In re Exceptions to Account of Pennewell

Citations

• 12 Del. Ch. 408
• 105 A. 377
• 1918 Del. Ch. LEXIS 21

Syllabus

<p>It is a legal fraud for an administratrix to purchase at her own auction sale property of the estate for an amount greatly less than the reasonable value thereof.</p> <p>One having a claim against an estate is not estopped to object to the account or to surcharge the administratrix by the fact that he was administrator of the estate for seven days, had possession of its assets, and did not protect his interest; assets not having then been converted into money.</p> <p>A creditor who had been administrator could not be charged with assuming that his successor in office would disregard his rights by paying debts over which he was given statutory priority of payment, by reason of the fact that he had paid some such debts while administrator.</p> <p>Where a stock of goods was appraised at $2,000 and goods were being retailed thereafter for three weeks, at which time there was a sale, in which the administratrix purchased the property for $500, a surcharge of $1,000 was allowed in favor of distributees, on account of the necessary uncertainty as to the correct amount.</p> <p>On exceptions to an account by an administratrix, where it appeared that she had improperly bought at her own sale and that distributees were entitled to have a surcharge, she will not be entitled to further commission for services as administratrix.</p> <p>Where administratrix is surcharged on her accounting on account of pur; chase by her at her own sale, she is chargeable with costs of exceptions.</p>