A legacy is personal property left by will.  A devise is real property left by will.  A lapse occurs when the legatee or devisee dies before the testator.  Most states have anti-lapse statutes which will save a gift from lapse by substituting another beneficiary.  E.g. Unless a contrary intention is manifested in the will, if a devise or bequest is made to a relative and that relative was dead at the time the will was made, or dies after the will was made, leaving issue surviving, the issue take by representation the estate devised or bequeathed to the deceased devisee or legatee.  It appears that in the will you have quoted, the testator has manifested intent to have any lapsed legacies or devises to be included in the residue of his estate.

For title purposes, we are only concerned with devises and the language that includes the lapsed devises would only be pertinent if one of the designated devisees had predeceased the testator.  In which case, the interest of the predeceased devisee would pass through the residue of the estate.

Best,
Robert A. Franco
SOURCE OF TITLE