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The act of making a request for something; the paper on which the request is written is also called an application; as, an application to chancery for leave to invest trust funds; an application to an insurance company for insurance. In the land law of Pennsylvania, an application is understood to be a request in writing to have a certain quantity of land at or near a certain place therein mentioned.
An application for insurance ought to state the facts truly as to the object to be insured, for if any false representation be made with a fraudulent intent, it will avoid the policy.
By application is also meant the use or disposition of a thing; as the application of purchase money.
In some cases a purchaser who buys trust property is required, to see to the application of thee purchase money, and if be neglects to do so, and it be misapplied, he will be considered as a trustee of the property he has so purchased. The subject will be examined by considering, 1, the kind of property to be sold; 2, the cases where the purchaser is bound to see to the application of the purchase money in consequence of the wording of the deed of trust.
Personal property is liable, in the hands of the executor, for the payment of debts, and the purchaser is therefore exempted from seeing to the application of the purchase money, although it may have been bequeathed to be sold for the payment of debts.
With regard to real estate, which is not a fund at law for the payment of debt's, except where it is made so by act of assembly, or by direction in the will of the testator or deed of trust, the purchaser from an executor or trustee may be liable for the application of the purchase money. And it will now be proper to consider the cases where such liability exists.
Upon the sale of real estate, a trustee in whom the legal title is vested, can it law give a valid discharge for the purchase money, because he is the owner at law. In equity, on the contrary, the persons among whom the produce of the sale is to be distributed are considered the owners; and a purchaser must obtain a discharge from them, unless the power of giving receipts is either expressly or by implication given to t-he trustees to, give receipts for the purchase money. It is, for this reason, usual to provide in wills and trust deeds that the purchaser shall not be required to see to the application of the purchase money.