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Broadway National Bank v. Adams

Supreme Judicial Court of Massachusetts

133 Mass. 170 (1882)

Relevant factsFree

Adams (defendant) was the lifetime beneficiary of a trust his late brother's will created, under which $75,000 was held in trust and only the interest, not the principal, was to be paid to Adams during his life, with the principal disbursed elsewhere after his death. Broadway National Bank (plaintiff), one of Adams's creditors, sought to reach the trust funds to satisfy Adams's debt.

IssueFree

Whether the common-law rule barring non-alienation conditions on transferred property also applies to a trust structured to give the beneficiary only a life interest rather than outright ownership.

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