Someone posed a scenario to me the other day and I thought i would get some input/thoughts from this forum:
Parent A and Parent B are divorced. The two children of the marriage reside with Parent A, who has sole custody. Parent B pays spousal and child support to Parent A. in their court order, it is ordered that Parent B shall maintain a life insurance policy from Parent B's workplace in the sum of $200,000 (for example) and name Parent A the irrevocable beneficiary for as long as Parent B is obligated to pay support to Parent A.
Let's say Parent B passes away due to an accident. After clearing off debts and other liabilities, there is no money left in Parent B's estate. Parent A discovers that contrary to the court order, Parent B did not name Parent A as the irrevocable beneficiary on the policy from work, and also reduced the value of the policy to, say, $50,000. Parent B had named his/her new spouse as beneficiary for the now $50,000 policy, and to a new $300,000 policy purchased outside of the workplace. Both amounts have been paid to the new spouse/beneficiary.
What is Parent A's recourse for recouping funds ordered for support? Can Parent A have a court direct that the insurer pay out the funds to Parent A? Can Parent A file a claim personally against the new spouse for the amount?
Parent A and Parent B are divorced. The two children of the marriage reside with Parent A, who has sole custody. Parent B pays spousal and child support to Parent A. in their court order, it is ordered that Parent B shall maintain a life insurance policy from Parent B's workplace in the sum of $200,000 (for example) and name Parent A the irrevocable beneficiary for as long as Parent B is obligated to pay support to Parent A.
Let's say Parent B passes away due to an accident. After clearing off debts and other liabilities, there is no money left in Parent B's estate. Parent A discovers that contrary to the court order, Parent B did not name Parent A as the irrevocable beneficiary on the policy from work, and also reduced the value of the policy to, say, $50,000. Parent B had named his/her new spouse as beneficiary for the now $50,000 policy, and to a new $300,000 policy purchased outside of the workplace. Both amounts have been paid to the new spouse/beneficiary.
What is Parent A's recourse for recouping funds ordered for support? Can Parent A have a court direct that the insurer pay out the funds to Parent A? Can Parent A file a claim personally against the new spouse for the amount?
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