Estate of Eagon

Elda McKeown appealed a judgment ordering the distribution of Margie Eagon's estate to McKeown and her nine siblings. When the personal representative sought to close the estate, several of Margie Eagon's children objected to the proposed distribution, arguing the proposed distribution would reduce their inheritances but leave the inheritances of McKeown and Ronald Eagon intact. The district court determined that under the terms of the will the federal estate tax liability should be apportioned among all persons interested in the estate under N.D.C.C. 30.1-20-16(2) (U.P.C. 3-916) rather than abated under N.D.C.C. 30.1-20-02 (U.P.C. 3-902). The court found the proceeds of two $100,000 life insurance policies naming McKeown and Ronald Eagon as the beneficiaries should be used to reduce the estate tax liability. The court also awarded the parties who objected to the proposed distribution of the estate their reasonable costs and attorney fees in the amount of $23,549.26. Because the district court did not err in interpreting the will or the probate code, its findings regarding the use of life insurance proceeds were not clearly erroneous, and it did not abuse its discretion in awarding attorney fees, the North Dakota Supreme Court affirmed. View "Estate of Eagon" on Justia Law