|
REFERENCE TITLE: designated beneficiaries |
|
State of Arizona House of Representatives Fiftieth Legislature Second Regular Session 2012
|
|
HB 2239 |
|
|
|
Introduced by Representative Heinz
|
AN ACT
Amending sections 14-2103, 14-2106, 14-3203, 14-5311, 14-5410, 23-1046, 36‑831, 36-848 and 36-3201, Arizona Revised Statutes; amending title 14, Arizona Revised Statutes, by adding chapter 13; relating to designated beneficiaries.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 14-2103, Arizona Revised Statutes, is amended to read:
14-2103. Heirs other than surviving spouse; share in estate
Any part of the intestate estate not passing to the decedent's surviving spouse under section 14‑2102 or the entire intestate estate if there is no surviving spouse passes in the following order to the following persons who survive the decedent:
1. To the decedent's designated beneficiary who was designated by the decedent to be the decedent's beneficiary for purposes of intestate succession pursuant to a designated beneficiary agreement that has been executed and recorded pursuant to chapter 13 of this title.
1. 2. To the decedent's descendants by representation.
2. 3. If there is no surviving descendant, to the decedent's parents equally if both survive or to the surviving parent.
3. 4. If there is no surviving descendant or parent, to the descendants of the decedent's parents or either of them by representation.
4. 5. If there is no surviving descendant, parent or descendant of a parent, but the decedent is survived by one or more grandparents or descendants of grandparents, one-half of the estate passes to the decedent's paternal grandparents equally if both survive or to the surviving paternal grandparent or the descendants of the decedent's paternal grandparents or either of them if both are deceased with the descendants taking by representation. The other one-half passes to the decedent's maternal relatives in the same manner. If there is no surviving grandparent or descendant of a grandparent on either the paternal or the maternal side, the entire estate passes to the decedent's relatives on the other side in the same manner as the one-half.
Sec. 2. Section 14-2106, Arizona Revised Statutes, is amended to read:
14-2106. Passing of estate by representation; assigning of shares; definitions
A. If under section 14‑2103, paragraph 1 2 all or part of a decedent's intestate estate passes by representation to the decedent's descendants, that estate is divided into as many equal shares as there are surviving descendants in the generation nearest to the decedent that contains one or more surviving descendants and to deceased descendants in the same generation who left any surviving descendants. Each surviving descendant in the nearest generation is allocated one share. Any remaining shares are combined and then divided in the same manner among the surviving descendants of the deceased descendants as if the surviving descendants who were allocated a share and their surviving descendants had predeceased the decedent.
B. If under section 14‑2103, paragraph 3 4 or 4 5 all or part of a decedent's intestate estate passes by representation to the descendants of either of the decedent's deceased parents or to the descendants of either of the decedent's deceased paternal or maternal grandparents, all or part of the estate is divided into as many equal shares as there are surviving descendants in the generation nearest the deceased parents or either of them, or the deceased grandparents or either of them, that contains one or more surviving descendants and to deceased descendants in the same generation who left any surviving descendants. Each surviving descendant in the nearest generation is allocated one share. Any remaining shares are combined and then divided in the same manner among the surviving descendants of the deceased descendants as if the surviving descendants who were allocated a share and their surviving descendants had predeceased the decedent.
C. For the purposes of this section:
1. "Deceased descendant", "deceased parent" or "deceased grandparent" means a descendant, parent or grandparent who either predeceased the decedent or is deemed to have predeceased the decedent under section 14‑2104.
2. "Surviving descendant" means a descendant who neither predeceased the decedent nor is deemed to have predeceased the decedent under section 14‑2104.
Sec. 3. Section 14-3203, Arizona Revised Statutes, is amended to read:
14-3203. Priority among persons seeking appointment as personal representative
A. Whether the proceedings are formal or informal, persons who are not disqualified have priority for appointment in the following order:
1. The person with priority as determined by a probated will including a person nominated by a power conferred in a will.
2. The surviving spouse of the decedent who is a devisee of the decedent.
3. A person nominated to be a personal representative by a power conferred in a designated beneficiary agreement pursuant to chapter 13 of this title.
3. 4. Other devisees of the decedent.
4. 5. The surviving spouse of the decedent.
5. 6. Other heirs of the decedent.
6. 7. If the decedent was a veteran or the spouse or child of a veteran, the department of veterans' services.
7. 8. Forty‑five days after the death of the decedent, any creditor.
8. 9. The public fiduciary.
B. An objection to an appointment can be made only in formal proceedings. In case of objection the priorities stated in subsection A of this section apply, except that:
1. If the estate appears to be more than adequate to meet exemptions and costs of administration but inadequate to discharge anticipated unsecured claims, the court, on petition of creditors, may appoint any qualified person.
2. In case of objection to appointment of a surviving spouse, other than one whose priority is determined by will, by an heir or devisee appearing to have a substantial interest in the estate, and the surviving spouse is found by the court to be unsuitable, the court may appoint a person who is acceptable to heirs and devisees, whose interests in the estate appear to be worth in total more than half of the probable distributable value or, in default of this accord, any suitable person.
3. In case of objection to appointment of a person who is not a surviving spouse, other than one whose priority is determined by will, by an heir or devisee appearing to have a substantial interest in the estate, the court may appoint a person who is acceptable to heirs and devisees whose interests in the estate appear to be worth in total more than half of the probable distributable value, or, in default of this accord any suitable person.
C. A person entitled to letters under subsection A, paragraphs 2 through 5 6 of this section and a person age fourteen and over who would be entitled to letters but for the person's age may nominate a qualified person to act as personal representative. Any person age eighteen and over may renounce the person's right to nominate or to an appointment by appropriate writing filed with the court. If two or more persons share a priority, those of them who do not renounce must concur in nominating another to act for them, or in applying for appointment.
D. Conservators of the estates of protected persons, or if there is no conservator, any guardian except a guardian ad litem of a minor or incapacitated person, may exercise the same right to nominate, to object to another's appointment, or to participate in determining the preference of a majority in interest of the heirs and devisees that the protected person or ward would have if qualified for appointment.
E. Formal proceedings are required to appoint a personal representative in any of the following situations:
1. If there is a person with a higher order of priority who has not renounced or waived the person's right by appropriate writing filed with the court.
2. If a priority is shared by two or more persons, as devisees under subsection A, paragraph 3 4 of this section, or as heirs under subsection A, paragraph 5 6 of this section, and one or more of them has not renounced or concurred in nominating the person whose appointment is applied for.
3. If appointment is sought for a person who does not have any priority under this section, under this paragraph the court shall determine that those having priority do not object to the appointment, and that administration is necessary.
F. A person is not qualified to serve as a personal representative who is:
1. Under the age of majority as defined in section 1‑215.
2. A person whom the court finds unsuitable in formal proceedings.
3. A foreign corporation.
G. A personal representative appointed by a court of the decedent's domicile has priority over all other persons except if the decedent's will nominates different persons to be personal representative in this state and in the state of domicile. The domiciliary personal representative may nominate another, who shall have the same priority as the domiciliary personal representative.
H. This section governs priority for appointment of a successor personal representative but does not apply to the selection of a special administrator.
Sec. 4. Section 14-5311, Arizona Revised Statutes, is amended to read:
14-5311. Who may be guardian; priorities
A. Any qualified person may be appointed guardian of an incapacitated person, subject to the requirements of section 14‑5106.
B. The court may consider the following persons for appointment as guardian in the following order:
1. A guardian or conservator of the person or a fiduciary appointed or recognized by the appropriate court of any jurisdiction in which the incapacitated person resides.
2. An individual or corporation nominated by the incapacitated person if the person has, in the opinion of the court, sufficient mental capacity to make an intelligent choice.
3. The person nominated to serve as guardian in the incapacitated person's most recent durable power of attorney or health care power of attorney or in a designated beneficiary agreement made pursuant to chapter 13 of this title.
4. The spouse of the incapacitated person.
5. An adult child of the incapacitated person.
6. A parent of the incapacitated person, including a person nominated by will or other writing signed by a deceased parent.
7. Any relative of the incapacitated person with whom the incapacitated person has resided for more than six months before the filing of the petition.
8. The nominee of a person who is caring for or paying benefits to the incapacitated person.
9. If the incapacitated person is a veteran, the spouse of a veteran or the minor child of a veteran, the department of veterans' services.
10. A fiduciary who is licensed pursuant to section 14‑5651, other than a public fiduciary.
11. A public fiduciary who is licensed pursuant to section 14-5651.
C. A person listed in subsection B, paragraph 4, 5, 6, 7 or 8 of this section may nominate in writing a person to serve in that person's place. With respect to persons who have equal priority, the court shall select the one the court determines is best qualified to serve.
D. For good cause the court may pass over a person who has priority and appoint a person who has a lower priority or no priority. For the purposes of this subsection, "good cause" includes a determination that:
1. The incapacitated person's durable power of attorney or health care power of attorney is invalid.
2. Honoring the incapacitated person's durable power of attorney or health care power of attorney would not be in the physical, emotional or financial best interest of the incapacitated person.
3. The estimated cost of the fiduciary and associated professional fees would adversely affect the ability of the incapacitated person's estate to provide for the incapacitated person's reasonable and necessary living expenses.
E. On a request by a person who was passed over by the court pursuant to subsection D of this section, the court shall make a specific finding regarding the court's determination of good cause and why the person was not appointed. The request must be made within ten days after the entry of the order.
Sec. 5. Section 14-5410, Arizona Revised Statutes, is amended to read:
14-5410. Who may be appointed conservator; priorities
A. The court may appoint an individual or a corporation, with general power to serve as trustee, as conservator of the estate of a protected person subject to the requirements of section 14‑5106. The following are entitled to consideration for appointment in the order listed:
1. A conservator, guardian of property or other like fiduciary appointed or recognized by the appropriate court of any other jurisdiction in which the protected person resides.
2. An individual or corporation nominated by the protected person if the protected person is at least fourteen years of age and has, in the opinion of the court, sufficient mental capacity to make an intelligent choice.
3. The person nominated to serve as conservator in the protected person's most recent durable power of attorney or in a designated beneficiary agreement made pursuant to chapter 13 of this title.
4. The spouse of the protected person.
5. An adult child of the protected person.
6. A parent of the protected person, or a person nominated by the will of a deceased parent.
7. Any relative of the protected person with whom the protected person has resided for more than six months before the filing of the petition.
8. The nominee of a person who is caring for or paying benefits to the protected person.
9. If the protected person is a veteran, the spouse of a veteran or the minor child of a veteran, the department of veterans' services.
10. A fiduciary who is licensed pursuant to section 14‑5651, other than a public fiduciary.
11. A public fiduciary who is licensed pursuant to section 14‑5651.
B. A person listed in subsection A, paragraph 4, 5, 6, 7 or 8 of this section may nominate in writing a person to serve in that person's place. With respect to persons having equal priority, the court shall select the one it determines is best qualified to serve. The court, for good cause, may pass over a person having priority and appoint a person having a lower priority or no priority. For the purposes of this subsection, "good cause" includes a determination that:
1. The protected person's durable power of attorney is invalid.
2. Honoring the protected person's durable power of attorney would not be in the physical, emotional or financial best interest of the protected person.
3. The estimated cost of the fiduciary and associated professional fees would adversely affect the ability of the person's estate to provide for the protected person's reasonable and necessary living expenses.
C. On the request of a person who was passed over by the court pursuant to subsection B of this section, the court shall make a specific finding regarding the court's determination of good cause and why the person was not appointed. The request must be made within ten days after the entry of the order.
Sec. 6. Title 14, Arizona Revised Statutes, is amended by adding chapter 13, to read:
CHAPTER 13
DESIGNATED BENEFICIARIES
ARTICLE 1. GENERAL PROVISIONS
14-13101. Definitions
In this article, unless the context otherwise requires:
1. "Designated beneficiary" means a person who has entered into a designated beneficiary agreement.
2. "Designated beneficiary agreement" means an agreement that is entered into by two people for the purpose of designating each person as the beneficiary of the other person and for the purpose of ensuring that each person has certain rights and financial protections based on the designation.
3. "Superseding legal document" means a legal document, regardless of the date of execution, that is valid and enforceable and that conflicts with all or a portion of a designated beneficiary agreement and causes the designated beneficiary agreement in whole or in part to be replaced or set aside. A superseding legal document includes:
(a) A will.
(b) A codicil.
(c) A power of attorney.
(d) A medical durable power of attorney.
(e) A trust instrument.
(f) A beneficiary designation in an insurance policy or policy of health care coverage.
(g) A beneficiary designation in a retirement or pension plan.
(h) A beneficiary designation for a deposit or account, including demand, savings and time deposit accounts.
(i) A declaration as to medical treatment executed pursuant to title 36, chapter 32.
(j) A declaration as to disposition of a dead person's remains.
14-13102. Requirements for a valid designated beneficiary agreement
A. A designated beneficiary agreement is legally recognized if:
1. The parties to the designated beneficiary agreement satisfy all of the following criteria:
(a) Both are at least eighteen years of age.
(b) Both are competent to enter into a contract.
(c) Neither party is married to another person.
(d) Neither party is a party to another designated beneficiary agreement.
(e) Both parties enter into the designated beneficiary agreement without force, fraud or duress.
2. The agreement is in substantial compliance with the requirements prescribed in this article. For the purposes of this paragraph, "substantial compliance" means that the agreement includes the disclaimer contained in section 14-13104, the instructions and headings about how to grant or withhold a right or protection, the statements about the effective date of the agreement and how to record the agreement, the signatures for the two parties and the acknowledgments for the notary public.
B. A designated beneficiary agreement is legally sufficient under this article if:
1. The wording of the designated beneficiary agreement complies substantially with the standard form prescribed in section 14-13104.
2. The designated beneficiary agreement is properly completed and signed.
3. The designated beneficiary agreement is acknowledged.
4. The designated beneficiary agreement is recorded in the office of the county recorder pursuant to section 14-13105.
14-13103. Effects and applicability of a designated beneficiary agreement
A. A person named as a designated beneficiary in a designated beneficiary agreement may exercise the rights and protections specified in the agreement by virtue of having been named as a designated beneficiary.
B. A designated beneficiary agreement that is properly executed and recorded pursuant to this article is valid and legally enforceable in the absence of a superseding legal document that conflicts with the provisions specified in the designated beneficiary agreement.
C. A designated beneficiary agreement permits the parties to exercise the following rights and to enjoy the following protections, unless specifically excluded from the designated beneficiary agreement:
1. To acquire, hold title to, own jointly or transfer inter vivos or at death real or personal property as joint tenants with right of survivorship or as tenants in common.
2. To be designated as a beneficiary, payee or owner as a trustee named in an inter vivos or testamentary trust for the purposes of a nonprobate transfer on death.
3. For the purposes of the following benefits, to be designated as a beneficiary and recognized as a dependent if notice is given in accordance with any applicable statute, rule, contract, policy, procedure or other government document of the following benefits:
(a) The Arizona state retirement system.
(b) Local government firefighter and police pensions.
(c) Insurance policies for life insurance coverage.
(d) Health insurance policies or health coverage if the employer of the designated beneficiary elects to provide coverage for designated beneficiaries as dependents.
4. To petition for and have priority for appointment as a conservator, guardian or personal representative for the other designated beneficiary.
5. To visitation by the other designated beneficiary in a hospital, nursing home, hospice or similar health care facility in which a party to a designated beneficiary resides or is receiving care, including the right to initiate a formal complaint alleging a violation of the rights of nursing home patients.
6. To act as a surrogate decision maker to make medical treatment decisions for the other designated beneficiary as if selected pursuant to title 36, chapter 32.
7. To receive notice of the withholding or withdrawal of life‑sustaining procedures for the other designated beneficiary pursuant to title 36, chapter 32 and the right to challenge the validity of a declaration as to medical or surgical treatment of the other designated beneficiary pursuant to title 36, chapter 32.
8. With respect to the other designated beneficiary, to act as an agent and to make, revoke or object to anatomical gifts pursuant to section 36-848.
9. To inherit real or personal property from the other designated beneficiary through intestate succession.
10. To have standing to receive benefits pursuant to the workers' compensation laws of this state, made on behalf of the other designated beneficiary.
11. To have standing to sue for wrongful death on behalf of the other designated beneficiary.
12. To direct the disposition of the other designated beneficiary's remains pursuant to section 36-831.
D. This article does not create any rights, protections or responsibilities for designated beneficiaries that are not specifically enumerated in the designated beneficiary agreement as authorized in this article.
E. This article does not create evidence of a party's intent to form a common law marriage.
F. Execution of a designated beneficiary agreement does not impede the ability of a person to make specific determinations as to any or all of the matters specified in this article by acting through superseding legal documents or other contracts or instruments.
G. If a superseding legal document is found to be invalid or unenforceable, the designated beneficiary agreement controls despite the attempt to supersede its provisions.
14-13104. Statutory form of a designated beneficiary agreement
A. A designated beneficiary agreement shall be in the following form:
DESIGNATED BENEFICIARY AGREEMENT DISCLAIMER
Warning: While this document may indicate your wishes, certain additional documents may be needed to protect these rights.
This designated beneficiary agreement is operative in the absence of other estate planning documents and will be superseded and set aside to the extent it conflicts with valid instruments such as a will, power of attorney or beneficiary designation on an insurance policy or pension plan. This designated beneficiary agreement is superseded by these other documents and does not cause any changes to be made to those documents or designations. The parties understand that executing and signing this agreement is not sufficient to designate the other party for purposes of any insurance policy, pension plan, payable on death designation or manner in which title to property is held and that the parties must take additional action if they wish to make or change these designations. The parties understand that this designated beneficiary agreement may be one component of estate planning instructions and that they are encouraged to consult an attorney to ensure their estate planning wishes are accomplished.
We, _______________, (insert full name and address) referred to as party A, and _______________, (insert full name and address) referred to as party B, by this document designate each other as the other's designated beneficiary with the following rights and protections, granted or withheld as indicated by our initials:
(To grant or deny a right or protection described in a specific paragraph, initial either "Accept" or "Deny" below that paragraph.)
1. The right to acquire, hold title to, own jointly or transfer inter vivos or at death real or personal property as a joint tenant with me with right of survivorship or as a tenant in common with me.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
2. The right to be designated by me as a beneficiary, payee or owner as a trustee named in an inter vivos or testamentary trust for the purposes of a nonprobate transfer on death.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
3. The right to be designated by me as a beneficiary and recognized as a dependent in an insurance policy for life insurance.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
4. The right to be designated by me as a beneficiary and recognized as a dependent in a health insurance policy if my employer elects to provide health insurance coverage for designated beneficiaries.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
5. The right to be designated by me as a beneficiary in a retirement or pension plan.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
6. The right to petition for and have priority for appointment as a conservator, guardian or personal representative for me.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
7. The right to visit me in a hospital, nursing home, hospice or similar health care facility in which a party to a designated beneficiary agreement resides or is receiving care.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
8. The right to initiate a formal complaint regarding alleged violations of my rights as a nursing home patient.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
9. The right to act as a surrogate decision maker to make medical care decisions for me pursuant to title 36, chapter 32, Arizona Revised Statutes.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
10. The right to notice of the withholding or withdrawal of life-sustaining procedures for me pursuant to title 36, chapter 32, Arizona Revised Statutes.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
11. The right to challenge the validity of a declaration as to medical or surgical treatment of me pursuant to title 36, chapter 32, Arizona Revised Statutes.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
12. The right to act as my agent to make, revoke or object to anatomical gifts involving my person pursuant to section 36‑848, Arizona Revised Statutes.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
13. The right to inherit real or personal property from me through intestate succession.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
14. The right to have standing to receive benefits pursuant to the workers' compensation laws of Arizona if I die on the job.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
15. The right to have standing to sue as a plaintiff for my wrongful death.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
16. The right to direct the disposition of my last remains pursuant to section 36-831, Arizona Revised Statutes.
Party A: Accept___ Deny___ Party B: Accept___ Deny___
This designated beneficiary agreement is effective when it is filed in the office of the county recorder of the county in which one of the designated beneficiaries resides.
This designated beneficiary agreement continues in effect until one of the designated beneficiaries revokes this agreement by recording a revocation of designated beneficiary form in the office of the county recorder of the county in which this agreement was recorded or until this agreement is superseded in part or in whole by a superseding legal document.
___________________________ Signature of designated beneficiary
___________________________ Signature of designated beneficiary
STATE OF Arizona
County of ______________
This document was subscribed, sworn to and acknowledged before me on ___________ date
By __________________________
_____________________________
My commission expires ______________
[Seal]
Notary Public
B. The instructions to each party regarding how to grant or withhold a right or protection by initialing and the words "Party A" and "Party B" must appear at the top of each page of the statutory form.
C. A designated beneficiary agreement is presumed to extend all of the rights and protections listed in the statutory form unless the parties to the agreement explicitly exclude a right or protection.
D. A party to a designated beneficiary agreement may limit the scope of a designated beneficiary agreement by the terms of the agreement or by executing a superseding legal document that controls and supersedes part or all of the designated beneficiary agreement.
14-13105. Recording of agreement; duties of county recorder; public inspection
A. A signed and acknowledged designated beneficiary agreement must be recorded in the office of the county recorder of the county in which one of the parties to the agreement resides. The designated beneficiary agreement is effective as of the date and time it is recorded in the office of the county recorder. The county recorder may require the person recording the designated beneficiary agreement to indicate the mailing address to which the original document should be returned after it is recorded.
B. The county recorder may make available copies of the statutory forms as prescribed in sections 14-13104 and 14-13109.
C. The county recorder must:
1. Indicate on the designated beneficiary agreement or a revocation of a designated beneficiary agreement the date and time that it is recorded with the clerk and recorder.
2. Issue two certified copies of the recorded designated beneficiary agreement that indicate the date and time of the recording.
3. Issue replacement certified copies of a designated beneficiary agreement or a revocation of a designated beneficiary agreement on payment of a replacement fee.
D. Designated beneficiary agreements and revocations of designated beneficiary agreements are open to public inspection.
14-13106. Designated beneficiary agreements; effect on other legal documents; conflicting documents
A. The execution of a designated beneficiary agreement does not constitute evidence of an intent to revoke a prior will or codicil and does not affect any beneficiary designation, transfer or bequest contained in any other legal documents.
B. To the extent there is a conflict between a superseding legal document and a designated beneficiary agreement, the superseding legal document controls.
14-13107. Affirmation of validity of designated beneficiary agreement
A person who exercises rights or protections pursuant to a designated beneficiary agreement affirms the validity of a designated beneficiary agreement and must disclose any knowledge of any superseding legal documents.
14-13108. Civil immunity
A third party who acts in good faith reliance on the affirmation of the existence of a valid designated beneficiary agreement is not subject to civil liability or administrative discipline for that reliance.
14-13109. Revocation of a designated beneficiary agreement; form
A. Either party to a designated beneficiary agreement that has been recorded pursuant to this article may unilaterally revoke the agreement by recording a revocation with the county recorder of the county in which the agreement was recorded. The person who wishes to revoke the agreement must date, sign and acknowledge the revocation. The revocation is effective on the date and time the revocation is recorded by the county recorder. The county recorder shall issue a certified copy to the party recording the revocation and shall mail a certified copy of the revocation to the last known address of the other party to the designated beneficiary agreement.
B. A designated beneficiary agreement is deemed revoked on the marriage of either party. In the case of a common law marriage, a designated beneficiary agreement is deemed revoked as of the date the court determines that a valid common law marriage exists.
C. A revocation of a designated beneficiary agreement shall be in the following form:
REVOCATION OF DESIGNATED BENEFICIARY AGREEMENT
I, _______________ (insert your full name), reside at _____________ (insert your current address). On _______________ (insert the date), I entered into a designated beneficiary agreement with the following person _____________ (insert the other person's name) whose last known address is _____________ and designated that person as a designated beneficiary. This designated beneficiary agreement was recorded on ________________ (insert the date) in the county of ________________. The indexing file number of the designated beneficiary agreement is _____________. I revoke that designated beneficiary agreement, effective on the date and time that this revocation is recorded by the county recorder of _______________________ county.
_______________________ _______________________
NAME DATE
State of Arizona
County of __________
This document was subscribed, sworn to and acknowledged before me on __________________ date
By _____________________________
My commission expires __________
[Seal]
________________________________
Notary Public
This revocation of designated beneficiary agreement was recorded in my office on __________________, at _____'clock and, pursuant to section 14-13109, Arizona Revised Statutes, I mailed a copy of this revocation of designated beneficiary agreement to ____________ at the address contained in this revocation of designated beneficiary agreement.
_____________________________ Clerk of
_____________________________ County
By: ______________________________
14-13110. Death of a designated beneficiary; effect on agreement
A. A designated beneficiary agreement terminates on the death of either party to that agreement except that a right or power that a designated beneficiary agreement conferred on a designated beneficiary survives the death of the other designated beneficiary.
B. A party to a designated beneficiary agreement who survives a designated beneficiary may enter into a designated beneficiary agreement with a different person if that agreement meets the requirements of this article.
Sec. 7. Section 23-1046, Arizona Revised Statutes, is amended to read:
23-1046. Death benefits
A. In case of an injury causing death, the compensation therefor shall be known as a death benefit and shall be payable in the amount, for the period, and to and for the benefit of the following:
1. Burial expenses, not to exceed five thousand dollars, in addition to the compensation.
2. To the surviving spouse, if there are no children, sixty‑six and two‑thirds per cent of the average monthly wage of the deceased, to be paid until such spouse's death or remarriage, with two years' compensation in one sum upon remarriage. To the surviving spouse if there are surviving children, thirty‑five per cent of the average monthly wage of the deceased, to be paid until such spouse's death or remarriage with two years' compensation in one sum upon remarriage, and to the surviving children, an additional thirty‑one and two‑thirds per cent of the average monthly wage, to be divided equally among them until the age of eighteen years, until the age of twenty‑two years if the child is enrolled as a full‑time student in any accredited educational institution, or if over eighteen years and incapable of self‑support when the child becomes capable of self‑support. When all surviving children are no longer eligible for benefits, the surviving spouse's benefits shall be paid as if there were no children. In the event of the subsequent death or remarriage of the surviving spouse, the surviving child's or children's benefits shall be computed pursuant to paragraph 3 4.
3. To the surviving designated beneficiary, if there are no children, sixty‑six and two‑thirds per cent of the average monthly wage of the deceased, to be paid until the surviving designated beneficiary's death or until the surviving designated beneficiary no longer is qualified as a designated beneficiary pursuant to title 14, chapter 13. To the designated beneficiary if there are surviving children, thirty‑five per cent of the average monthly wage of the deceased, to be paid until the designated beneficiary's death or until the surviving designated beneficiary no longer is qualified as a designated beneficiary pursuant to title 14, chapter 13, and to the surviving children, an additional thirty‑one and two‑thirds per cent of the average monthly wage, to be divided equally among them until the age of eighteen years, until the age of twenty‑two years if the child is enrolled as a full‑time student in any accredited educational institution, or if over eighteen years and incapable of self‑support when the child becomes capable of self‑support. When all surviving children are no longer eligible for benefits, the surviving designated beneficiary's benefits shall be paid as if there were no children. In the event of the subsequent death or disqualification of the surviving designated beneficiary, the surviving child's or children's benefits shall be computed pursuant to paragraph 4.
3. 4. To a single surviving child, in the case of the subsequent death or remarriage of a surviving husband or wife, or if there is no surviving husband or wife, sixty‑six and two‑thirds per cent of the average monthly wage of the deceased, or if there is more than one surviving child, sixty‑six and two‑thirds per cent to be divided equally among the surviving children. Compensation to any such child shall cease upon death, upon marriage or upon reaching the age of eighteen years, except, if over eighteen years and incapable of self‑support, when he becomes capable of self‑support, or if over eighteen years of age and enrolled as a full‑time student in any accredited educational institution, when the child reaches age twenty‑two.
4. 5. To a parent, if there is no surviving husband, wife or child under the age of eighteen years, if wholly dependent for support upon the deceased employee at the time of his death, twenty‑five per cent of the average monthly wage of the deceased during dependency, with an added allowance of fifteen per cent if two dependent parents survive, and, if neither parent is wholly dependent, but one or both partly dependent, fifteen per cent divided between them share and share alike.
5. 6. To brothers or sisters under the age of eighteen years, if there is no surviving husband or wife, dependent children under the age of eighteen years or dependent parent, the following shall govern:
(a) If one of the brothers or sisters is wholly dependent upon the deceased employee for support at the time of injury causing death, twenty‑five per cent of the average monthly wage until the age of eighteen years.
(b) If more than one brother or sister is wholly dependent, thirty‑five per cent of the average monthly wage at the time of injury causing death, divided among such dependents share and share alike.
(c) If none of the brothers or sisters is wholly dependent, but one or more are partly dependent, fifteen per cent divided among such dependents share and share alike.
B. If the deceased employee leaves dependents only partially dependent upon his earnings for support at the time of the injury, the monthly compensation shall be equal to such proportion of the monthly payments for the benefit of persons totally dependent as the amount contributed by the employee to such partial dependents bears to the average wage of the deceased at the time of the injury resulting in his death. The duration of compensation to partial dependents shall be fixed by the commission in accordance with the facts shown, and in accordance with the provisions of section 23‑1047, but shall in no case exceed compensation for one hundred months.
C. In the event of death of a dependent before expiration of the time named in the award, the funeral expenses of such person, not to exceed eight hundred dollars, shall be paid.
Sec. 8. Section 36-831, Arizona Revised Statutes, is amended to read:
36-831. Burial duties; notification requirements; failure to perform duty; definitions
A. Except as provided pursuant to subsection I or J of this section, the duty of burying the body of or providing other funeral and disposition arrangements for a dead person devolves in the following order:
1. If the dead person was married, on the surviving spouse unless:
(a) The dead person was legally separated from the person's spouse.
(b) A petition for divorce or for legal separation from the dead person's spouse was filed before the person's death and remains pending at the time of death.
2. The person who is designated as having power of attorney for the decedent in the decedent's most recent durable power of attorney.
3. A designated beneficiary who was designated in a designated beneficiary agreement pursuant to title 14, chapter 13 as having the right to direct the disposition of the decedent's remains.
3. 4. If the dead person was a minor, on the parents.
4. 5. On the adult children of the dead person.
5. 6. On the dead person's parent.
6. 7. On the dead person's adult sibling.
7. 8. On the dead person's adult grandchild.
8. 9. On the dead person's grandparent.
9. 10. On an adult who exhibited special care and concern for the dead person.
10. 11. On the person who was acting as the guardian of the person of the dead person at the time of death.
11. 12. On any other person who has the authority to dispose of the dead person's body.
12. 13. If none of the persons named in paragraphs 1 through 11 12 of this subsection is financially capable of providing for the burial or other funeral and disposition arrangements, or cannot be located on reasonable inquiry, on any person or fraternal, charitable or religious organization willing to assume responsibility.
13. 14. If the dead person was a prisoner in the custody of the state department of corrections at the time of death and none of the persons named in paragraphs 1 through 11 12 of this subsection is willing to provide for the burial or other funeral and disposition arrangements, or cannot be located on reasonable inquiry, on the state department of corrections.
B. During a person's life, the person's family members that are listed in subsection A of this section may sign a waiver of decision making that waives their rights under this section relating to the disposition of the person's body when the person dies.
C. If none of the persons named in subsection A of this section is willing or financially able to bury or provide other funeral and disposition arrangements for a dead person, or if the person cannot be located after reasonable efforts have been made to do so, the county in which death occurs shall bury or place in a permanent care crypt the dead body or cremated remains of a dead body. If the decedent is known to be an honorably discharged veteran or the surviving spouse of an honorably discharged veteran, the county shall notify the veterans' administration United States department of veterans affairs or a local veteran's organization, or both, of the death and give the department or that organization the opportunity to provide for the person's burial or for other funeral and disposition arrangements. If the United States department of veterans affairs or the local veteran's organization is unable to provide for the burial of the veteran or the surviving spouse, the county shall ensure that the decedent is properly interred and that burial is made in a veterans' cemetery or a portion of a cemetery that is designated for the burial of veterans and spouses of veterans.
D. If there is more than one member of a category listed in subsection A, paragraph 3, 4, 5, 6, 7, 8, or 9 or 10 of this section entitled to serve as the authorizing agent, final arrangements may be made by any member of that category unless that member knows of any objection by another member of the category. If an objection is known, final arrangements shall be made by a majority of the members of the category who are reasonably available.
E. If the county medical examiner or person performing the duties of the county medical examiner knows that the dead person is a member of a federally recognized Native American tribe located in this state, the county medical examiner or person performing the duties of the county medical examiner must notify the tribe and give the tribe the opportunity to provide for the person's burial or other funeral and disposition arrangements. If an autopsy is required by section 11‑597, the county medical examiner or person performing the duties of the county medical examiner, if possible, shall complete the autopsy and return the remains to the federally recognized Native American tribe located in this state within four calendar days after the determined date of death.
F. A person on whom the duty prescribed in subsection A of this section is imposed who omits or is unwilling to perform that duty within a reasonable time or is prohibited from performing that duty under subsection I of this section is liable to the person performing the duty in an amount of two times the expenses the person incurred in providing for the burial or other funeral and disposition arrangements. The person who performs this duty may recover this amount in a civil action.
G. Notwithstanding the probate requirements of title 14, if a county is required to bury a person pursuant to subsection C of this section, the county may recover the burial costs from the decedent's estate. A financial institution in possession of monies in an account in the decedent's name must reimburse the county for the burial costs on presentation by the county of an affidavit that certifies:
1. The date of the decedent's death.
2. That, pursuant to this section, the county performed the decedent's burial.
3. The total burial costs incurred by the county.
H. A person, a corporation or an agency of government that provides for the burial or other funeral and disposition arrangements on the instructions of a person described in subsection A of this section is immune from civil liability:
1. For failing to honor the wishes of the decedent or the wishes of a person who has a higher priority in subsection A or C of this section if the person, corporation or agency of government was not aware, after reasonable inquiry, of the contrary wishes.
2. For refusing to follow conflicting directions of persons who have the same priority in subsection A of this section.
3. For following directions of a personal representative that are consistent with the written testamentary instructions of the decedent.
I. The duty to bury or to provide other funeral and disposition arrangements devolves to the next person in the order prescribed pursuant to subsection A of this section if the person who is otherwise responsible for performing this duty is charged with the criminal death of the person to whom the duty is owed. The person who performs this duty may recover costs as prescribed in subsection F of this section. If the charges against the person on whom this duty originally fell are subsequently dismissed or are resolved in that person's favor on the merits, the person is responsible for only the actual costs.
J. If the decedent died while serving in any branch of the United States armed forces, the United States reserve forces or the national guard, and completed a United States department of defense record of emergency data, DD form 93, or its successor form, the duty to bury the decedent or to provide other funeral and disposition arrangements for the decedent devolves on the person authorized by the decedent pursuant to that form.
K. For the purposes of this section, "person" includes a natural person, a corporation, a company, a partnership, a firm, an association, a society, the United States, this state, any territory, state or country, an Arizona federally recognized Native American tribe, any political subdivision of this state or a public or private corporation or partnership or association.
L. For the purposes of this article, "burial" includes cremation.
Sec. 9. Section 36-848, Arizona Revised Statutes, is amended to read:
36-848. Who may make anatomical gift of decedent's body or part
A. Subject to the requirements of subsections B and C of this section, and unless barred pursuant to section 36‑846 or 36‑847, an anatomical gift for transplantation, therapy, research or education may be made by any member of the following classes of persons who is reasonably available, in the order of priority listed:
1. An agent of the decedent at the time of death who could have made an anatomical gift pursuant to section 36‑843 immediately before the decedent's death.
2. The decedent's spouse.
3. A person who is designated by the decedent as a designated beneficiary pursuant to title 14, chapter 13 with the right to make, revoke or object to anatomical gifts of the decedent.
3. 4. The decedent's adult children.
4. 5. The decedent's parents.
5. 6. If the decedent is unmarried, the decedent's domestic partner, if another person had not assumed financial responsibility for the decedent.
6. 7. The decedent's adult siblings.
7. 8. The decedent's adult grandchildren.
8. 9. The decedent's grandparents.
9. 10. An adult who exhibited special care and concern for the decedent.
10. 11. The persons who were acting as the guardians of the person of the decedent at the time of death.
11. 12. Any other person who has the authority to dispose of the decedent's body.
B. If there is more than one member of a class that is listed in subsection A, paragraph 1, 3, 4, 5, 6, 7, 8, 9 or 10 11 of this section who is entitled to make an anatomical gift, an anatomical gift may be made by a member of the class unless that member or a person to which the gift may pass pursuant to section 36‑850 knows of an objection by another member of the class. If an objection is known, the gift may be made only by a majority of the members of the class who are reasonably available.
C. A person may not make an anatomical gift if, at the time of the decedent's death, a person in a prior class pursuant to subsection A of this section is reasonably available to make or to object to the making of an anatomical gift.
D. If the decedent's body is not within the custody of the county medical examiner, the county health officer may release and permit the removal of any part from the body in the county health officer's custody for transplantation, therapy, education or research if the requirements of section 36‑860, subsection A, are met.
Sec. 10. Section 36-3201, Arizona Revised Statutes, is amended to read:
36-3201. Definitions
In this chapter, unless the context otherwise requires:
1. "Agent" means an adult who has the authority to make health care treatment decisions for another person, referred to as the principal, pursuant to a health care power of attorney.
2. "Artificially administered" means providing food or fluid through a medically invasive procedure.
3. "Attending physician" means a physician who has the primary responsibility for a principal's health care.
4. "Comfort care" means treatment given in an attempt to protect and enhance the quality of life without artificially prolonging that life.
5. "Health care directive" means a document drafted in substantial compliance with this chapter, including a mental health care power of attorney, to deal with a person's future health care decisions.
6. "Health care power of attorney" means a written designation of an agent to make health care decisions that meets the requirements of section 36‑3221 and that comes into effect and is durable as provided in section 36‑3223, subsection A.
7. "Health care provider" means a natural person who is licensed under title 32, chapter 13, 15, 17 or 25, a hospice as defined in section 36‑401 that is licensed under chapter 4 of this title or an organization that is licensed under this title, that renders health care designed to prevent, diagnose or treat illness or injury and that employs persons licensed under title 32, chapter 13, 15, 17 or 25.
8. "Interested person" means the patient, a person listed under section 36‑3231, subsection A, a health care provider directly involved in the patient's medical care or an employee of a health care provider.
9. "Living will" means a statement written either by a person who has not written a health care power of attorney or by the principal as an attachment to a health care power of attorney and intended to guide or control the health care treatment decisions that can be made on that person's behalf.
10. "Mental health care power of attorney" means a written designation of an agency to make mental health care decisions that meets the requirements of section 36‑3281.
11. "Physician" means a doctor of medicine licensed pursuant to title 32, chapter 13 or doctor of osteopathy licensed pursuant to title 32, chapter 17.
12. "Principal" means a person who is the subject of a health care power of attorney.
13. "Surrogate" means a person authorized to make health care decisions for a patient by pursuant to a power of attorney, a court order, or the provisions of section 36‑3231 or title 14, chapter 13.