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![handle is hein.slavery/ssactsengr0824 and id is 1 raw text is: CLAYTON V. OWEN
no doubt, the profits had been earned at an -earlier period, but that does not entitle
the shareholder to a definite share of the profits& If it had become necessary for the
company to erect additional works, some of these profits would have been applied for
that purpose.
The analogy of the decision in Clive v. Clive (Kay, 600) of a specific legacy of bank
stock, where the testator died a few days before the time of payment of a dividend,
is perfect. The profits had been made before, but no part of them had been
appropriated or belonged to the testator's estate. The shareholder could bring no
action against the company until after the dividend had been declared. It is therefore
impossible to doubt, but that the dividends declared after the testator's death are a
portion of the income of the legatees for life.
It must-therefore be. declared that the sums received in respect of bonus, exclusive
of interest, since the testator's death formed coipus, and that all sums received in
respect of dividends on shares declared since the testator's death formed part of the
income of his estate.
[285]. CLAYTON V. OWEN. June 27, 28, 1862.
[S. C. 31 L. J. Ch. 825; 6 L. T. 802; 8 Jur. (N. S.) 1117; 10 W. R. 770.]
The 13 & 14 Vict. c. 115, s. 2 (1850), prohibits assurances in friendly societies beyond
£100. The former Acts contained no such prohibition. Held, that an Assurance
for £499 effected subsequently (1852) in a society established under the former
Friendly Societies Act was valid.
A decree had been made in January 1862, for the administration of the estate of
the testator, George Owen,'who died in 1861.
It appeared from the certificate, that the testator effected a policy of assurance on
his own life, in the National Provident Institution, dated the 26th of October 1852,
in the sum of £499, 19s., which was made payable, on his decease, to his widow Ann
Owen, and if there should be no such widow, then to the executors, administrators
or assigns of the assurer. The testator paid the premiums on the policy down to his
death on the 15th of December 1861 ; the Defendant, Ann Owen, his widow, survived
him and proved his will.
The question, whether the money secured by this policy formed part of the out-
standing personal estate of the testator, or belonged to the Defendant, Ann Owen,
absolutely, was, at the request of the Plaintiff, reserved for the consideration of the
Court. The estate was insolvent, the assets being only sufficient to pay ten shillings
in the pound on the testator's debts, and a balance of £1111, 6s. was.found due from
the executrix.
The National Provident Institution was established under the provisions of the
10 Geo. 4, c. 56, and the 4 & 5 Will. 4, c. 40, and the policy was granted in accordance
with the powers contained in these Acts, which were passed to encourage parties to
provide for their families. By the 10 Geo. 4, c. 56, s. 2 (the Friendly Societies Act),
it was enacted that it should be [286] lawful for any number of persons in the United
Kingdom to establish a society for the purpose of raising, by subscriptions of the
members or by voluntary contributions or donations, a stock or fund for the mutual
relief and maintenance of all and every the members thereof, their wives or children,
or other relations, in sickness, infancy, advanced age, widowhood or any other natural
state or contingency, whereof the occurrence is susceptible of calculation by way of
average.
By sect. 37, no assurance, instrument or document made in pursuance of the Act
is liable with any stamp duty.
The 3 & 4 Viet. c. 73, s. 1 (1840), provided that the exemption from stamp duty
should not extend to cases where the sum to be assured to any individual, or to any
person nominated by or to claim under him or her, should exceed the sum of £200.
The 13 & 14 Viet. c. 115, s. 1 (1850), An Act to Consolidate and Amend the Laws
Relating to Friendly Societies, repealed the previous Acts, subject to the following
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