Lawgist170Exoneration of specific legatee’s stock in joint-stock company
In the absence of any direction in the will, where there is a specific bequest of stock in a joint-stock company, if any call or other payment is due from the testator at the time of his death in respect of the stock, such call or payment shall, as between the testator's estate and the legatee, be borne by the estate; but, if any call or other payment becomes due in respect of such stock after the testator's death, the same shall, as between the testator's estate and the legatee, be borne by the legatee, if he accepts the bequest.
Illustrations
A bequeaths to B his shares in a certain railway. At A's death there was due from him the sum of 100 rupees in respect of each share, being the amount of a call which had been duly made, and the sum of five rupees in respect of each share, being the amount of interest which had accrued due in respect of the call. These payments must be borne by A's estate.
A has agreed to take 50 shares in an intended joint-stock company, and has contracted to pay up 100 rupees in respect of each share, which sum must be paid before his title to the shares can be completed. A bequeaths these shares to B. The estate of A must make good the payments which were necessary to complete A's title.
(iii) A bequeaths to B his shares in a certain railway. B accepts the legacy. After A's death, a call is made in respect of the shares. B must pay the call.
(iv) A bequeaths to B his shares in a joint-stock company. B accepts the bequest. Afterwards the affairs of the company are wound up, and each shareholder is called upon for contribution. The amount of the contribution must be borne by the legatee.
(v) A is the owner of ten shares in a railway company. At a meeting held during his lifetime a call is made of fifty rupees per share, payable by three instalments. A bequeaths his shares to B, and dies between the day fixed for the payment of the first and the day fixed for the payment of the second instalment, and without having paid the first instalment. A's estate must pay the first instalment, and B, if he accepts the legacy, must pay the remaining instalments.
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- 152 Ademption explained
- 153 Non-ademption of demonstrative legacy
- 154 Ademption of specific bequest of right to receive something from third party
- 155 Ademption pro tanto by testator’s receipt of part of entire thing specifically bequeathed
- 156 Ademption pro tanto by testator’s receipt of portion of entire fund of which portion has been specically bequeathed
- 157 Order of payment where portion of fund specifically bequeathed to one legatee, and legacy charged on same fund to another, and, testator having received portion of that fund, remainder insufficient to pay both legacies
- 158 Ademption where stock, specifically bequeathed, does not exist at testator’s death
- 159 Ademption pro tanto where stock, specifically bequeathed, exists in part only at testator's death
- 160 Non-ademption of specific bequest of goods described as connected with certain place, by reason of removal
- 161 When removal of thing bequeathed does not constitute ademption
- 162 When thing bequeathed is a valuable to be received by testator from third person; and testator himself, or his representative, receives it
- 163 Change by operation of law of subject of specific bequest between date of will and testator’s death
- 164 Change of subject without testator’s knowledge
- 165 Stock specifically bequeathed lent to third party on condition that it be replaced
- 166 Stock specifically bequeathed sold but replaced, and belonging to testator at his death
- 167 Non-liability of executor to exonerate specific legatees
- 168 Compeletion of testator’s title to things bequeathed to be at cost of his estate
- 169 Exoneration of legatee’s immoveable property for which land-revenue or rent payable periodically
- 170 Exoneration of specific legatee’s stock in joint-stock company
