Aetna Life Insurance Co. v. Bunt
Change in beneficiary contrary to divorce court order will not be honored.
Change in beneficiary contrary to divorce court order will not be honored.
Designation of life insurance beneficiary is not vacated by divorce as state law is pre-empted by federal law.
Where insurance policy was awarded to husband, but he never changed beneficiary, former wife gets the proceeds, even though the divorce decree did not state how beneficiary interest was to be effected.
Constructive trust for life insurance proceeds for benefit of minor children was appropriate where divorce stipulation required decedent to maintain his minor children as beneficiaries of policy through his employment. Support provisions did not end with his retirement, so life insurance requirement continued.
Minor children from first marriage were not entitled to constructive trust upon life insurance proceeds where the policies were acquired by the decedent following remarriage, even though divorce decree required life insurance, even though none existed at the time.
Insurance requirement for children in divorce decree terminates when children become adults.
Where husband was required to name child as beneficiary on “all existing” policies, canceled policy in existence and named second wife as beneficiary on new policy, court can impose a constructive trust per Duhame.
Trial court cannot impose a constructive trust on proceeds of a life insurance policy where husband changed the beneficiary during a divorce action, contrary to court order. Chapter 766 provides the exclusive cause of action between spouses in matter involving martial property.
Trial court affirmed for ordering husband to maintain life insurance for the benefit of the children.(N.B.: Parties stipulated to the concept of life insurance for the children).
(1) There is no requirement that life insurance stipulations be support-related for a court to impose a constructive trust over the proceeds (2) Summary judgment was improperly granted where there was an issue of whether the second wife fell within the ambit of the bona fide purchaser exception.