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life insurance on decedent's life, the court pointed out that
under Texas statutory law, Tex. Ins. Code Ann. Art. 3.49-3 (West
1981), the sole owner of life insurance that was community
property could name someone other than his spouse (including his
estate) as beneficiary of the policy, and that such a designation
would be legally effective without the joinder or consent of the
spouse if it is determined that such designation was fair and was
made in the absence of fraud, either actual or constructive, on
the wife. Street v. Skipper, 887 S.W.2d at 80-81. In the case
before the court, the Texas Court of Appeals affirmed that there
was no fraud involved, either actual or constructive, in the
designation of the decedent's estate as insurance beneficiary.
The court pointed out that Mrs. Street, as surviving spouse of
decedent, in fact received more than one-half of decedent's total
estate, being more than the one-half community property interest
she might otherwise be entitled to receive. The Court of Appeals
concluded in id. at 81:
Therefore, although William Street gave his wife's
share of the community property proceeds of the life
insurance policies to his estate, he also bequeathed
her certain portions of his share of the community
estate that aptly made up the difference. Appellant
still received more than half of the community estate
despite the gift to William Street's estate, and we
cannot find that such disposition was unfair to her.
The gift of the community funds to his estate was not
capricious, excessive, or arbitrary as is evident by
the resulting split of the community property. * * *
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