Is the balance of the account on Saylor’s death payable wholly to Adrian Saylor’s estate, wholly to his widow, or half to each?
| ♥ 0 |
In March, Adrian Saylor sold government bonds owned exclusively by him and with $6,450 of the proceeds opened a savings account in a bank in the name of “Mr. or Mrs. Adrian M. Saylor.” In June of the following year, Saylor deposited the additional sum of $2,132 of his own money in the account. There were no other deposits and no withdrawals prior to Saylor’s death a year later. Is the balance of the account on Saylor’s death payable wholly to Adrian Saylor’s estate, wholly to his widow, or half to each? |
Explanation
The amount will be paid to the widow as the contract has been made in the name of Individual S. There is no contrary evidence that states that there will be a presumption that Individual S did not intend to make their wife a third-party beneficiary in the contract. As a result, the widow will be paid as the third-party beneficiary of the contract.
This presumption can be rebutted by presenting a proof of a contrary intention. The circumstances mentioned are consistent with the intent to grant wife a right to survivorship in the absence of such facts.
Verified Answer
The whole amount is payable to the widow. A contract between Individual S and the bank was established when Individual S deposited cash. The account was developed and maintained in the name of Individual S and their wife.
There is a refutable inference in the absence of proof to the contrary, that states that Individual S wanted to make their wife a third-party beneficiary of the contract, which they did.
