Opinion
October 5, 1955.
January 13, 1956.
Decedents' estates — Unfunded insurance trust — Testamentary disposition — Surviving spouse — Taking against trust — Estates Act of 1947.
Where it appeared that in 1940 settlor deposited with a trust company certain life insurance policies on his life under an agreement directing disposition of policy proceeds; that the bank although named trustee, was only a custodian of the policies during settlor's life; that in 1949 settlor amended the agreement to provide for a different disposition of the proceeds after his death but to the same beneficiaries; and that settlor died in 1953 and his widow elected to take against his will and against the trust, it was Held that (1) the trust agreement was a testamentary disposition both at common law and under the Estates Act of 1947, P. L. 100, § 11; (2) the transfer of life insurance policies to a trustee under an agreement directing the disposition of the policy proceeds is a "conveyance" under § 11 of the Estates Act of 1947; (3) the Estates Act of 1947 was applicable to the whole fund and (4) the widow was entitled to one-half of the assets in the insurance trust.
Before STERN, C. J., STEARNE, JONES, MUSMANNO and ARNOLD, JJ.
Appeals, Nos. 102 and 103, March T., 1955, from decree of Orphans' Court of Westmoreland County, Aug. T., 1954, No. 126, in Re: Estate of J. Emerson Brown. Decree affirmed.
Same case in court below: 4 Pa. D. C.2d 722.
Proceeding upon petition of widow of decedent for declaratory judgment.
Decree entered holding that widow could elect to take against unfunded life insurance trust, opinion by COPELAND, P. J. Trustee appealed.
Vincent E. Williams and Robert H. Rial, with them Smith, Best Horn, and Walls, Rial Morrell, for appellant. Edward B. Doran, for appellees.
The decree is affirmed on the opinion of President Judge COPELAND at 4 Pa. D. C.2d 722, costs to be borne by the estate.