Case Name: Stephenson and others (executors and trustees) and Stephenson and another (personally), Respondents, vs. Norris (an infant), Appellant, and Parker and others, Respondents; Same, Respondents, vs. Dickson and another (infants), Appellants, and Parker and others, Respondents; Same, Respondents, vs. Pratt and others (infants), Appellants
Court: Wisconsin Supreme Court
Jurisdiction: Wisconsin
Decision Date: 1906-05-08
Citations: 128 Wis. 242
Docket Number: 
Parties: Stephenson and others (executors and trustees) and Stephenson and another (personally), Respondents, vs. Norris (an infant), Appellant, and Parker and others, Respondents. Same, Respondents, vs. Dickson and another (infants), Appellants, and Parker and others, Respondents. Same, Respondents, vs. Pratt and others (infants), Appellants.
Judges: 
Reporter: Wisconsin Reports
Volume: 128
Pages: 242–275

Head Matter:
Stephenson and others (executors and trustees) and Stephenson and another (personally), Respondents, vs. Norris (an infant), Appellant, and Parker and others, Respondents. Same, Respondents, vs. Dickson and another (infants), Appellants, and Parker and others, Respondents. Same, Respondents, vs. Pratt and others (infants), Appellants.
February 27
May 8, 1906.
'Wills: Action for construction: Jurisdiction: Circuit and county courts: Powers of trustees: Discretion as to apportionment of estate: Unpaid notes of beneficiaries held by testator: Discharge in bankruptcy: Interest: Allowances to guardians ad litem.
1. Executors and testamentary trustees, when they have real and serious doubts as to their duty, may, for their own protection, maintain an action in the circuit court for construction of the will, although no actual litigation or contest in respect thereto is pending.
2. The mere fact that the questions involved would eventually arise for consideration in the county court, or that that court, under ch. 163, Laws of 1905, has power to construe a will in a proceeding brought solely for that purpose, does not make it improper for the circuit court to entertain such an action.
3. In each of several items a will provided that certain of the shares into which the estate was to he divided be held in trust by the executors during the term of two lives and nineteen years thereafter for the benefit of a certain person and his or her descendants, and directed or authorized the trustees, upon the termination of the trust or, in certain contingencies, before that time, to pay and transfer both the principal and income of said shares to the descendants, “giving to each of said descendants such portion thereof as my said trustees shall deem best.” Held, that under the powers so granted the executors and trustees were permitted, in the exercise of a sound legal discretion, not arbitrarily nor through whim or caprice, to apportion the sums so given among the beneficiaries equally or unequally, or to give the whole to one or more, to the entire exclusion of the others. Mars hall, J., dissents.
4. A subsequent item in the will — giving to the trustees discretion, as to all the provisions of the will, to withhold or diminish the share of any beneficiary who in their opinion should be unworthy or should not be of sufficient capacity properly to use and care for it — did not change or limit the general discretion as to apportionment given by the prior items, especially where such subsequent item itself, as well as other portions of the will, referred to and recognized that general discretion as another and different discretion from the discretion to withhold because of incapacity or unworthiness. Marshall, J., dissents.
-5. The will directed that all notes and obligations of any beneficiary or his descendants held by the testator at his death, including obligations barred by the statute of limitations, be appraised at the full amount of principal and interest unpaid and owing at the time of the death, and requested the trustees, in making division of the estate into .parts, to assign said obligations to .the parts to be held in trust for such beneficiary, it being expressly declared to be the testator’s intention that no relative or his descendants benefited by the will should obtain an advantage over any other by reason of any advancement or assistance rendered to him or his descendants by the testator and evidenced by any such unpaid note or obligation held by the -testator at the time of his death. Held that, notwithstanding a discharge in bankruptcy of a descendant of one of the beneficiaries named in the will, prior to the death of the testator, his notes .given before such discharge and held by the testator at the time of his death must be considered unpaid obligations, to be assigned to and charged up against the share to be held in trust for such beneficiary and his descendants'.
6. Under the terms of the will, in assigning such obligations to the share of the estate to be held in trust for said beneficiary and his descendants, they should be appraised at the full amount of the principal and interest unpaid thereon at the time of the testator’s death; and the trustees were authorized, in their discretion, to withhold from the maker of the notes and his descendants so much of the income and principal otherwise passing to them, from time to time, as would equal the full amount of principal and interest unpaid from time to time upon said notes, and to distribute the amount so withheld among the other descendants of said beneficiary named in the will.
7. In an action brought by executors to obtain a construction of the will, allowances to the guardian acL litem of an infant brought in as defendant should not be made payable out of the body of the estate, but should be made payable only out of the infant’s property under the control of the court, giving a lien thereon if necessary.
Appeals from a judgment of the circuit court for Milwaukee county: Warreh D. Tarrant, Circuit Judge.
Modified and affirmed.
This is an action brought in the circuit court to- construe the will of Daniel Wells, Jr., who died March 18, 1902. The action is brought by the executors and trustees named in the will against all the legatees, many of whom are minors. The estate bequeathed was very large, and the original will, executed February 20, 1897, was long and complicated, and was subsequently modified by three separate codicils. The complaint sets forth the death of the testator and the subsequent probate of the will and codicils in the county court of Milwaukee county, the names of all the heirs and legatees, the provisions of the will and codicils, also certain facts as to the indebtedness of certain beneficiaries to the estate of the testator, and alleges that they are advised that very serious doubts exist as to the meaning of certain provisions of the will, and that it is necessary for the protection of the legatees and devisees, as well as for the aid of trustees, that they should have the advice of the court in the premises, and they pray that the court construe the will and adjudge the mean Ing thereof in certain particulars which were put in the form of twenty-two questions in the prayer of the complaint. Guardians ad litem were thereafter duly appointed for the infant defendants, and these guardians made answer to the complaint submitting the rights of- their wards to the court, and, after judgment construing the will and the codicils, three of said guardians appealed to this court.
By the first four items of the will the testator revoked former wills, directed payment of his- debts, and made five specific bequests which are not here in question. By the fifth item he gave to his daughter, Fanny' Wells Norris, certain specific personal property. By the sixth item he devised all the rest and remainder of his estate to Isaac Stephenson, Horace A. J. TJpham, and Charles. D. Nash, their survivors and successors in trust, to hold the same during the term of the life of his daughter, Fanny Wells Norris, and her son, Daniel Wells Norris, and nineteen years thereafter (except that the property named in the seventh item of the will was' only to be held during the lifetime of the daughter), in trust for the following purposes and with the following powers: Said executors and trustees were directed to divide the entire estate into eighty-one shares not later than five years after the decease of the testator, said shares to be numbered from one to eighty-one, inclusive, seventy-nine-of the shares being equal in amount, and the other two shares being equal to each other but only one half as large as one of the seventy-nine shares. His trustees were also authorized to convert all his real estate into money, and his personal property into' real estate, at their discretion, and to organize one or more corporations as they might deem best, and convey to such corporation or corporations such property as they might deem best, and distribute the capital stock thereof among the shares aforesaid as they should deem best. By the seventh item of the will, as modified by the second codicil, the trustees were directed to hold twelve shares of said estate in.trust during the life of Ms daughter, Earary Wells Morris, for tíre benefit of bis friends, Isaac Stephenson and Horace A. J. Upham, and any person or persons whom they or their survivor might designate in -writing. By the eighth item of the will the trustees-were directed to hold twenty-four and one-half shares in trust during the life of his daughter, Eanny Wells Morris, and her-son, Daniel Wells Norrip, and nineteen years thereafter, for the benefit of said daughter and her lawful descendants, and to pay quarterly the net annual income thereon to said daughter, and upon her death to her lawful descendants, giving to-each of said descendants such portion thereof as such trustees-shall deem best, and on the termination of the trust to pay whatever remains thereof to the then lawful descendants of his said daughter, giving to each such portion thereof as the said trustees shall deem best. Provision is also made in said item, for the disposition among other relatives of the deceased of the said twenty-four and one-half shares in case of the-deaths of said Eanny Wells Morris and all her lawful descendants prior to the termination of the trust. By the ninth item of the will twenty-four and one-half shares of the trust estate are to be held in trust as directed for the benefit of Darnel Wells Norris, with specific directions as to the use of the income and the division of the principal at the termination of the trust. By the tenth item of the will four shares of the estate were directed to be held in trust for the benefit of Sarah H. Wells, widow of a deceased brother of the testator, and of' her lawful descendants. By the eleventh item of the will four of said shares are directed to be held in trust for the benefit of the testator’s sister Hannah A. Pratt and her lawful descendants. By the twelfth item of the will four shares are directed to be held in trust for the benefit of the testator’s sister Susan J. Brown and her lawful descendants. By the thirteenth item three shares are directed to be held in trust for the benefit of the testator’s niece Marcia E. Dickson and her lawful descendants. By the fourteenth item four shares are directed to be held in trust for the benefit of the lawful descendants of the testator’s deceased sister Sarah J. Parker. In all the foregoing items it is specifically provided, in case of payments to be made to the descendants of any beneficiary, that the income as well as the principal is to be divided among such descendants “in such portions to each as my said trustees shall deem best.”
The fifteenth item of the will, as amended by one of the codicils, reads as follows:
“In' case any person or persons otherwise entitled to any portion of my estate, under any provision of this will, shall, in the opinion of my said trustees or executors, or the survivors or survivor of them or their respective successors in trust, not be either of good habits dr of sufficient capacity to properly use or to take care of the portion of such property so coming to him or her, or shall not be likely, for any reason whatever, in the opinion of my said trustees or executors, or the survivors or survivor of them or their respective successors in trust, to properly make use of the portion of such property so coming to him or her, then I empower my said trustees and executors, the survivors and survivor of them and their respective successors in trust, to withhold from every such person, whomsoever he or she may be, his or her portion of my estate and of the income and benefits thereof, as unworthy to receive the same, and to pay to every such person only so much of the portion of my estate otherwise coming to such person as my said trustees or executors, the survivors or survivor of them or their respective successors in trust, having charge of that portion of my estate, shall deem advisable, and in case my said trustees or executors, or the survivors or survivor of them or their respective successors in trust, shall deem it best, instead of paying and transferring to any such person any portion of my estate, themselves to expend the same or any portion thereof for his or her benefit or support, then I hereby authorize my said trustees and executors, the survivors and survivor of them and their respective successors in trust, so to do, subject, always, to the provision that nothing herein contained shall, in any way, extend the duration of the several terms of trust beyond the time provided for in item sixth of this 'will. "Whatever of my estate, including principal, income, or other beneficial nse thereof, shall be withheld from any one, by reason of his or her not being of such good habits or of sufficient capacity or for any other reason, as above provided, not worthy, in the opinion of said trustees or executors, the survivors or survivor of them or their respective successors in trust, to receive his or her portion of my estate, and shall not have been expended by my said trustees or executors, the survivors or survivor of them or their respective successors in trust, for the benefit and comfortable support of such person, shall be transferred to the person or persons who would have taken such property so withheld, in case the person from whom it shall be withheld, as above provided, had been dead at the time of such withholding. In case any person or persons from whom any portion of my estate shall have been withheld by my said trustees or executors, the survivors or survivor of them or their respective successors in trust, as aforesaid, shall have changed and shall have become worthy, in the opinion of my said trustees or executors, or the survivors or survivor of them or their respective successors in trust, to receive his or her portion of my estate, then I direct that the fact that my said trustees or executors, the survivors or survivor of them or their respective successors in trust, may have, at any time, withheld from such person a portion of my estate, shall not thereafter prevent such person from receiving his or her share of my estate, in any distribution either of principal or income that shall thereafter be made by my said trastees or executors, the survivors or survivor of them or their respective successors in trust; but the fact that any such person shall have become worthy to receive a portion of my estate, after having been deemed unworthy to receive the same as aforesaid, shall not entitle such person to receive any portion of my estate that shall have been once withheld from him or her in any previous distribution by my said trustees or executors, or the survivors or survivor of them or their respective successors in trust.
“In order that there may be no difficulty in construing this will, I hereby expressly direct that the foregoing provisions of this fifteenth item are to govern in all cases, and that all other provisions of this will, including all of items numbered from eight (8) to fourteen (14), both inclusive, and all pre- ■vieras and all subsequent parts of this will, are expressly subject to such changes and modifications as my said trustees and ■executors or either of them, or the survivors or survivor of them or their respective successors in trust, are authorized to make by this fifteenth item, on account of any person not being of good habits, or of sufficient capacity, or for any other reason not worthy, in the opinion of my said trustees or executors, or the survivors or survivor of them or their respective successors in trust, to receive his or her portion of my estate.
“Except as hereinbefore provided in case of any one not being of good habits or of sufficient capacity, or for any other reason unworthy, in the opinion of my said trustees or executors, or the survivors or survivor of them or their respective ■successors in trust, to receive his or her-portion of my estate, ■and except as to the bequests to the issue of my said daughter, Eanny Wells ETorris, as provided in the ninth item of this will, I desire my trustees and executors, the survivors or survivor of them and their respective successors in trust, in exercising the discretion given to them by this will in paying and transferring to the descendants of any person mentioned or referred to, directly or indirectly, in this will any portion of my estate, to make such payments and transfers to the parent to the exclusion of his issue; that is to say, the parent, during his lifetime, shall be preferred to his issue. I do not intend this as mandatory, but merely as expressing a wish that may aid my trustees and executors, the survivors and survivor of 'them and their successors in trust, to carry out the discretion given to them, and that no child shall be entitled to a portion of or interest in my estate during the lifetime of its ancestor, unless my said trustees and executors, ‘ the survivors or survivor of them or their successors in trust, shall deem it best to prefer, in any particular case, the child to the exclusion of 'its living ancestor, in which case I -authorize and empower them so to do.
“In case of the death of any one who would, if living, have 'been entitled to any portion of my- estate, or any interest therein, under any provision of this will, prior to the time of such one last mentioned coming into the enjoyment thereof, ’it is my will, unless herein otherwise provided, that the lawful ■descendants of every such person shall take and have by right *of representation the portion of and interest in my estate that such, deceased person would have taken and had, if living,, subject, always, nevertheless, to such changes and modifications as my said trustees and executors, the survivors and survivor of them and their respective successors in trust, are authorized to make under any provision of this will.
“It is my will that the judgment and opinion of my said trustees or executors, the survivors or survivor of them or their respective successors in trust, respectively, as to the good habits and sufficient capacity or worthiness, as aforesaid, of any one entitled to any portion of my estate, shall be final and conclusive.
“In case of the death of any one for whom provision is made herein and of all of his lawful descendants, prior to the time of his or their entering upon the enjoyment of the portion of my estate that he and they would have received and enjoyed if living, and there is contained in this will no provision herein expressed providing who shall take such portion of my estate last mentioned in case of the happening of such contingency, then I give, devise, and bequeath that portion of’ my estate last mentioned to the heirs of my father, to have and to hold the same to them, their heirs and assigns forever, giving to each heir of my father such portion thereof as my said executors and trustees, the survivors and survivor of them and their respective successors in trust, shall deem best. My executors and trustees, the survivors and survivor of them and their respective successors in trust, are respectively authorized' to make advances, from time to time, as soon after my decease as they may deem best and prior to the actual division of my estate into eighty-one (81) shares or parts as herein provided, to any person entitled to any portion thereof of such sum or portions as my said executors or trustees, the survivors or survivor of them or their respective successors in trust, shall deem advisable, to be received upon account of such person’s-interest in my estate.
“Prior to tire actual division of my estate into eighty-one-(81) shares or parts, as herein provided, I authorize my said' trustees and executors, the survivors and survivor of them and their respective successive successors in trust, to pay quarterly the net annual income of my estate to such persons and in such portions to each, as said persons, respectively, would be-entitled to receive had such division into eighty-one (81).- parts been made immediately after my death. If, for any reason, my said executors or trustees, the survivors or survivor of them or their respective successors in trust, are unable in any case, either prior or subsequent to the said division into eighty-one (81) shares or parts, to ascertain the exact amount to be paid at a particular time to any person on account of his portion of the net annual income of my estate or of any portion thereof, then said executors or trustees, the survivors or survivor of them or their respective successors in trust, may make such partial payment on account thereof as they deem advisable, and malee the remaining payment as soon as they shall have ascertained what the exact amount of the same shall be.
“After the division of my estate into' eighty-one (81) shares- or parts shall have been made and the numbers of said shares or parts shall have been assigned to them, respectively, as hereinabove provided, no subsequent change in values of any portion thereof shall affect or alter any such division, in any way.” '
The twenty-sixth item of the will reads as follows:
“I direct that all notes, bonds, contracts, agreements, and obligations held by me at the time of my death upon which any person shall be indebted or liable to me who shall be beneficially interested in any provision of my will, or upon which the husband or wife or any of the issue of such person so beneficially interested in any provision of this will shall be indebted or liable to me, if not collected by my executors or-trustees before the division of my estate into eighty-one (81) shares or parts, as heretofore provided in this will, shall, for the purpose of the division of my estate into said eighty-one (81) shares or parts, be appraised at the full amount of principal and accrued interest unpaid and owing to me thereon at the time of my death, including any and all such notes, bonds, contracts, agreements, and obligations that are barred by the statute of limitations, as well as those that are not so barred; and all such notes, bonds, contracts, agreements, and obligations, I request my said trustees, in making the division of my estate into eighty-one (81) shares or parts, as herein-before provided, to assign to the specific shares or parts respectively, of my estate, in which such person shall be beneficially interested under the provisions of this will. It is; my will, in case the shares or parts of my estate in which any such person shall be beneficially interested under my will shall be less than the amount of such indebtedness or liability to me which shall be properly assignable to such shares or parts, that the excess of such indebtedness or liability to me shall constitute a portion of my estate and shall be so distributed among all the other' remaining shares or parts of my ■estate as my said trustees, in making the division thereof into eighty-one (81) shares or parts as hereinbefore directed, shall ■deem best; it being my intention hereby to provide more fully for the equitable division of my estate into eighty-one (81) shares or parts, so that no one of my said relatives or the husband or wife or issue of any such relative who shall be benefited by my said will shall obtain an advantage over any other person by reason of any advancement or assistance I may have, before my death, rendered to such relative or the husband or wife or any issue of the same, and which advancement or assistance shall be evidenced by any such unpaid note, bond, contract, agreement, or obligation unpaid and held by me at the time of my death.”
It is unnecessary to state, even in substance, the remaining items of the will, as they have no bearing on the present controversy. Nor is it necessary to state the provisions of the three codicils.
The court made findings specifically answering each of the twenty-two questions propounded by the complaint, and further found that the services of the various guardians ad litem were necessarily performed for the general benefit of the entire estate; that the reasonable value of the services to each of said guardians was the sum of $800, and that said sum should be allowed and paid out of the trust estate at large. The •court further directed that the allowance to be made to the ■executors and trustees for the services of their counsel be fixed by the county court, to be paid out of the trust estate. As the findings excepted to are specially set forth in the opinion it will be unnecessary to recite them at length here. Judgment construing the will was entered in accordance with the findings of the court.
Qlenway Maxon, guardian ad litem, for the appellant. Daniel Wells Norris.
Gharles D. Mann, guardian ad litem, for the appellants Andrew 0. Diclcson and Jessie Dickson.
Eor the appellants Ralph 8. Pratt and others (respondents on other appeals) there was a brief by Frank B. Tan Talken-burgh, guardian ad litem, and Gharles A. Vilas, of counsel, and oral argument by Mr. Van Valkenburgh.
Alfred L. Gary and William E. Black, for the plaintiffs, and respondents.
John F. Harper, guardian ad litem,'for the infant defendants 8umner W. Parker and others.
Eor the infant respondents Gilbert Wells, Percy W. Gushing, and Mary W. Gushing there was a brief by their guardian ad litem, W. D. Van Dyke.
Eor the infant respondents Marcia Dickson Jones and others there was a brief by F. H. Bottum, their guardian ad litem, and Ryan, Ogden & Bottum,- of counsel, and oral argument by L. M. Ogden.
Eor the infant respondents Kenneth Fisher Bingham and others there was a brief by their guardian ad litem, Cornelius-I. Haring.'

Opinion:
The following opinion was filed March 20, 1906:
"Winslow, J.
The guardian ad litem of Daniel Wells Norris assigned three errors, vjz.: (1) That the complaint does-not state a cause of action; (2) that the circuit court should not have assumed jurisdiction, inasmuch as the settlement of' the estate was proceeding in the county court; and (3) that compensation for the various guardians ad litem should not have been ordered to be paid out of the body of the estate. The first two of these contentions will now be considered, and the third will be taken up at the close of this opinion.
The plenary jurisdiction which the circuit court possesses,, as the legitimate successor of the ancient court of chancery,. •over actions for tbe construction of wills, especially where trust powers are involved, is so well established that it is not open to doubt or discussion. Heiss v. Murphey, 40 Wis. 276; S. C. 43 Wis. 45; Miller v. Drone, 100 Wis. 1, 3, 15 N. W. 413. Nor in such cases is it necessary that there should be •an actual litigation begun or contest pending to justify the •court in entertaining the action. A trustee is entitled to the protection of the court in the execution of his trusts, and, when real and serious doubts confront him as to his duty, is •entitled to the advice of the court to guide him. This court has said that in such a case "it is not the mere right, it is almost the duty, of the executor tO' take the opinion of the court upon the construction of the will and the validity of the disposition which it purports to make of the testator's property." Heiss v. Murphey, 43 Wis. 45. See, also, 28 Am. & Eng. Ency. of Law (2d ed.) 1050, 1051, and cases cited in note 8.
The complaint and will before us amply demonstrate that doubts might well be entertained as tO' the construction of a number of clauses of this long and involved will, and completely justify the course of the executors and trustees in asking for judicial guidance in the performance of their onerous and delicate duties.
Nor can it be said that this is one of the cases where the •circuit court should refuse to entertain the action because the questions involved will eventually arise for consideration in the county court. This court has said that nothing short of an express statute will make the jurisdiction of the county •court exclusive in such cases. Miller v. Drama, supra; Burnham v. Norton, 100 Wis. 8, 75 N. W. 304. Ch. 163, Laws of 1905, passed after the present suit had been begun, gave formal and express recognition to the power of the county •court to construe wills in a proceeding brought solely for that purpose; but it did not purport to abridge the already existing power of the circuit court to do that same 'thing. We have no difficulty, therefore, in bolding that the present action was well brought in the circuit court.
Passing to the questions of construction raised by the appeals, we find the most serious and comprehensive, question to be that involving the extent of the discretion given to the executors and trustees under items 8 to 14 of the will. As will be seen by reference to these items, they are practically synonymous in- their terms, so far as this question is involved. They all give certain shares of the estate in trust to the executors, directing them upon the happening of a certain event, such as the death of a certain beneficiary, or upon the termination of the period of trust, to pay to> the lawful descendants of a specified beneficiary a certain portion of the estate, "giving to each of said descendants such portion thereof as my said trustees shall deem best." The respondents contend, and the court held in effect, that under the powers granted by these items the executors and trustees were permitted, in the exercise of a sound discretion, but without wilfulness or favor, or caprice or arbitrary action, to apportion the sums so given among the beneficiaries either in equal portions or in unequal portions, or by giving the whole to one or more to the entire exclusion of the other or others. Certain of the appellants contend, however, that from a consideration of the whole will it is evident that the testator contemplated that each beneficiary of a class, under items 8 to 14, should receive an equal portion, unless it should be withheld by the trustees by reason of lack of good habits, unworthiness, or incapacity under item 15 of the will. This contention certainly calls for careful examination of the whole will and a comprehension of the testator's entire scheme. There can be little or no doubt as to the general character of that scheme. The testator was a man of great wealth. He evidently viewed his estate as a great business enterprise, an entity which he desired should be kept substantially intact for many years after his death. He there fore placed it in the hands of trusted persons with the most full and carefully specified powers, for the benefit, ultimately, of his father's descendants. His desire that it should remain an entity, presumably as a great corporation, with the beneficiaries as stockholders, is very apparent. The duration of the trusteeship as contemplated might be well towards a century. Many of the ultimate beneficiaries were yet to be born, and of their character or abilities he could know nothing, and so, in order to conserve the property, save it from dissipation by unknown beneficiaries, and insure its enjoyment by the members of his father's family, with due regard to their various needs and abilities, he evidently intended to vest unusually broad and comprehensive powers in his trustees and their successors.
Eliminating from consideration, for the moment, the provisions of item 15, and viewing items 8 to 14, inclusive, as if they stood alone in the will, it seems that there could be little doubt as to the testator's intent. The words "giving to each such portion as my said trustees shall deem best," which are so industriously and carefully used so many times, do not mean "giving to each an equal portion," nor can they be made to mean that by any rule of construction of which we are aware. They are simple words of well-understood meaning, and are neither technical nor occult. They can be made no simpler or plainer by definition or construction. One might as well attempt "to gild refined gold or paint the lily." Our statute governing the construction of powers relating to real property (sec. 2126, Stats. 1898) provides that "when the terms of a power import that the estate or fund is to be distributed between the persons so designated in such manner or proportions as the trustee of the power may think proper the trustee may allot the whole to any one or more of such persons in exclusion of the others." While it is probable that the property disposed of under this will should be considered as personal property, under the rule of equitable conversion, this legislative construction, of a similar power over real estate is certainly of significance.
But, of course, tfie natural and plain significance of words in one portion of a will may be changed and controlled by other provisions contained in the same will, if it appears from the .whole will that such change or control was intended by the testator, and so we pass to the consideration of item 15 and other subsequent clauses. Before considering them, however, it is certainly significant to note that nowhere in items 8 to 14 is it expressly or impliedly indicated that the discretion to apportion, so plainly given by those items, is to be referred to or governed by the provisions of item 15. That item will be found at length in the statement of the case, and hence it will only be necessary here to state its substance, so far as material to this question. It provides in effect that if any beneficiary shall, in the opinion of the trustees, not be of good habits, or of sufficient capacity to properly use and care for the property coming to him, or not likely to so use it, then the trustees are empowered to withhold from him his portion of the estate or income, and pay him only such portion as to the trustees seems -advisable, or themselves expend it for the beneficiary's benefit, provided that if the beneficiary becomes worthy, in the opinion of the trustees, then the fact of his previous unworthiness shall not prevent his sharing in subsequent distributions of principal or income. The item further provides that- its provisions are to govern in all. cases; that all the provisions of the will, including items 8 to 14, are to be subject to the changes authorized to be made by the trustees under this item on account of unworthiness, lack of capacity, or good habits, but that except as provided in this item in case of unworthiness or incapacity, and except -as to the bequests under the ninth item, the trustees are desired, in exercising the discretion given them by this will, to make payment or transfers to a parent during his lifetime in preference to his issue (this not being mandatory, but merely expressed as a wish which may aid the trustees in carrying out the discretion given them) ; that, in case of the death of any beneficiary before the time of his coming into enjoyment of his bequest, his lawful descendants shall take his share, subject to such changes as the trustees are authorized to make under any provision of the will.
The contention is that, taking item 15 in connection with items 8 to 14, inclusive, it is apparent that the testator intended his beneficiaries in the same class to share equally, unless the trustees should, for unworthiness or incapacity, withhold all or a part of the share of a beneficiary under item 15 ; in other words, that the only discretion to withhold or diminish a share is the discretion conferred by item 15. We have not been able to agree with this contention. Under this construction the words "giving to- each such portion thereof as my executors shall deem best," so carefully repeated in items 8 to 14, become absolutely unnecessary and meaningless, because the discretion vested in the trustees by item 15 is expressly made applicable to all items of the will. But, aside from this, item 15 by its very terms recognizes another and different discretion from the discretion to withhold because of incapacity or unworthiness. It says that except in cases of unworthiness or incapacity, and except as to the bequests in the ninth item, the trustees are desired, in "exercising the discretion given to them by this will," to prefer living parents to their children. Here a discretion is spoken of and recognized by the testator himself, as given by the will, which is not the discretion conferred by item 15. To what does this language refer ? Indeed, to what can it refer, except to the general discretion to apportion as the executors deem best given by items 8 to 14 ? We have searched in vain for any answer to this question. The preference of parents over children is not to be based on habits,- unworthiness, or incapacity, but the testator desires his executors to make such a preference in exercising the discretion given them by the will.
Again, in the second codicil the testator suggests to' his trustees that, in regard to the bequest to Susan W. Parker in the fourteenth item of the will, her age and infirmities be taken into consideration, and that the amount given her be no larger than reasonably necessary, in the opinion of the trustees, to afford her comfortable support for life, "relying upon ihe discretion" given to the trustees in said matter to do what they shall think best. The testator further suggests that, in fixing the amount to be paid to Sarah E. Matthews under the same item, an increased sum be given her on account of the greater number of her children in comparison to that of the other descendants of Sarah J. Parker, and again says that he .relies upon the exercise of the discretion given to said trustees.
These various references to the discretion given to the trustees are entirely unexplainable upon any other basis than upon the basis that they possess a discretion entirely apart from the discretion to withhold upon the ground of unworthiness or incapacity under item 15. They refer to a general discretion; just such a discretion as results from the natural meaning of the words used in items 8 to 14. So referring them, they are harmonious and intelligible; otherwise they show lack of comprehension of the meaning of the will.
So we reach the conclusion that under items 8 to 14, inclusive, there was given to the executors and trustees a broad discretion to apportion the sums given to a class among its members entirely distinct from the discretion to withhold for unfitness or unworthiness under item 15, and that this discretion authorizes them to apportion equally or unequally, or to •cut off one or more entirely and give the whole to the others. This is_ a very broad discretion and a very delicate one. It is not to be exercised arbitrarily, nor through whim or caprice, for this is not discretion. It must be a sound legal discretion, its conclusions must be based upon the application of the principles of right and justice to the facts, and the facts to be considered must be facts justly and legitimately bearing upon the comparative claims of the parties for recognition, as recipients of the testator's bounty. The testator has himself suggested' that there should be a preference given to living parents over their children, and that age, infirmities, and number of dependents are also entitled to be considered. Probably there-may be other facts entitled to be considered by the trustees,, but it is dangerous to attempt to lay down rules in advance.. It is enough to say that there must be real and substantial differences of situation germane to the subject and calling for difference in treatment in order to justify discrimination in amount. Among beneficiaries whose circumstances are substantially the same there can he no just discrimination, for discrimination in such a situation would be merely arbitrary and capricious.
The twenty-sixth item of the will directs that all notes and obligations held by the testator at his death, upon which any beneficiary, or the husband, wife, or issue of any beneficiary, should be indebted or liable to the testator, if not collected before the division of the estate into- parts, should, for the purpose of such division, b© appraised at the full amount of principal and interest unpaid and owing at the time of the death, including all obligations barred by the statute of limitations,, and requests that the trustees, in making division of the estate into parts, assign said obligations to the parts or shares, respectively, of such beneficiaries, and provides that, in case the share of a beneficiary is less than the indebtedness so assignable to such share, the excess of indebtedness shall constitute a portion of the estate and be distributed among the remaining shares, as the executors shall deem best, "it being my intention hereby to provide more fully for the equitable division of my estate into eighty-one shares or parts, so that no one of my said relatives, or the husband or wife or issue of any such relative who shall be benefited by my said will, shall obtain an advantage over any other person by reason of any advancement or assistance I may have, before my death, ren dered to sucb relative or to tbe husband or wife or issue of the same, and wbicb advancement or assistance shall be evidenced by any such unpaid note, bond, contract, agreement, or obligation unpaid and beld by me at the time of my death."
It appears by the complaint that William A. Dickson, who, as one of the descendants of Marcia E. Dickson, is a beneficiary under the thirteenth item of the will (together with his children), was indebted to the.deceased for borrowed money in a large sum, represented by promissory notes, and that Dickson obtained a discharge in bankruptcy January 8, 1900, prior to the death of the testator. The claim is now made that by reason of this discharge the debt of Dickson has been extinguished and cannot be considered as a debt or obligation to be assigned to and charged up against him and his children under the provisions of the twenty-sixth item. This question was submitted to the court by the eleventh interrogatory, and answered by the court to the contrary of said contention, and we think rightly. The intention of the testator under this item is very plain. He wished any unpaid loans or advancements made by him to any beneficiary to be computed as a part of his bequest to .such beneficiary, or the husband, wife, or children of such beneficiary, whether outlawed or not. It is true that a discharge in bankruptcy not only bars the remedy, but operates to extinguish the obligation, if- properly pleaded and proven; but it does not pay the debt nor relieve the debtor from his moral obligation, nor does it wholly extinguish the cause of action for all purposes. Bank of Commerce v. Elliott, 109 Wis. 648, 85 N. W. 417.
By the last clause of item 26 the intent of the testator is specifically declared to be to' provide for an equitable distribution of his estate, so that no person shall obtain advantage of another by reason of any such advancement or assistance evidenced by a note or obligation unpaid and held by the testator at the time of his death. The debts of Dickson were unpaid, and the testator held the obligations therefor at the time of bis death, so they come strictly within the words of the will. It is probable that the same result would be arrived at had there been no such clause. In re Fussell's Estate (Iowa) 105 N. W. 503.
By the answer to the twelfth question the court held that in assigning these notes and obligations they should be appraised at the full amount of the principal and interest unpaid thereon at the time of the testator's death, and this holding was plainly right under the terms of the will.
By the thirteenth question the court was asked whether the trustees were authorized to withhold from William A. Dickson and his descendants so much of the income and principal otherwise passing to them, from time to time, as would equal the full amount of principal and interest unpaid from time to time upon said Dickson's unpaid obligations held by the testator, and distribute the amount so withheld among the other beneficiaries under said item 13, and the court answered that they were so authorized in their discretion. This holding is complained of, but we think without cause. If such were not the holding, then manifestly the other descendants of Marcia E. Dickson would suffer, and the descendants of William A. Dickson would obtain an advantage over them in the distribution of the estate by reason of the indebtedness of their ancestor, a result which is contrary to the plainly expressed wish of the testator. Substantially the same questions were propounded (except as to the effect of a discharge in bankruptcy) as to the indebtedness of Charles Gr. Pratt and John M. W. Pratt, descendants of Hannah A. Pratt, who as such descendants were beneficiaries under the eleventh item of the will, and were answered in the same way. For the reasons given above these answers must also be held correct.
We now come to the question of the correctness of the allowances to the various guardians ad litem payable out of the estate at large, raised by the guardian of Daniel Wells Norris. The argument in favor of these allowances is, in substance, that the minors have been necessarily brought into court, not npon their own volition, but simply for the purpose of securing an authoritative and binding construction of the will for the benefit of the whole estate, and that the reasonable fees of their guardians, in performing their duty to their wards and to the court, are substantially a part of the necessary expenses of the administration of the estate. The case of Ford v. Ford, 88 Wis. 122, 59 N. W. 464, is relied upon to sustain the lulling of the trial court, and it is only fair to the trial court and to counsel to say that it does sustain the ruling. That case followed a series of cases brought for the construction of wills, and which are reviewed in the case of In re Donges's Estate, 103 Wis. 497, 79 N. W. 786, in which this court had, without serious examination of the question, directed that allowances be made by the county court out of the estate to the respective parties for counsel fees. In the Donges Oase the question was brought sharply to the attention of the court, and it was held, after full consideration, that the habit of ordering the payment of counsel fees, other than the executor's, in such cases where the parties are sui juris, was without authority of law and should be stopped. Since the decision of that case this court has followed the rule there laid down, nor does the change in the law made by ch. 397, Laws of 1901, with reference to allowances for counsel fees in applications for probate of wills, affect actions for construction of wills. Kronshage v. Varrell, 127 Wis. 597, 107 N. W. 342. The Donges Oase, however, was a case of actual adverse litigation by parties who were sui juris, and hence'is not necessarily controlling upon the present situation, where minors have been brought into court by the executors simply as a necessary incident in the course of their effort to obtain direction as to their duties. The argument in favor of the allowance of reasonable pay for guardians ad litem in such a case, out of the body of the estate, especially where, as here:, the interests of the minors are problematical and distant, is certainly quite persuasive. Plowever, the question, does not seem to be an open one. In Tyson v. Richardson, 103 Wis. 397, 79 N. W. 439, which was originally an action to quiet title under a trust deed to which certain infants were necessary defendants (Tyson v. Tyson, 96 Wis. 59, 71 N. W. 94), it was distinctly held that, while an allowance should be made to the- guardian ad litem, such allowance should be made payable only out of the infant's property under the control of the court, giving a lien thereon if necessary, following the rule laid down by New York authorities on that subject. Union Ins. Co. v. Van Renssellaer, 4 Paige, Ch. 85, and authorities cited at page 401 of 103 Wis. (79 N. W. 439). This rule having been definitely adopted, we do not deem it wise to change it. If hardship thereby results to a guardian who has acted under the order of the court, it must be accepted with the reflection that he has faithfully performed that which is in substance a public service, and has assisted the court in the administration of justice, as, by his high calling, he is at times bound to do, though there be no suitable financial return. We see no impropriety or error in remitting the question of the allowance to be made to the executors and trustees for services of their counsel to the county court, which has charge of the administration of the estate.
By the Gourt. — The judgment is modified by striking out the provision making the sums allowed to the guardians ad litem payable ou.t of the trust estate at large, and inserting a provision that the sums allowed be paid out of and made a lien upon the respective interests in the estate to which said minors are entitled, and as SO' modified the judgment is affirmed, without costs to any party, except that the costs of printing of all the parties, and the fees of the clerk of this court, shall be taxed and paid out of the estate.