Opinion
May 16, 1949.
Present — Nolan, P.J., Johnston, Sneed, Wenzel and MacCrate, JJ. [ 192 Misc. 397.]
Decree of the Surrogate's Court of Richmond County construing the will and codicil of testator and, among other things, determining the assets of the residuary estate given the executors and trustees in trust which they might legally retain, modified on the law by striking from the third line of the "Fourth" decretal paragraph the words "may not retain nonlegal investments, but". As so modified the decree, insofar as appealed from, is unanimously affirmed, with costs to all parties filing briefs, payable out of the estate. In our opinion the executors and trustees may retain investments not eligible by law for the investment of trust funds, which were received by them pursuant to the terms of the will, providing they exercise due care and prudence in the retention and disposition of them and should not be summarily directed not to retain such investments. (Decedent Estate Law, § 111, subd. 6; Matter of Wotton, 59 App. Div. 584, 587, affd. 167 N.Y. 629; Matter of Clark, 257 N.Y. 132, 136; Matter of McCafferty, 147 Misc. 179, 205; Matter of Baker, 249 App. Div. 265, 267.)