Wednesday, October 26, 2011

Court reviews whether an attorney-in-fact has the power to name herself as beneficiary of an insurance policy

EVA WEAVER v. PRISCILLA DEVERELL, ET AL. (Tenn. Ct. App. October 26, 2011)

This is a case involving life insurance and a Power of Attorney. After Decedent named Appellant as his attorney-in-fact through a Power of Attorney, the Appellant changed Decedent's life insurance policy to name herself as primary beneficiary. Appellee, the previous beneficiary of the policy, filed this action to prevent Appellant from receiving the proceeds, alleging fraud. The trial court found that the Uniform Durable Power of Attorney Act prevented Appellant from changing the beneficiary of the policy. Further, the trial court held that Appellant's argument that she had actual authority to make the change was an affirmative defense that was waived by Appellant's failure to specifically plead it. Based on the foregoing, we affirm in part, reverse in part and remand.

Opinion available at:
http://www.tba2.org/tba_files/TCA/2011/weavere_102611.pdf