Bay v. Estate of Bay

125 Wash. App. 468
CourtCourt of Appeals of Washington
DecidedJanuary 31, 2005
DocketNo. 52687-1-I
StatusPublished
Cited by4 cases

This text of 125 Wash. App. 468 (Bay v. Estate of Bay) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bay v. Estate of Bay, 125 Wash. App. 468 (Wash. Ct. App. 2005).

Opinion

¶1 — Laura Bay, who was not named or provided for in her late husband’s will, challenges a trial court’s decision to deny her a share of his estate. Although she was presumptively entitled to an intestate share as an “omitted spouse,” the statute permits this presumption to be rebutted by clear and convincing evidence “that a smaller share, including no share at all, is more in keeping with the decedent’s intent.” RCW 11.12.095(3). Substantial evidence in this case supports the court’s conclusion that it was more in keeping with the decedent’s intent that his estate go entirely to his children. We affirm.

Becker, J.

¶2 John Bay created a will in 1983, 16 years before his death. The will left everything to Cathy, his wife at the time, then in trust to their children. John’s will emphasized his desire that his estate provide for his children’s post-secondary education.

¶3 John and Cathy divorced in 1986 after having two children, Kelly and Eric. By statute, the divorce revoked any provisions in John’s will in favor of Cathy. His estate would pass “as if the former spouse failed to survive the testator.” RCW 11.12.051(1). This left Kelly and Eric as the sole beneficiaries of the will.

¶4 John Bay married appellant Laura Bay in November 1999. He changed the beneficiary designation of his 401(k) retirement plan so that Laura was an 80 percent beneficiary. He designated his two children as equal beneficiaries of the remaining 20 percent. John did not make any changes to his will.

¶5 John Bay committed suicide in October 2000. At the time, Kelly was 18 and Eric was 15.

[471]*471¶6 It was undisputed that John’s 401(k) retirement plan, a nonprobate asset, should be distributed according to the percentages he designated. Laura received approximately $290,000, and Kelly and Eric each received their 10 percent share.

¶7 John’s probate estate was administered by his first wife’s brother, who was the personal representative designated by the will. John’s probate assets consisted almost entirely of separate property, amounting to a net of some $108,000. The personal representative proposed to distribute this sum equally between Kelly and Eric, with nothing for Laura.

¶8 Laura Bay protested the proposed distribution. She claimed that as an omitted spouse she was entitled to her intestate share of the probate estate. Her intestate share under the descent and distribution statute would have been “one-half of the net separate estate” because John was “survived by issue.” RCW 11.04.015(l)(b). Laura accordingly proposed that she receive $54,000 from the probate estate, with Kelly and Eric to receive $27,000 each.

¶9 The dispute came to the superior court where Judge Richard J. Thorpe rejected Laura’s claim and ordered the $108,000 to be distributed equally between Kelly and Eric Bay. Each child’s total receipts, including their shares of the retirement account and some other nonprobate accounts, amounted to approximately $100,000. Laura appeals the final order confirming the proposed distribution to the Bay children.

¶10 In confirming the distribution of John’s net separate estate entirely to his children, the trial court applied Washington’s 10-year-old omitted spouse statute, which provides as follows:

(1) If a will fails to name or provide for a spouse of the decedent whom the decedent marries after the will’s execution and who survives the decedent, referred to in this section as an “omitted spouse,” the spouse must receive a portion of the decedent’s estate as provided in subsection (3) of this section, [472]*472unless it appears either from the will or from other clear and convincing evidence that the failure was intentional.
(2) In determining whether an omitted spouse has been named or provided for, the following rules apply:
(a) A spouse identified in a will by name is considered named whether identified as a spouse or in any other manner.
(b) A reference in a will to the decedent’s future spouse or spouses, or words of similar import, constitutes a naming of a spouse whom the decedent later marries. A reference to another class such as the decedent’s heirs or family does not constitute a naming of a spouse who falls within the class.
(c) A nominal interest in an estate does not constitute a provision for a spouse receiving the interest.
(3) The omitted spouse must receive an amount equal in value to that which the spouse would have received under RCW 11.04.015 if the decedent had died intestate, unless the court determines on the basis of clear and convincing evidence that a smaller share, including no share at all, is more in keeping with the decedent’s intent. In making the determination the court may consider, among other things, the spouse’s property interests under applicable community property or quasi-community property laws, the various elements of the decedent’s dispositive scheme, and a marriage settlement or other provision and provisions for the omitted spouse outside the decedent’s will.
(4) In satisfying a share provided by this section, the bequests made by the will abate as provided in chapter 11.10 RCW.

RCW 11.12.095.

¶11 The legislation enacting the current omitted spouse statute repealed the predecessor statute, former RCW 11.12.050. Laws of 1994, ch. 221, §§ 10, 72, effective Jan. 1, 1995. The purpose of the former omitted spouse statute was “to prevent the unintentional disinheritance of the surviving spouse of a testator who marries after making a will and then dies without ever changing it.” In re Estate of Deoneseus, 128 Wn.2d 317, 319, 906 P.2d 922 (1995). The new statute has the same purpose, and, like the old statute, it establishes a presumption that the omitted spouse will [473]*473receive the same amount as if the decedent had died intestate.

¶12 The Bay children initially argue that the distribution can be affirmed on the ground that John’s “net separate estate” under RCW 11.04.015(l)(b) included not only the $108,000 but also the 401(k) asset, Laura’s share of which was worth $290,000. They contend that Laura, as the beneficiary of the $290,000, has already received more than her presumptive half of John’s “net separate estate,” and therefore it is unnecessary to decide whether there is sufficient evidence to rebut the presumption. But the children have cited no authority for the proposition that a nonprobate asset is part of the “net separate estate” discussed in the descent and distribution statute.

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Bluebook (online)
125 Wash. App. 468, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bay-v-estate-of-bay-washctapp-2005.