Geddings v. Geddings
319 SC. 213. 460 S.E.2d 376 (1996)


PRIOR HISTORY: Appeal From Spartanburg County. J. Derham Cole, Judge.

PROCEDURAL POSTURE: Appellants, three individuals, and one individual on his own behalf and as personal representative of the decedent's estate, challenged a judgment of the Circuit Court, Spartanburg County (South Carolina). The judgment affirmed the probate court's determination that respondent surviving spouse could take her elective share of the decedent's estate, pursuant to S.C. Code Ann. § 62-2-201 (Supp. 1994).

FACTS: Geddings (P) and her husband were married in 1979. In 1988, she signed a document given to her by her husband, which stated that each spouse disclaimed any interest in the other spouse's estate except as might be provided in the spouse's will. After the death of her husband, Geddings (P) claimed that her waiver was invalid, because she had not received a fair disclosure of her husband's assets. The trial courts found that Geddings (P) made full disclosure of her assets, but that her husband did not. The attorney who prepared the document testified that he did not discuss assets with Geddings (P). There was testimony that Geddings' (P) husband was secretive about his financial affairs, and that Geddings (P) was excluded from annual corporate meetings about her husband's business.

ISSUE: Did Geddings (P) waive her rights in her husband's estate?

RULE AND HOLDING: (Finney, C.J.) No. The right of a surviving spouse to elect against his or her spouse's estate may be waived by a written contract after disclosure of the other spouse's assets. The affirmative duties imposed on the parties to an agreement such as the one at issue here are greater than the duties normally imposed upon parties to a commercial transaction. Fair disclosure contemplates that each party will disclose his or her net worth and any facts that might affect or determine a surviving spouse's intestate share in the absence of a waiver agreement. Here, there was sufficient evidence supporting the lower court decisions that Geddings (P) did not receive fair disclosure. That factual finding will not be upset on appeal. The argument that Geddings (P) was barred from testifying by the Dead Man's Statute will not be considered, since that objection was not made in the trial court. Affirmed.

ANALYSIS: After the decedent passed away, his surviving spouse claimed an elective share of his estate. Appellants objected, and asserted that S.C. Code Ann. § 62-2-204 (1987) applied to prevent her from claiming the share, because she previously signed a waiver agreement waiving her right to take the elective share. The probate court found for the surviving spouse, and the circuit court affirmed the probate court's decision. On further appeal, the court initially held that appellants were precluded from raising on appeal the issue that the surviving spouse's testimony violated the South Carolina Dead Man's Statute, S.C. Code Ann. § 19-11-20 (1985). Further, the court held that the waiver agreement the surviving spouse executed at her late husband's request was not effective to prevent her from claiming her elective share; the court found that the evidence showed he did not make fair disclosure to her of his assets before she signed the agreement, as required by S.C. Code Ann. § 62-2-204 (1987). The court noted that the decedent was secretive about his financial affairs, and that the surviving spouse was not allowed to attend the decedent's annual corporate meetings with his children.

DISPOSITION: The court affirmed the trial court's judgment, which affirmed the probate court's determination that the surviving spouse could take her elective share of the decedent's estate despite appellants' objections.