Court Opinion

ID: 9666240
Source: CourtListenerOpinion
Date Created: 2023-08-24 01:08:47.916622+00
Date Added: 2024-06-11T18:15:25.206786
License: Public Domain

George Rose Smith, J., (dissenting). The property settlement agreement contained this paragraph: “ [Nina Brewer] herewith concurrently agrees to and does hereby transfer and release to [Jerry Brewer] any and all interest she now has in any and all life insurance policies on the life of [Jerry Brewer] in the Life and Casualty Company and the Southern Equitable Insurance Company, including a certain endowment policy [Jerry Brewer] has in one of said companies; and agrees that [Jerry Brewer] shall have the sole right to designate beneficiaries of said policies, and exclude [Nina Brewer] as a beneficiary if he so desires.” If Jerry Brewer had died before the lapse of a reasonable time in which he might have effected a change of the beneficiary, or if there were extrinsic circumstances, such as a remarriage on his part, to assist us in discovering his true intent, then I should agree with the majority opinion. These situations, however, are not before us. When Jerry Brewer read and signed the property settlement agreement it was brought directly to his attention that he had the power to exclude Nina as a beneficiary “if he so desire[d].” Yet in the nine months that elapsed between the execution of the agreement and Jerry’s death he took no steps to change the beneficiary of the policies. He did not contest Nina’s suit for a divorce. He did not remarry. He left no children. In the circumstances it is not unreasonable to believe that he wanted Nina to receive the proceeds of the policies. What the majority are doing is guessing that Jerry really meant to change the beneficiary but did not get around to doing it. Instead of making a guess that could as well go one way as the other I prefer to give effect to the written directions in the policies, which Jerry did not see fit to have changed. Roman v. Smith, cited hy the majority, is not in point. There the settlement recited that the husband would pay the wife $40,000 and deliver to her $1,800 of U.S. bonds. In fact he gave her $1,780 in cash instead of the bonds, and it was noted on the agreement that “Cash $1,780 substituted for Bonds.” It was to the husband’s direct pecuniary interest to substitute cash for the bonds and not to have the bonds reissued in his name before their maturity. Hence in that case there was not the slightest doubt about the husband’s intention to exclude his wife from participation in the proceeds of the bonds. Here the facts are so materially different that the Smith, case is not authority for today’s decision. I would reverse the decree. Ward, J., joins in this dissent.