In re the Estate of Grace

John D. Bennett, S.

In this accounting proceeding the parties have submitted for determination, on an agreed statement of facts, respondent’s objection to the trustees’ applying “ extra dividends ” earned from an investment to income instead of principal.

The testator created a trust for his grandchild wherein a portion of the income was to be used for the grandchild’s benefit and the balance thereof accumulated until age 21. At that age all of the accumulated income, together with one half of the corpus of the trust, is to be paid to the beneficiary and the income from the remaining principal…