Exchange National Bank v. Estate of Betts

Citations

• 103 Kan. 807
• 176 P. 660
• 1918 Kan. LEXIS 389

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Building Contract — Made by Decedent — Authority of Executrix to Complete Contract. The doctrine that the only effect of contracts made by an executor or administrator is to bind himself individually applies to a contract made by the personal representative in attempting to carry on and complete a building contract entered into by the decedent in his lifetime.</p> <p>2. Same — Estate Interested in Profits of Contract Only. Notwithstanding the contract survives, the personal representative is not obliged to complete it; in case he does elect to carry on, he and those who deal with him are charged with knowledge of the law which declares that the estate is interested in the business only to the extent of the profits.</p> <p>3. Same — Notes of Executrix Not a Valid Claim against Estate of Decedent. A decedent in his lifetime held a contract for the erection of a building, actual construction of which had been in progress about a month when he died. The widow, who was the executrix of the estate, executed notes to a bank signed by her as executrix, and applied the proceeds toward payment for labor and material which had been used in the construction of the building. She afterwards abandoned the enterprise, and the building was completed by the surety of the decedent. Held, that the notes were not a valid claim against the estate.</p>