99 N.J. Eq. 502 | N.J. Ct. of Ch. | 1926
Defendant John M. Summerill was a testamentary trustee of the estate of Garnet Summerill, deceased, under a will probated by Salem county orphans court, until January 24th, 1924, when he resigned, and complainant City National Bank of Salem was by that court appointed as his successor in office.
The bill alleges that during the period of defendant Summerill's trusteeship losses were sustained to the estate by reason of his wrongful refusal to perform certain acts which the bill alleges it was his duty to perform as trustee. The losses are alleged to have arisen by reason of the trustee's wrongful refusal to sell certain real estate at an advantageous price, and also by reason of the trustee wrongfully releasing certain contractual rights which otherwise would have enured to the benefit of the estate. Recovery in behalf of the estate is sought for the amount of these losses.
The bill does not disclose whether any settlement of the accounts of defendant-trustee has been had in the orphans court.
Defendants object to this bill being entertained by this court on the ground that it is the duty of the orphans court to ascertain and determine and adjust at a settlement of the accounts of the trustee any liability of the trustee for misconduct of the nature stated in the bill, and that no adequate reason is disclosed by the bill for removing such settlement to this court. Filley v. Van Dyke,
Complainants' broad contention is that the orphans court is without jurisdiction in the settlements of accounts of a *504 testamentary trustee to charge the trustee with losses arising from the trustee's neglect of duty in the performance of his trust.
In Hill v. Hill,
Under authority of that case it may now be said that our statute has conferred upon the beneficiaries in this cause the right to require an accounting by defendant trustee in the orphans court, and the further right, through the medium of exceptions to the account, to impose upon the trustee an obligation to the estate for losses that may have occurred through negligence or other wrongful conduct of the trustee, and that in such circumstances the powers of the orphans court in determining the trustee's liability and charging him with an amount found to be just are coextensive with the powers of this court.
In re Eckert,
In Wyckoff v. O'Neill,
In Dey v. Codman,
In re Slater's Estate,
It is, of course, clear that this court has jurisdiction to entertain the present bill, but why should it do so in view of the circumstances that the legislature has created a special tribunal for awarding the same relief now sought in this court. Since the orphans court has jurisdiction in the settlement of the trustee's accounts to entertain and adjudicate every charge made by the bill and award on equitable principles precisely the same relief which is here sought, and enjoys all the facilities for that purpose which are afforded in this court, there appears to be no special reason which justifies this court in entertaining the present bill.
My conclusion is that the matters set forth in the bill should be or should have been adjudicated in the orphans court, and that no adequate reason is disclosed for elsewhere seeking an adjudication of the matters set forth in the bill. *506