Arnott v Kiss

Arnott v Kiss involved a dispute regarding the interpretation of a clause in a will that determined how the residue of the deceased's estate should be dealt with. The case was heard in the Supreme Court of Victoria. The primary issue was whether the clause in the will caused the residue to vest in interest in the named beneficiaries from the date of the deceased's death, or whether it constituted a gift subject to a contingency. Another issue was whether the clause constituted a "class gift" and, if so, whether the beneficiaries could compel the executor to distribute the residue of the estate under the rule in Saunders v Vautier.

The court considered whether the clause in the will was ambiguous and, if so, whether it was necessary to examine extrinsic evidence to determine the meaning of the clause. The court found that the clause was ambiguous and, as such, extrinsic evidence could be considered. The court also considered the principle of the rule in Saunders v Vautier, which allows beneficiaries to compel the executor to distribute a testamentary gift if the gift is to a class of beneficiaries and all members of that class are ascertained and capable of taking the gift at the time of the testator's death. The court found that the clause in the will did not constitute a class gift as it did not meet the criteria for a class gift under the rule in Saunders v Vautier.

The court held that the clause in the will was a gift subject to a contingency and did not cause the residue to vest in interest in the beneficiaries at the date of the deceased's death. The court also held that the beneficiaries could not compel the executor to distribute the residue of the estate under the rule in Saunders v Vautier as the clause did not constitute a class gift. The court found that the beneficiaries were entitled to receive the residue of the estate upon the death of the last surviving beneficiary. The court made orders accordingly.