Florida/Georgia Personal Injury & Workers Compensation

...It is this order that is subjected to review by petition for certiorari. The petitioner-widow contends that her acquittal in the criminal proceeding precludes any assault on her right to receive the proceeds of the insurance policy as the designated beneficiary and further that Section 222.13, Florida Statutes, F.S.A., controls distribution of the proceeds of an insurance policy to the exclusion of other considerations....

...The respondents, father and administratrix, contend that acquittal in the criminal case is material only under Section 731.31, Florida Statutes, F.S.A., relating to inheritance by an alleged "murderer" but has no relevancy to the pending question and that Section 222.13, Florida Statutes, F.S.A., is an "exemption statute" rather than a distribution statute....

...We have considered Section 731.31, supra, in other cases to be mentioned later. None of these cases, however, involved *157 life insurance contracts and our present consideration leads us to the conclusion that this section clearly does not apply to the controversy before us. Section 222.13, Florida Statutes, F.S.A., offers no greater difficulty....

...tatute that protects the proceeds of a life insurance policy against the demands of creditors in certain cases. It was so construed in Milan v. Davis, 97 Fla. 916, 123 So. 668 (see particularly opinion On Petition for Rehearing). The conclusion that Section 222.13, Florida Statutes, F.S.A., is obviously an exemption statute and has no bearing on the problem before us is in some measure supported by the fact that it has consistently been included as a part of Chapter 222 dealing with "Homestead a...

...that appellants are entitled to be subrogated to their claims against the appellee to the extent that the proceeds of said insurance are applied on account of appellee's obligations to the assignees. Appellants claim to derive their interests under Section 222.13, Florida Statutes 1957, F.S.A., [1] the pertinent provisions of which are as follows: "Whenever any person shall die in this state leaving insurance on his life, the said insurance shall inure exclusively to the benefit of the child or...

...Orr & Company and Westfield Corporation may have against the defendant Asphalt Paving, Inc., or upon which said widow or children or said Executrix are entitled to any judgment in this cause against said defendant." It is evident that the purpose of Section 222.13, Florida Statutes 1957, F.S.A., supra, is to limit the disposition of life insurance proceeds in such manner as to afford the greatest benefit to the surviving spouse and children of the insured, while preserving to the insured the pow...

...The cited suit was brought to recover on the policy, and the daughter of the insured assignor, to the exclusion of the bank and in the face of the assignment, claimed the proceeds of the policy under the provisions of Section 7065, C.G.L., which substantially parallels the within quoted provisions of Section 222.13, Florida Statutes 1957, F.S.A....

...Reversed and remanded for proceedings consistent herewith. WIGGINTON, C.J., and CARROLL, DONALD K., J., concur. NOTES [1] The order appealed was entered June 2, 1959, prior to the effective date of Chapter 59-333, Laws of Florida 1959 (incorporated as Section 222.13, Florida Statutes, 1959, F.S.A.) whereby Section 222.13, Florida Statutes 1957, was amended in major particulars that do not, however, affect the issues on this appeal.

...cutrix of the estate of John E. Seaton, deceased, petitioning the Court for leave to take possession of the proceeds of the four policies of insurance in her individual personal capacity, upon the ground that such proceeds inured to her by virtue of Section 222.13, Florida Statutes, 1941....

...the insured . . . for any uses in like manner as he or she may bequeath or devise any other property or effects of which he or she may be possessed, and which shall be subject to disposition by last will and testament.” See 7065 C.G.L. 1927 (Sec. 222.13, Florida Statutes, 1941)....

...Orr & Company, Inc. (herein called "Westfield" and "Orr"), against the appellant, Asphalt Paving, Inc. (herein called "Asphalt"), one of the defendants below. Their claim of subrogation is based on the theory that they were the beneficiaries (under Section 222.13, Florida Statutes [1] ) of two $25,000 insurance policies on Ulery's life, who prior to death had assigned the policies to Westfield and Orr, respectively, as collateral security for debts of Asphalt, and that upon Ulery's death the en...

...8, at which time Asphalt owed Westfield and Orr, respectively, amounts in excess of the proceeds of the respective policies assigned; that at the time of Ulery's death there was no named beneficiary in either of the policies and that by operation of Section 222.13, Florida Statutes, F.S.A., appellees became the beneficiaries thereof, subject only to said assignments to Westfield and Orr; that defendant Gulf Life Insurance Company refused to pay the proceeds of the policies either to Westfield and Orr or to the appellees....

...Holding, as we do, that Asphalt's amended answer states a lawful defense that should be put to proof, the order appealed must be and it is reversed. This cause *380 is remanded for proceedings consistent herewith. Reversed. CARROLL, DONALD K., C.J., and RAWLS, J., concur. NOTES [1] F.S. 222.13, F.S.A., provides: "Life insurance policies; disposition of proceeds....

...After his brother’s death, the Trustee filed a petition requesting a determination that life insurance proceeds payable to the trust were exempt from all “death obligations” and unavailable to Mr. Morey’s estate or its creditors. Here, as below, the Trustee relies on this language in section 222.13(1), Florida Statutes (2008): Whenever any person residing in the state shall die leaving insurance on his or her life, the said insurance shall inure exclusively to the benefit of the person for whose use and benefit such insurance is...

...satisfy obligations of the estate, pursuant to section 733.808(1). A. Conceding that section 733.808(1) provides “[s]ome support for the Trial Court’s ruling,” the Trustee contends nevertheless that, because section 733.808(1) does not mention section 222.13, “there is no indication by the Legislature that the terms of Section 733.808(1) override an exemption statute such as Section 222.13.” The two statutory provisions are not, however, in conflict. Section 222.13(1) makes an exemption from the decedent insured’s creditors available for life insurance policy proceeds, but does not require the policy’s owner to take advantage of the exemption....

...e a part of the insured’s estate for all purposes and shall be administered by the personal representative of the estate of the insured in accordance with the probate laws of the state in like manner as other assets of the insured’s estate. *487 § 222.13(1), Fla. Stat. (2008). Section 222.13(1) does not prohibit life insurance proceeds’ paying the insured’s estate’s debts and other “death obligations,” nor does it prohibit directing payment of policy benefits to a trust for that purpose....

...An insurance policy is a contract. The right to select the beneficiary of a life insurance policy is an aspect of the freedom to contract. The statutory exemption does not purport to restrict that freedom. The owner of an insurance policy may waive the section 222.13 exemption merely by designating the insured or one or more of the insured’s creditors as a beneficiary or beneficiaries, by naming the insured’s estate as a beneficiary of the policy or, as here, by naming as beneficiary a trust wh...

...ution of the trust assets to the personal representative, if requested. B. The Trustee also argues that the “general direction for payment of ‘death obligations’ in Article V(A) of the Trust ... does not trump the express exemption provided in Section 222.13.” But the Carlton W....

...However, there is far more authority for this Court's conclusion than the verbal differences. In Milam v. Davis, 97 Fla. 916, 123 So. 668, cert. denied, 280 U.S. 601, 50 S.Ct. 82, 74 L.Ed. 646 (1929), the Florida Supreme Court decided the constitutionality under the state constitution of the predecessor of § 222.13, Florida Statutes, [11] the Act of *792 1872, chapter 1864, which then faced an attack similar to the trustee's assault....

...When the statute was enacted in 1925, the Florida Constitution of 1885 was in effect and it contained virtually the same language as does the 1968 Constitution in exempting "one thousand dollars worth of personal property." Fla. Const. of 1885, art. X, § 1. [12] Just as Milam v. Davis said of § 222.13's predecessor, the legislation "was apparently not regarded as being violative of the exemption article," 123 So....

...exceeding in value the sum of five hundred dollars in addition to his or her wearing apparel, and that of his or her family, shall be exempt from seizure on attachment, or sale on execution, or other process from any court on debt by contract. [11] 222.13 Life insurance policies; disposition of proceeds....

...Carter, supra, where the administratrix also sought recovery for the estate, it was held that a beneficiary in a similar situation "necessarily must be considered as having reference to * * * a beneficiary eligible to take", and the estate was denied recovery. F.S. § 222.13, F.S.A. provides that insurance proceeds shall pass outside probate and inure to the benefit of the children and surviving spouse. Virginia is not "entitled" as a beneficiary; neither is she qualified indirectly under the provisions of § 222.13....

...NOTES [1] Swenszkowski is not seeking the insurance proceeds, which would have been paid to the mortgagee, but rather is seeking reimbursement of payments he was not required to make after the decedent's death by virtue of the credit life insurance. Thus, section 222.13(1), Florida Statutes (1989), does not bar Swenszkowski's claim.

...On January 3, 2008, the Chapter 7 Trustee filed a Motion to Turn Over Property of the Estate. (Doc. 68). On January 14, 2008, Judith Morrison filed an Amendment to her Bankruptcy Schedules and disclosed a "100% ownership" interest in the insurance policy. She also claimed the interest as exempt pursuant to § 222.13 and § 222.14 of the Florida Statutes....

...s the annuitant, and not the third party who might become entitled to the annuity proceeds upon the death of the annuitant. The Trustee compares the beneficiary of an annuity to the beneficiary of a life insurance policy. While under Florida Statute 222.13, the proceeds of a life insurance policy are exempt from the claims of creditors of the insured, they are not exempt from the claims of creditors of the beneficiaries....

...n to this claim by the Trustee should be overruled and the claim allowed. This leaves for consideration the Debtor's claim of exemption of the proceeds of the life insurance policies which, according to the Debtor, are exempt pursuant to Fla.Stat. §§ 222.13 and 222.14....

...§ 222.14 is clearly inapplicable in that this Statute exempts the debtors interest in annuities and the cash surrender value of life insurance policies and has nothing to do with the proceeds of life insurance policies which is governed by Fla.Stat. § 222.13....

...ced. This is so because the claim of exemptions in Zeitz was asserted pursuant to Fla.Stat. § 222.14 and related to an annuity contract rather than to a life insurance policy. Moreover, Zeitz by way of dicta made it clear that while under Fla.Stat. § 222.13 the proceeds of the life insurance policy are exempt from the claims of creditors of the insured, they are not exempt from the claims of creditors of the beneficiary under the insurance policies. In the case of In re Butcher, 62 B.R. 162 (Bankr.E.D.Tenn.1986), where the claim of exemption was also based on Fla.Stat. § 222.14, the Court noted that while both §§ 222.13 and 222.14 prevents creditors of the insured from reaching the proceeds intended for the beneficiary, these Statutes were not intended to protect such proceeds from the claims of the beneficiary's own creditors. The bankruptcy court considering the statute of North Carolina § 1C-1601(a)(6), a statute similar to Fla.Stat. § 222.13 involved here, in the case of In re Sharik, 41 B.R....

...the life insurance proceeds be distributed and turned over to her son, L.C.B., whom she claimed to be the natural (although illegitimate) child of decedent and, in the absence of any surviving spouse or other surviving children, entitled under F.S. § 222.13 F.S.A....

...eck received from R.L.B. for the account of L.B. This Court is unable to make the finding that the above facts constitute `an acknowledgment in writing' that the child is the son of R.L.B., Deceased. Despite the many subsequent amendments to Chapter 222.13 Florida Statutes the status and posture of said Statute must be determined as of the date of death of the Decedent, R.L.B. Under said Chapter 222.13 Florida Statutes it is provided that insurance made payable to the estate shall devolve to the spouse and children in equal shares....

...rom the father `who in writing, signed in the presence of a competent witness, acknowledges himself to be the father.' The third Statute which does not refer to illegitimate children is the Statute here under consideration, to-wit: Chapter [Section] 222.13....

...nd husband or wife of such person in equal proportions, ...' In the Case of in re Alworth's Estate, [Fla.App.] 151 Southern Second 478 the Honorable Judge Wigginton stated that the 1959 Amendments to the Statute effectively made the Statute (Chapter 222.13) a part of the probate law of Florida, ......

...ute with which this Court is concerned. To do so would completely defeat the Statute as it was then worded for under such contention a widow would be able to claim dower in such insurance proceeds, for such is allowed by the probate Statute. Chapter 222.13, however, completely nullifies this selection inasmuch as it states very clearly that a widow and surviving children shall *208 take equally. The Court therefore reaches the conclusion that the Probate Statute should not be read into Chapter 222.13 so as to bar a person who had been acknowledged to be the child of the deceased father from taking the insurance proceeds merely because the father had not acknowledged him in writing....

...The Caldwell Case at no time dealt with the right of an illegitimate son to inherit from its acknowledged father. This Court is of the opinion that the princip al operating under the Workmen's Compensation Act is the princip al that should govern in this particular case. This Court feels that Chapter 222.13 should be construed to mean exactly what it says, to-wit: child or children. It is therefore felt by the Court that the requirement that the child be acknowledged in writing is not necessary to take under Chapter 222.13, and that such a requirement would constitute an unconstitutional deprivation of rights if applied to the facts of this case. IT IS THEREFORE ORDERED, ADJUDGED AND DECREED that the child, L.C.B., is declared to be the individual set forth in Chapter 222.13 who shall take the insurance proceeds that were payable to the Estate of R.L.B., Deceased....

...the amendment. The case cited by the Trustee upon rehearing is the case of Milam v. Davis, 97 Fla. 916, 123 So. 668, 690, cert. denied 280 U.S. 601, 50 S.Ct. 82, 74 L.Ed. 646 (1929). In Milam, the Supreme Court of Florida considered Florida Statute 222.13, the life insurance policy exemption, and held that the Statute was constitutional stating that the "organic provision exempting a stated amount of general personal property of the insured is not exclusive and is not a limitation upon any and...

...ds of the insurance policies. The question before the court is whether the proceeds pass to the widow and children in equal shares or whether the proceeds pass to the Trust Company of Georgia under the provisions of the will. The applicable Statute, Section 222.13 F.S.A.1941, is as follows : “Whenever any person shall die in this state leaving insurance on his life, the said insurance shall inure exclusively to the benefit of the child or children and husband or wi fe of such person in equal p...

WIGGINTON, Judge. Defendant has appealed a declaratory decree rendered pursuant to F.S. Chapter 87, F.S.A., by which the chancellor construed and applied F.S. § 222.13, F.S.A., relating to the disposition of proceeds derived from life insurance policies payable to the estate of a decedent....

...surviving heir at law. The decree appealed is reversed and the cause remanded with directions that an appropriate decree be entered in accordance with the views herein stated. Reversed. CARROLL, DONALD K. Acting C. J., and RAWLS, J., concur. . F.S. § 222.13, F.S.A....

...fused. The guardian filed a petition in the county judge’s court for the disbursement of said proceeds. Upon hearing the guardian maintained that the proceeds from the insurance policy were not specifically bequeathed and in accordance with F.S.A. § 222.13 were the property of his ward....

...the date they were collected by the executor until the proceeds were disbursed to the guardian. The executor maintained that the proceeds had been specifically bequeathed, or, in the alternate, the executor had complied with the provisions of F.S.A. § 222.13 and the guardian was not entitled to interest or income upon said proceeds of insurance. After the hearing the court entered its order dated March 11, 1965, determining that the life insurance proceeds were not specifically bequeathed; therefore, in accordance with F.S.A. § 222.13 the only surviving child, Susan Jane Weymer (there being no surviving spouse) was entitled to the proceeds along with the legal rate of interest from the date they were received by the executor....

...1 The order stated that the payment was to Fred G. Plorner, as the sole heir at law of Jed D. Horner, deceased, and was to be made free of all debts, charges, taxes and expenses of administration. This order was made pursuant to the County Judge’s interpretation of section 222.13(2) Fla.Stat. 1963, F.S.A. We reverse. The pertinent subsection of § 222.13 Fla.Stat., F.S.A....

...We hold that where the insured was not survived by spouse or child, and *388 did not mention life insurance in his will, the proceeds of such insurance are assets of the decedent’s estate and may be used to pay debts, estate taxes, etc., and that any distribution thereof should be accomplished pursuant to the provision of section 222.13 (2)....

...3 The order appealed is reversed with directions to enter an order denying appellee’s petition. Reversed. . After this appeal was instituted, Fred G-. Horner died, and the appellee has been substituted pursuant to Rule 3.11, subd. e, Florida Appellate Rules (1962 Rev.), 31 F.S.A. . Section 222.13(3) is as follows: “3) Whenever any person residing in the state shall die leaving insurance on his life for the benefit of the estate of the insured or payable to the estate or to the insured, his executors, administrators or assigns...

...ring them as “relatives by blood” of the insured. The widow contends that the policy provision is a facility of payment .proviso. She claims the proceeds as the surviving spouse and sole surviving heir *609 under the intestate laws and Fla.Stat. § 222.13 (1973)....

...“There being no genuine issue as to any material fact, the Court finds that CLEMMIE TEEN COOPER, surviving widow of John Henry Cooper, is entitled to the proceeds of the group life insurance policy under the provisions of Section 731.23, Laws of Florida; however, under Section 222.13, Laws of Florida, the proceeds of said policy are a part of the estate of John Henry Cooper.” Aside from what has been said, to term the provision a contingent beneficiary clause, as contended by the blood kin, would lead to an unpalatable result....

PER CURIAM. This is an appeal from an adverse final summary judgment. We affirm because Florida Statute 222.13(1)(1993) clearly exempts life insurance proceeds from the claims of the insured’s creditors unless the insurance policy or a valid assignment thereof provides to the contrary....

sought to have the exemptions provided by F.S. § 222.13, F.S.A., applied to the life insurance policies

...3 Thereafter Stanley Ruza and Martin Ruza, the children and heirs of Joseph Ruza, deceased, who were appellees in the appeal brought by Sophie Ruza, filed their appeal from the same order and urge error in this court upon the ground that the order entered improperly ignored section 222.13, Fla.Stat., F.S.A....

...ilure to assert such a claim in the estate. Therefore, the order appealed is affirmed upon the appeal of Sophie Ruza, and upon the appeal of Stanley Ruza and Martin Ruza the cause is remanded to the county judge’s court for a ruling in accord with section 222.13, Fla....

...te account. The three surviving children of the decedent [appellees] petitioned the county judge for an order requiring the executrix to distribute these insurance proceeds to the surviving spouse and children in equal portions pursuant to Fla.Stat. § 222.13, F.S.A....

...and golf club memberships; my furnished residence property on North Key Largo in Monroe County, Florida; and whatever land I possess in North Carolina or elsewhere at the time of my passing.” [Emphasis added] The statute involved herein, Fla.Stat. § 222.13, F.S.A., has caused vexatious legal and legislative problems for a long time....

...stributed to his testamentary trustee under the residuary clause of the will above quoted, to be administered by his trustee in accordance with the provisions of his will. The statute in effect at the time of the testator’s death is as follows: “222.13 Life Insurance policies; disposition of proceeds: “Whenever any person shall die in this state leaving insurance on his life, the said insurance shall inure exclusively to the benefit of the surviving child or children and husband or wife of...

...on by last will and testament. 5 The statute of 1903 was carried forward with little or no change as § 3154 of the Laws of Florida of 1906, § 4977 of the Revised General Statutes of Florida 1920, § 7065, Compiled General Laws of Florida 1927, and § 222.13, Florida Statutes 1941. No material amendments to the statute were made until 1955. It thus appears that between the years 1903 and the year 1955 the predecessor of the statute now under consideration provided as follows: “222.13 Life insurance policies; disposition of proceeds....

...The Carter case, although decided by the Supreme Court in 1956, 11 involved a cause of action which accrued in 1954 prior to the 1955 and 1959 amendments to the statute now in effect. In construing the same statute which was in effect at the time the four above cited decisions were rendered, the court: “Section 222.13, Florida Statutes, F....

...at protects the proceeds of a life insurance policy against the demands of creditors in certain cases. It was so construed in Milan [Milam] v. Davis, 97 Fla. 916 , 123 So. 668 (see particularly opinion On Petition for Rehearing). The conclusion that Section 222.13, Florida Statutes, F.S.A., is obviously an exemption statute and has no bearing on the problem before us is in some measure supported by the fact that it has consistently been included as a part of Chapter 222 dealing with ‘Homestead...

...18 The trial court was correct in denying the petition of the executor to make distribution of the insurance proceeds to the testamentary trustee, and the order appealed is accordingly affirmed. RAWLS, J., and McLANE, Associate Judge, concur. . F.S. Section 222.13, F.S.A. . Laws of Florida, 1872, Ch. 1864 at 18; Digest of Laws 1822-1881 (McClellan) § 22 at 534. . Revised Statutes of the State of Florida, 1892, § 2347 at 765. . Laws of Florida, 1897, Ch. 4555 at 98. . Laws of Florida, 1903, Ch. 5165 at 99. . § 222.13, F.S., 1941....