an interlocutor pronounced by the Lord Ordinary ( Shand), in a multiplepoinding brought by the trustees of the late Mrs Margaret Hill or Tait, widow of the Rev. Adam Duncan Tait, minister of Kirkliston, to determine the question whether the late Mrs Tait's deed of settlement, in so far as regarded the provisions therein made in favour of her daughter Mrs Hutchison, wife of Mr Robert Hutchison, of Carlowrie, Linlithgowshire, was ultra vires, and in violation of the terms of the contract of marriage between Mrs Tait and her husband, Mrs Hutchison's father.

The trustees pleaded—“(1) The action is incompetent, in respect that the objectors have been divested of the estate sought to be brought in medio by the bona fide execution of the trust purposes of Mrs Tait's settlement. (2) The action is excluded by the agreement constituted by the letters of 29th October and 4th November 1873; and separatim, by the actings which have followed thereupon.

And the real raisers Mr and Mrs Hutchison put the following plea:—There having been no private settlement of the questions now submitted for judicial determination, the present action was competently brought, and the objections thereto ought to be repelled.”

Judgment:

The Lord Ordinary ( Shand) pronounced the following interlocutor and note:—

Edinburgh, 14 th July 1874.—The Lord Ordinary having considered the cause—Finds that, by the letter dated 29th October 1873 from the agents of Mr and Mrs Hutchison, the real raisers, to the agents of the objectors, the Trustees of the late Mrs Tait, and the answer thereto of 4th November thereafter, and separatim, by these letters and the correspondence which followed, down to and including the letter of the objectors' agents of 17th December 1873, an agreement was entered into between the real raisers and the objectors, by which the former agreed, on the one hand, that they should not challenge the deed of settlement of the late Mrs Margaret Hill or Tait as being ultra vires and in violation of the terms of the contract of marriage between her and the Reverend Adam Duncan Tait; and, on the other hand, the objectors agreed that the sum of £3000, provided by said deed of settlement to Mrs Hutchison,

Page: 113

should be placed under the trust constituted by her marriage-contract with her husband: Finds that the present action is excluded by this agreement; therefore sustains the objections, dismisses the action, and decerns: Finds the objectors entitled to expenses, &c.

Note.—The object of the present action, as stated in article 7 of the condescendence, is to obtain a decision on the question, Whether the late Mrs Tait's deed of settlement, in so far as regards the provisions thereby made in favour of her daughter Mrs Hutchison, was ultra vires, and in violation of the terms of the contract of marriage between Mrs Tait and her husband, Mrs Hutchison's father? If Mr and Mrs Hutchison have agreed, as the objectors allege they have agreed, not to raise this question, it follows that the action must be dismissed.

The parties concurred in stating that the correspondence between the agents, which is produced and referred to by both parties, took place with the full authority of their respective clients.

It is maintained by Mr and Mrs Hutchison that there was no concluded agreement between them and the objectors; because it was stipulated by them that the objectors should, as part of the proposed arrangement, admit that Mrs Hutchison was making a concession in favour of the other members of the family, while this admission has been refused. After consideration of the correspondence, I am unable to adopt this view. It is very clear that Mr and Mrs Hutchison were and are of opinion that in accepting £3000 from Mrs Tait's estate under any conditions, they consent to take a smaller amount than Mrs Hutchison was entitled to have; and the grounds of this view were very fully stated in the correspondence; but it appears to me that an agreement between the parties was concluded without its having been made a condition that Mrs Tait's trustees, who maintained an opposite view, should admit that Mrs Hutchison was in this respect in the right.

(1) In the first place, the letter of 29th November 1873, making the proposal that the £3000 payable to Mrs Hutchison under her mother's deed of settlement should be placed under her own marriage-contract trust, expresses the hope that the trustees will see their way to do so, without asking any admission to the effect that the proposed arrangement is a concession to the other members of the family. The letter plainly states that Mrs Hutchison conceives she had right to an equal share of her mother's estate, and that under the settlement she had not got this; but it is explained, that while she desires to express her disappointment at the unequal division, she will not seek to reduce her mother's settlement, ‘on condition that the £3000, appointed by Mrs Tait's ‘settlement to be set aside for behoof of Mrs Hutchison and her children, shall be paid over to the trustees under her marriage contract.’ No other qualification is made; and if the proposal so made was acceded to without any new condition being introduced, the arrangement was concluded. The letter of 4th November, in answer, appears to me to be an unconditional acceptance of Mrs Hutchison's terms. It is true the acceptance is accompanied by an intimation that the trustees did not admit Mr and Mrs Hutchison's view of their legal rights, and by a long statement, the purpose of which apparently was to satisfy Mrs Hutchison, if possible. that she was not right in thinking she was making a concession; but the letter expressly states, in that part of it which professes directly to reply to the proposal made, that the trustees ‘will agree …. that the sum to be paid to Mrs Hutchison be placed under the marriage trust.’ The expression ‘will agree’ does not appear to me to mean anything different from a present assent to Mrs Hutchison's proposal, or to suggest that any farther approval by Mrs Hutchison is required; but is explained by what follows, as to calling a meeting of the marriage-contract trustees, who are not said to make any difficulty about including the £3000 provision under the trust administered by them.

(2) If, however, there were any sufficient ground for doubting whether an arrangement was concluded by the letter of 4th November, I am of opinion that the subsequent correspondence, ending with the letter of 17th December, constituted a binding agreement. It is true that in Mr Hutchison's letter of 26th November, sent as an enclosure in Messrs Melville & Lindesay's letter of 29th November, there are indications that he requires the trustees to adopt the views of Mrs Hutchison and himself; but it is not clear, even from his letter, that this observation is made except for the purpose of showing that unless this be done there would be an interruption of the ‘former amicable relationships of the family;’ and the view that his true purpose in writing was to remove a feeling of estrangement between the different members of the family, rather than to import a new condition into the agreement of the parties, acquires considerable weight from the fact that in his agents' letter of 29th November there is no statement that any agreement between the parties must now be subject to the condition that the trustees should admit the correctness of his and Mrs Hutchison's views. And even if Mr Hutchison's letter is to be read as admitting of that construction, or being to that effect, the letters of Messrs Cook of 3d December, the answer of 6th December, and Messrs Cook's letter of the same day, which appears to be a reply, but especially the letter of Messrs Melville & Lindesay of 6th December, seem sufficient to show that it was not stipulated so as to be an essential condition of the agreement that the trustees should admit that Mrs Hutchison was making a considerable concession in favour of the other members of the family.

The minute of meeting, an excerpt from which was sent by the objectors' agents with their letter of 17th December, was founded on as showing that the proposed arrangement was not agreed to. If I could hold that matters were still open at that date, and that the proposal of Mr and Mrs Hutchison was made for acceptance only subject to the condition that the trustees should admit the correctness of their views, then I think it is clear that such an admission was refused. But I am of opinion that the trustees had closed with the proposal, as they were entitled to do, without making such an admission; and while the reiteration of the views of the Messrs Tait (previously so fully stated) in the excerpt from the minute appears to have been at once unnecessary and rather calculated to create a feeling of irritation on the part of Mr and Mrs Hutchison, I do not think it affected the concluded arrangement between the parties.”

The Court adhered to this interlocutor.

Page: 114

Counsel:

Counsel for the Reclaimers—Solicitor-General ( Watson), Q.C., and Trayner. Agents— Melville & Lindesay, W.S.

Counsel for the Respondents—Dean of Faculty ( Clark), Q.C., and Kinnear. Agents— W. & J. Cook, W.S.

1874


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