Gunn v. United Air Lines, Inc.

Opinion

RACANELLI, P. J.

In this appeal we must decide whether decedent’s surviving spouse is entitled to share in the proceeds of decedent’s retirement fund with the designated beneficiaries, decedent’s children of a former marriage.

The facts are undisputed. In June 1971, decedent, Norman Gunn, a commercial pilot for United Airlines, was divorced from his former wife, Margaret. Under the terms of their property settlement agreement, Norman was awarded his vested interest in the United Airlines retirement fund subject to a proviso that he designate their four sons as beneficiaries of the fund in the event of his death.

1

Norman thereafter complied with the terms of the provision.

Eleven days after the divorce became final, Norman married appellant (Elise). On June 9, 1977, Norman died. During his marriage to Elise, Norman’s retirement fund increased in value to $84,465.

Following United Airlines’ refusal to pay her any portion of Norman’s retirement fimd, Elise brought the present action for declaratory relief. At trial, Elise testified that though she was aware of the agreed designation of Norman’s sons as such beneficiaries, Norman told her the purpose of the designation was to

[767]

assure his sons’ college education; further, that shortly before his death, Norman expressed a desire, in view of the sons’ attainment of majority, to change the beneficiary designation so that Elise would be “taken care of.”

The trial court found that Elise had no right to share in the pension benefits and that the entire proceeds should be paid to Norman’s sons, the individually named respondents herein. This appeal ensued.

Discussion

Elise concedes that Norman’s four sons are entitled under the property settlement agreement to at least $50,670, the value of the retirement fimd on the date of Norman’s marriage to Elise. (See

Reliance Life Ins. Co.