Union Bank v. Murphy

John W. Murphy (Murphy) died on April 29, 1971, survived by his wife Royene, whom he had married in 1942. Murphy’s will purported to place all of his and Royene’s community property, as well as his own separate property, into two trusts in which Royene would have life interests plus a general testamentary power of appointment in the trust that .included her community property interest. The will declared, however, that “[i]f my wife elects to take the rights given her by law, she shall nevertheless be entitled to the benefits given her by this Will with respect to all property remaining subject to it.” Royene survived Murphy by only eight months. When she died on December 14, 1971, she had not exercised the power of appointment and had not declared any election to accept or reject Murphy’s testamentary disposition of her community property interest. Although Murphy’s will had by then been admitted to probate, there had been no judicial determination of her interest in his estate.

Thereafter Ruth L. Perry, executrix and sole legatee under Royene’s will, filed a “Declination to Take Under Will by Executrix of Widow” in the Murphy estate proceeding. Murphy’s executor…