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Conferences on the Virtues
By Fr. Bruno Cocuzzi, ocd
Number 56
The Subject of
Donations…
A Donation or
Gift may be defined as the free and gratuitous transfer of
dominion over some thing to an accepting other.
In this
definition, free and gratuitous have distinctly different
meanings.
It is free
because there is no coercion, whether physical or moral. The donor is in no way forced to confer the
gift. He gives because he wants
to. He is moved so to act from within
himself.
A gift or
donation is gratuitous because the donor is not looking for any kind of
compensation in return for having transferred the ownership in question
freely. The thought of getting
something in return never enters the donor’s mind. Neither does the donor nourish the slightest desire that
something be given freely in return by the donee. If the thought or desire for some token compensation were
present, the transfer would cease to be gratuitous. It would be neither gift nor donation.
Of course, it
is impossible for the donor to be utterly free of compensation of a higher and
nobler order. And that is the joy
and satisfaction the donor experiences at having been able to give tangible
evidence of his love and esteem for the donee.
The nobility of this kind of compensation consists in the fact
that it is analogous to the Infinite Eternal Joy and Happiness the Persons of
the Most Holy Trinity “experience” by Loving One Another, and by Their Being
One in Loving us their human children.
Transfer of dominion
includes transfer of rights over something of value, whether a material
or an immaterial good. In most
instances it is a transfer of full dominion, that is, of ownership in
the fullest sense of the word. As we
saw many, many conferences ago, there are lesser rights that can be
transferred, such as the right of possession, the right to enjoy,
or the right to use, and one alone or any combination of these rights
may exist in the person who is not the legal “owner” of the goods in
question.
To an accepting
other signifies that the donor’s “offer” of the gift does not become a
unilateral contract until it is “accepted” by the donee. As pointed out a conference or two ago, even
unilateral contracts require the mutual consent of at least two distinct
parties.
All of the
above can be summarized in saying that three things are required to constitute
a gift (donation). Liberality, Proprietorship,
and Acceptance. Liberality includes
both free and gratuitous.
Proprietorship includes the right to transfer the dominion with which
one is vested to another.
Most of us are
familiar with two kinds of gifts and donations. They are:
(1) Gifts
we make to another on birthdays, at Christmas, or on any other occasion when we
want to corroborate the verbal expressions of our love for those we love by
means of some tangible gift, and
(2) Charitable
donations. These latter most often take
the form of monetary contributions, as, for example, when one gives to the
representative of an Order or Congregation who comes to our parish Church and
makes a Mission Appeal. You are all
familiar with many other examples as well.
Catholic moral
theology, however, recognizes three distinct ways of making donations. They are:
(1) Transfer
of dominion between living persons (Latin:
donatio inter vivos);
(2) Transfers
in view of death; and
(3) Transfers
by Last Will and Testament.
The first of
these is the gift or donation we are most familiar with. The donor actually and irrevocably
relinquishes dominion in favor of the accepting donee.
Actually
means the immediate transfer here and now, and Irrevocably means
the transfer cannot be nullified or invalidated. The donor’s rights over the thing transferred are gone forever
and cannot revive except by operation of Law.
Clearly then, a
Gift differs from a Promise (of a future transfer), and from a lending
(transfer of dominion) for a stated or open-ended interval of time.
By its very
nature, certain elements are required for the validity of a gift between
living persons.
(a) Dominion
over the gift to be given.
One cannot give what one does not have.
(b) Capacity: The donor must be capable of giving
the gift, and the donee capable of receiving it.
Along
with dominion, the donor must be able freely to administer his goods.
The
ability to receive includes the donee’s ability to have dominion and the
ability to exercise it.
Because
the definition of gift or donation is silent upon the “value” of the thing
transferred, it applies irrespective of the value. Nevertheless, when the good or goods transferred by gift is of substantial
value, civil law may intervene to define the manner of accomplishing the
giving of the gift, and thus require a formal and solemn contract of gift. This is to guarantee the freedom and
irrevocability of the gift.
After
insisting upon the irrevocability of a gift by the very nature of things, my
author states that there can arise circumstances in which the donor would have
the right to appeal to lawful authority to have the gift revoked. As an example he mentions the possibility
that the donor, after having transferred goods of substantial value to the
donee, falls into a state of want, lacking fundamental human necessities. In the event the donee does not go to the
donor’s aid in such need, the donor may seek a judicial revocation of the gift.
My
author also asks the question:
“What
sin does a bankrupt donor commit who injures the rights of creditors by giving
away as a gift the few remaining goods out of which the creditors expected to
receive at least partial payment of what is lawfully due to them?”
He
answers by saying that the donor commits a serious sin of injustice by doing
such a thing, even though, technically speaking, one may do whatever one will
with what is his own.
In
addition, he states that if the donee has knowledge that the donor’s creditors
will be deprived of even a partial payment, and he does not return the goods,
he would be a cooperator in the sin of injustice of the donor, although
technically speaking, if the donee did nothing to induce the gift, he would not
be obliged in justice to restore the gift. In my opinion, though, the donee in this latter situation would
surely be “seriously obliged” in Charity.
A Gift in View of
Death
This topic is
dealt with by the author of my textbook by means of a Comment:
It
is a gratuitous [unilateral] contract that is concluded in view of and upon
condition of the death of the donor.
The dominion is actually transferred, but it is understood that the gift
may be revoked at any time prior to the death of the donor.
Hence it
differs from the gift between living persons, which is irrevocable, and from a
testamentary gift, dominion of which is transferred at the death of the
Testator. A gift in view of death lies,
therefore, midway between the other two kinds of gifts. The former achieves the immediate transfer
of absolute rights of dominion; the latter, a future, contingent transfer;
contingent, that is, upon the non-revocation by the testator prior to his
death.
Nowadays [the
second edition of the book was published in 1949] this kind of transfer is not
recognized by the Civil Law of several nations. France and Belgium, Italy and the Netherlands exclude it
altogether. Austria, Germany, Spain and
Portugal treat it as a legacy [bequest] subject to the same conditions as a
bequest. Swiss law is completely silent
about it.
On the other
hand, both English and American laws do admit of such gifts. [The old] Canon Law explicitly recognized
this kind of gift for pious purposes in virtue of [former] Canon 1513.
Somewhat
similar to a gift in view of death not dependent upon the will of the donor is
one made upon the condition that the donee does not die before the donor. The same is true of one made upon the
condition that the donor does not survive a danger of death. These are always valid.
Although the
author of my textbook states that a gift in view of death is recognized
by our Civil Law, the Federal Government and the States do not give it absolute
recognition. The IRS, for one, will
acknowledge as having passed out of the estate of a deceased Testator only
those gifts that were made prior to a stated number of years preceding the
death of the Testator. It used to be
ten years for the purposes of Federal estate Tax liability. Unless I am mistaken, most States track the
Federal law when writing their own Estate Tax Laws.
Another type of
transfer of goods “in view of…” occurs when folks going into business transfer
certain assets to their spouses or children, so that they may not be reached by
creditors in the event the business fails.
Question Three: Concerning Wills
Essentially, a
Will is a revocable act by means of which a Testator disposes of his personal
possessions, or a specified part of them, effective upon his death.
It is said to
be an act and not a contract because it does not require the consent of
the legatees under the Will, and thus is valid, upon the death of the Testator,
independent of the will of the beneficiaries.
It is essentially
revocable because the Testator remains free at all times prior to his death
to use any and all of the testamentary assets when and how he wishes.
By
which a Testator:
More than one person cannot validly sign one and the same Will; nor can
one validly delegate another to sign his will for him. Though we talk about “joint wills” by
Husband and Wife, they are really individual Wills that stand side by side. They are both Wills that are conditioned
upon future events. What part of each
Will admits of compliance by the Executor depends upon which of the Spouses
dies first.
Disposes
of all or part of his possessions. It reflects the Will of the Testator
concerning the future dominion, administration and use of his assets as of the
time of signing the Will.
Effective
upon his death.
Otherwise it would be a gift between living persons.
Even though a
Testamentary transfer is not a unilateral contract, it still merits to be
called a gift because of the gratuitous nature of the disposition of the
assets. Another reason could be that
there is a presumption that the beneficiaries under the Will would undoubtedly accept
the distribution of the bequests eventually made to them.
The conditions
requisite for the validity of a Last Will and Testament are determined and
prescribed by the Civil Law of the Nation or State in which one is living.
Some of you are
probably wondering, in view of the fact that we are still talking about
commutative Justice, where does the notion of morality in reference to the
giving of gifts come into the picture?
With regards to
gifts, we have already considered the morality of giving away goods to which
creditors have a just claim.
With regards to
Wills, it is clear that no one is obliged in Justice to make out a Last Will
and Testament, so that it is not a sin of injustice to omit doing so. Nevertheless, an individual possessed of
substantial assets could easily be obliged in Charity to make a Will, if for no
other reason, in order to prevent dissension and strife among the heirs. Even so, when someone dies intestate, the
Civil law does, in effect, fills in the gap by its Laws of Intestate
Succession. These imitate as closely as
possible a plan of distribution among lawful heirs commonly and generally found
in Wills that are presented to a Probate Court for allowance.
Thus any
question of the morality that is associated with Will has to do chiefly
with the executor of the Will.
Natural Law
requires only that the executor faithfully carry out the intentions and
instructions of the Testator as spelled out in the Will itself, provided, of
course, that the expenses of last illness and burial, together with outstanding
just debts of the deceased, are first paid.
But because the matter of peaceful, harmonious and efficient succession
to property and assets subsequent to the death of their owner is such an
important component of the Common Good, the duties of the executor are
carefully spelled out in detail by the Civil Law.
Because it may
take many many, months before the Will of a Testator is finally carried out
completely, and because some Wills postpone for several years the distribution
of assets to certain [minor] beneficiaries, one other important duty of the
executor would be to manage and administer the estate assets so that they are
not only preserved intact, but perhaps may even increase through prudent
management. So, it seems to me, that
the most fundamental obligation in justice binding the conscience of an
executor is that he act at all times in sincere good faith and with prudent
diligence. Part of that prudent
diligence usually includes the engagement of an attorney competent in the field
of Probate Law.
The termination of Wills
There are two
ways to understand the expression:
the termination of a Will.
One occurs before the death of the Testator, the other, after.
After the
testator’s death, the Will is terminated only when it has been completely
fulfilled to the extent circumstances permit.
If it has required Probate proceedings, it terminates when the Probate
Judge has approved and allowed the final accounting of the Executor. Before the death of the Testator a Will can
terminate in several ways. The first,
most obvious and most effective of these is by simply destroying the
Will.
(Having stated
that, the thought occurs to me that a natural heir might be so upset with the
share of the estate set aside for him by a parent’s Will that he would seek to
destroy it, and so get a larger share through Intestate Succession. Not only an heir, but also every human being
is bound in conscience to hold sacred the will of a Testator.
Another and
more common means to terminate a Will is by Revocation.
For whatever
reason, the Testator himself may change his mind [intentions] and explicitly
declare his Will to be no longer valid and binding upon his death. This is done most often by expressly
declaring it null and void as a preface to the new Will that he draws up to
replace the former.
In addition to
the revocation of an entire Will, certain provisions of a Will may be,
in effect “revoked” in virtue of how the Testator uses or administers the
assets of his estate, or by force of circumstances.
It may happen that
the testator spends or gives away assets bequeathed to certain legatees under
the will, such that they are no longer in existence or otherwise not included
in the estate assets at his death.
Clearly, that part of the will that concerns those particular legatees
has been “revoked”. Here in the United
States, assets no longer in the estate at the death of the Testator are said to
have been adeemed.
If assets in an
estate are destroyed by some natural disaster, such as tornado, earthquake or
flood, etc., the provisions concerning the distributions of those assets would
also be effectively “revoked”.
Finally, a Will
in toto, or specific provisions thereof, may be rescinded by Judicial
Decree.
Reasons for
seeking the rescission are manifold.
There could be a defect in the validating formalities. There could have been unjust pressure
brought to bear upon the Testator that compromised his freedom. He may have been the victim of fraud or
deceit on the part of one or more of the legatees. Or perhaps it can be shown that the Will as drawn up does grave
injustice to natural heirs by leaving them in state of penury, thus leaving to
the State the obligation of satisfying their basic human needs.
Next time we
will begin by stating several principles that apply equally to Gifts between
Living persons and to Testamentary Gifts.
After that we will say something about Intestate Succession.
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