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1 Conn. 157.

2 Dem. 129.

$ 2793. [Am'd 1886, 1893.] Money paid into the surrogate's court, as prescribed in this title, must be distributed by the supplementary decree in the following order:

1. The charges and expenses of the mortgage, lease, or sale, and of the publication of the notice of distribution, and the other actual disbursements attending the distribution, must first be paid.

2. Where an interest under a contract for the purchase of real property was sold, all sums of money, which were due at the time of the sale, pursuant to the contract, and were not assumed by the purchaser, must next be paid out of the proceeds of the sale of that interest.

3. Out of the remainder of the money arising upon a sale, the claim of dower of the decedent's wife, if any, which has not been assigned to her must be satisfied, by setting apart, for investment, one third of the gross proceeds of the property, to which her right of dower attaches; unless, within such time, and upon such a notice to her, as the surrogate deems reasonable, she presents an instrument under seal, acknowledged or proved, and certified, in like manner as a deed to be recorded in the county, whereby she consents to accept, in lieu of her dower, a sum, to be ascertained by the surrogate, equal to the value of her right of dower in the gross proceeds, according to the principles applicable to life annuities; and, if she presents such an instrument, by paying to her such a sum. If it shall appear to the surrogate that the decedent's widow is an infant, lunatic, or otherwise incompetent, and that a general guardian or committee has been appointed, upon proof that it will be for the best interest and advantage of the estate of such infant, lunatic, or incompetent widow, the surrogate must authorize and direct such guardian or committee in the name of such infant, lunatic or incompenent widow, having such dower right, to execute an instrument under seal, acknowledged or proved and certified in like manner as a deed to be recorded in the county, whereby such guardian or committee shall consent to accept in lieu of dower a sum to be ascertained by the surrogate as above provided according to the principles applicable to life annuities; and upon presentation of such an instrument to the surrogate, the value of the right of dower so ascertained by him shall be paid by such guardian or commttee. Such instrument shall have the same force and effect as a deed or instrument executed and acknowledged by a competent person.

4. Out of the remainder of the money, arising upon a mortgage, lease, or sale, must be paid the costs of the special proceeding, awarded to the petitioner in the decree. 5. Out of the remainder of the money, must be paid the sum, if any, which has been found to be due to the executor or administrator, upon a judicial settlement of his account, after applying thereupon the proceeds of the personal

§§ 2794, 2795 property. But this subdivision does not authorize the repayment, to an executor or administrator, of any sum paid by him to a creditor of the decedent, exceeding the propor tion which that creditor would be entitled to receive from the estate of the decedent, upon the distribution of all the assets of the decedent, and the proceeds of property disposed of as prescribed in this title.

6. Out of the remainder of the money, must be paid, in full, the reasonable funeral expenses of the decedent, to the persons whose claims therefor were established and recited as debts, in the first degree, and were not rejected upon the second hearing.

7. Out of the remainder of the money, must be paid, in full, the other debts, which were established and recited in the first decree, and were not rejected upon the second hearing; or, if there is not enough for that purpose, they, or so much thereof as the money applicable thereto will pay, must be paid in the order prescribed by law for payment of a decedent's debts by an executor or administrator out of the personal assets, without giving preference to rent, or to a specialty, or to any demand on account of an action pending thereupon; and paying debts not yet due, upon a rebate of legal interest.

8. Out of the remainder of the money, must be paid, in like manner, the debts first established by the supplementary decree, or so much thereof as the remainder will pay.

9. If any surplus remains, it must be distributed among the heirs and devisees of the decedent or the persons claiming und r them, and among those persons who have presented and proved liens upon the interests of those heirs or devisees, or persons claiming under them, which were cut off by the sale, according to their respective rights and priorities, as established in the supplementary decree. But if the proceeds of any of the property sold had been or were to be, converted into personal property, pursuant to a direction contained in the decedent's will, the surplus proceeds of that part of the property must be paid to the persons entitled thereto, by the terms of the will. Any person having a right of tenancy by the curtesy in such surplus, may, if he so elect, receive therefrom a gross sum in satisfaction of such right.

§ 2794. The claim of dower of the decedent's wife, in real property held by the decedent, under a contract for the purchase thereof, which must be satisfied, as prescribed in subdivision third of the last section, extends only to the annual interest, during her life, upon one-third of the balance remaining, after deducting from the money arising upon the sale, all sums due from the decedent, at the time of the sale, for the real property so contracted and sold.

§ 2795. The surrogate must cause a sum set apart for a widow's dower, as prescribed in the last two sections, to be invested by the county treasurer, under the direction of the surrogate, in the public securities of the State, or of the United States, or in permanent mortgage securities, bearing interest payable annually, or oftener. The interest, or other

25 Hun, 69

S$ 2796-2798 income, must be paid by the county treasurer to the widow, during her life. After her death, the county treasurer, under the direction of the surrogate's court, manifested in an order duly entered, must sell the public securities, or collect the sums loaned upon mortgage, and distribute the proceeds, less the costs and expenses, as prescribed in the last section but one, for the distribution of the remainder of the money, after satisfying the claim for dower.

§ 2796. [Am'd 1882.] Where surplus money is distributable to an infant, or where the interest in the property, represented by it consisted of a precedent estate and a remainder or reversion; the decree must provide, as the judgment of the supreme court would provide, in an analogous case, for the investment of the money in the public securities of the state, or of the United States; or for the loan thereof, secured by bond and by mortgage upon unincumbered real property within the state, worth at least, exclusive of buildings thereupon, twice the sum lent; and for the payment of the income, until the majority of the infant or the determination of the temporary interest; and then, for the payment of the principal to the person or persons entitled thereto. Or where surplus money is distributable to an infant, the decree may, in the discretion of the surrogate, direct that the same be paid to his general guardian upon the latter giving such additional security, if any, as the surrogate directs, or if it is one hundred dollars or less, that it be deposited by the county treasurer in a savings bank or trust company, designated by the surrogate, and that the interest or income thereof be applied to the use of the infant until its majority.

§ 2797. The commencement or pendency of an action or special proceeding, having for its object the sale, either absolutely or contingently, of property liable to be disposed of as prescribed in this title; or the foreclosure by advertisement, of a mortgage thereupon; or any proceeding to sell such property, taken pursuant to a judgment, or by virtue of an execution, does not affect any of the proceedings taken as prescribed by this title, unless the surrogate so directs. After making a decree directing a mortgage, lease, or sale, the surrogate may, and, in a proper case, he must, stay the order to execute the decree, with respect to the property affected by the action, or special proceeding, or by the proceedings then pending, until the determination thereof, or the further order of the surrogate with respect thereto. If, in the course thereof, a sale of any of the property has been made, before making the decree in the surrogate's court, the decree must provide for the application of the surplus proceeds belonging to the decedent's estate. If such a sale is made afterwards, the directions contained in the decree, relating to the property sold, are deemed to relate to those proceeds.

$2798 [Am'd 1893.] Where real property, or an interest in real property, liable to be disposed of as prescribed

§ 2799-2800
n this title, is sold, in an action or a special proceeding
pecified in the last section, to satisfy a mortgage or other
ien thereupon, which accrued during the decedent's life-
ime; and letters testamentary or letters of administration,
upon the decedent's estate were, within four years before
che sale, issued from a surrogate's court of the State having
urisdiction to grant them; the surplus money must be paid
into the surrogate's court from which the letters issued,
pursuant to the provisions of section twenty-five hundred
and thirty-seven of this code, and the receipt of the county
treasurers shall be a sufficient discharge to the person pay-
ing such money. If the sale was made pursuant to the di-
rections contained in a judgment or order the surplus
remaining after payment of all the liens upon the property,
chargeable upon the proceeds, which existed at the time of
the decedent's death, must be so paid. If the sale was made
in any other manner, the surplus exceeding the lien to
satisfy which the property was sold, and the costs and ex-
penses must, within thirty days after the receipt of the
money from which it accrues, be so paid over by the person
receiving that money.

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11 Abb. N.

C. 225.

§ 2799. [Am❜d 1881.] Where money is paid into a sur- 4 Redf. 509. rogate's court, as prescribed in the last section, and a petition for the disposition of property, as prescribed in this title, is pending before him; or is presented at any time before the distribution of the money; the money must be distributed as if it was the proceeds of the decedent's real property, sold pursuant to the decree. If such a petition is not pending or presented, or if a decree for the disposition of the decedent's property is not made thereupon, a verified petition, praying for a decree, directing the distribution of the money among the persons entitled thereto, may be presented by any of those persons. Each person, who would be entitled to share in the distribution of the proceeds of a sale, must be cited to show cause, why such a decree should not be made. Service of the citation may be made upon all the persons designated therein, by publishing the same in two newspapers designated as prescribed in article first of title second of this chapter, at least once in each of the four successive weeks immediately preceding the return day thereof, except that personal service must be made upon the husband, wife, heirs and devisees of the decedent, and also upon every other person claiming under them, or either of them, who resides in this State. Upon the return of the citation, the rights and priorities of the persons interested must be established, and a decree for distribution must be made, as if it was the proceeds of real property sold.

§ 2800. Except as otherwise specially prescribed in this title, a security taken or an investment made, pursuant to any provision thereof, must be taken or made in the name of the county treasurer, adding his official title, and his

136 N. Y. 106.

successors in office. Each security so taken, and all the papers connected therewith, or with such an investment, and each lease, taken as prescribed in this title, must be immediately delivered to the surrogate for his approval; and, when approved by him, must be delivered to the county treasurer, who must, from time to time, collect the money due thereupon, and apply it, under the direction of the surrogate, as prescribed by law for that purpose, or for the application of the money represented by the security.

§ 2801. Where a decree has been made, for the application of the proceeds of real property to the payment of the decedent's debts or funeral expenses, as prescribed in this title, and assets, which should have been applied thereto, are afterwards discovered; or, for any other reason, money or other personal property of the decedent, which should have been applied thereto, afterwards comes to the hands of the executor, administrator, legatee, or next of kin; the heir, devisee, or other person aggrieved, may mainta.. an action to procure re-imbursement therefrom.

TITLE VI.

Provisions relating to a testamentary trustee.

2802. Intermediate accounting;

when voluntary.

2803. Id.; when compulsory.
2804. Petition to compel pay-
ment of debt, legacy,
etc.

2805. Id.; proceedings upon re-
turn of citation.

2806. Id.; other persons inter-
ested to be cited.

2807. When surrogate may com-
pel judicial settle-

ment.

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fourth made applicable.

22812. Surrogate to determine

controversies; pro-
portion may be re-
tained.

2813. Effect of decree.
2814. Resignation of trust.
2815. Petition for security from
testamentary trustee.
2816. Security; how given.
2817. Removal of testamentary
trustee.

2818. Appointment of successor.
2819. Procedings where testa-
mentary trustee is also
executor or adminis
trator.

2820. Application of this title.

$2802. [Am'd 1885.] Any trustee created by any last will and testament, or appointed by any competent authority to execute any trust created by such last will and testament, may at any time file an intermediate account, and may also annually render and finally judicially settle his accounts before the surrogate of the county having jurisdiction of the estate or trust, in the manner provided by law for the final judicial settlement of the accounts of ex ecutors and administrators, and may for that purpose obtain and serve in the same manner the necessary citations requiring all persons interested to attend such final settlement; and the decree of the surrogate on such final settlement may be appealed from in the manner provided for an appeal from a decree of a surrogate's court on the final settlement of the accounts of an executor or administrator, and the

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