Crnjanin v Crnjanin

The matter before the Court involved an application by an executor for a declaration as to the construction of a clause in a deceased's will. The deceased had bequeathed certain assets to a beneficiary in a clause which was in dispute. The primary issue for the Court was to ascertain whether the clause constituted a specific bequest or a residuary bequest, or a combination of both. The Court had to determine the precise intention of the deceased as expressed or implied in the will.

The Court examined the language of the will and the surrounding circumstances to interpret the clause in question. It found that the clause specified "all monies held by me in bank or investment accounts and all other assets both real or personal held by me at the time of my death," which indicated that the clause was intended to cover both specific and residuary assets. The Court concluded that the clause should be interpreted as a specific bequest of the specified assets, with the balance of the estate to be dealt with as residue. The Court considered the practical effect of the bequest and the principle that specific bequests take precedence over residuary bequests in the absence of clear contrary intention.

The Court declared that the clause in question was a specific bequest of the specified assets. It also provided directions for the administration of the estate, including that the executor could distribute the estate without further liability for income tax, and that any debts and expenses exceeding the value of the residuary estate would be rateably paid by the specific devisees and legatees. The Court also outlined procedures for the sale of properties and the handling of charges against specific bequests. The costs of the application were to be paid from the estate on an indemnity basis.