Contesting Beneficiary of brokerage account

[daphne2]

What is the name of your state (only U.S. law)? WA state

I am the named beneficiary of an elderly friend's brokerage account. She changed the beneficiary in Dec 2010, and died in Feb 2011. I am not related, but was a good friend for 25 yrs, helping her a lot in the last few yrs, when her health was failing. She had no family nearby and no children. Her brother, also elderly and in failing health, had been the beneficiary, and is the executor of her will. He lives out of state, and had not seen her in several yrs. When she sent in the paperwork, she had me fill it out and she signed it. She suggested I put daughter in the space where it asks relationship. I didn't want to do that, so put "almost adopted daughter" The paperwork with the change came back listing me as "daughter". I'm sure the family is unhappy with that, as well as the fact that I am the beneficiary. She did not tell the brother of the change.

I just heard that the family is contesting my being the beneficiary and is allowed 30 days to get a court order. Any idea what I can expect in this case, and do I need a lawyer?

 

[justalayman]

what is the basis for contesting the designation?

 

[daphne2]

The family is not happy that they are not the recipient of the account. they want it all! I'm sure they will try to say she was coerced, as the papers were filled out by me, at her request, and signed by her. The paperwork is in order, making me the beneficiary.

She felt her brother was not in good health and she didn't want her estate all passed on to his children, that she did not care for. The brother did inherit a goodly sum through her bank accounts, and has a good sized estate himself. The daughter took over as executor, and they chose to not follow any of the friend's wishes, as they were not included in the will, but written on separate pages, that she never signed or dated. Her local friends all knew what her wishes were, but the family, of course, took everything.

 

[Johnny Mac]

so put "almost adopted daughter" The paperwork with the change came back listing me as "daughter"

I can see why the family is a little bit wanting a judge to look into the propriety of the brokerage account fund disbursement.

You are not her daughter ; you filled out the paperwork ; she signed it knowing that you are not the daughter.

Get a lawyer? I don't know ~ how much $$ you talking .... if ~100-500K I would get an attny.

You can see what an attny might charge & their opinion ~ definitely do this.

I am guessing that the $$ will go back to the family. Post back , like to hear the outcome. Good luck.

 

[justalayman]

The daughter took over as executor, and they chose to not follow any of the friend's wishes, as they were not included in the will, but written on separate pages, that she never signed or dated.

so the daughter was doing what was legally required of her position, right? You have to realize, there are laws in place that control what can and cannot be used to control the estate and an unsigned and undated statement that is not attached to the will is not acceptable.


Since you filled out the forms using the "not quite an adopted daughter" and it came back listing you as daughter, I wouldn't be surprised to see the change ruled invalid. The statement could mean the woman was either not mentally competent or you used some form of persuasion to have her alter the beneficiary. It is very suspicious to say the least.

 

[daphne2]

well- I would have to agree if I were the family. Don't know where my brain was when this was going on- i should have realized it prob wouldn't fly, and had it done differently.... I was just following the friend's desires, and honored that she thought of me as a daughter! Oh, well- didn't have it before, so won't miss it now. let you know what happens.

 

[Hot Topic]

You should have been honest about your relationship, regardless of what she "wanted."

The family probably will win, and they should.