Abatement Of Debts And Legacies
ABATEMENT OF DEBTS AND LEGACIES. When the equitable assets (see ASSETS) of a deceased person are not sufficient to satisfy fully all the creditors, their debts must abate proportionately, and they must accept a dividend. Also, in the case of legacies when the funds or assets out of which they are payable are not sufficient to pay them in full, the legacies abate in proportion, unless there is a priority given specially to any particular legacy (see LEGACY). Annuities are also subject to the same rule as general legacies.
Note - this article incorporates content from Encyclopaedia Britannica, Eleventh Edition, (1910-1911)
