Carlson v. Nereson

By a decree determining entitlement to distribution of the estate of Oberlin Nereson, the trial court ordered that the residence of the decedent and his predeceased wife be distributed one-half to his heir and one-half to her heirs, pursuant to Probate Code section 229, the so-called in-law inheritance statute. The decedent’s heir appeals, claiming that the division of this asset must be adjusted to reflect infusions of capital by the decedent in the years following his wife’s death. We agree, and we will therefore reverse and remand for further proceedings in accordance with the views expressed herein.

Background

Oberlin Nereson (husband) and Ethel Nereson (wife) were married in 1933. They purchased a house in 1958 for $27,500, subject to a 20-year mortgage. Husband worked at Foothill College and was pensioned in 1970. Wife died in 1972. Her holographic will left everything to husband, including her interest in the house and joint bank accounts in the amount of approximately $60,000. It is undisputed that these assets were the couple’s community property. At the time of wife’s death the house was worth $50,000, and the remaining balance on the mortgage was $7,177.83.…