Contract analysis

I. INTRODUCTION Petitioner Marguerite D. Fonseca ("Petitioner"), by and through her attorneys of record, Calderwood & Harkness LLP, respectfully petitions this Court for an order confirming that certain life insurance proceeds totaling Five Million Dollars ($5,000,000) are non-probate assets payable directly to Petitioner as the named beneficiary under two policies on the life of the decedent, Teodoro R. Fonseca ("De

II. JURISDICTIONAL AND PROCEDURAL BACKGROUND A. The Court's Jurisdiction This Court has jurisdiction over this proceeding pursuant to California Probate Code Section 17000 et seq., which grants the Superior Court sitting in its probate capacity broad authority to determine questions relating to the administration of decedents' estates, including the authority to determine whether particular property is or is not part

III. THE LIFE INSURANCE POLICIES A. Meridian Mutual Life Insurance Co. — Term Life Policy The first policy at issue in this Petition is a term life insurance policy issued by Meridian Mutual Life Insurance Co., a California-domiciled insurance company. The material terms of this policy are as follows: Issuing Carrier: Meridian Mutual Life Insurance Co. (domiciled in the State of California) Policy Number: GH-TL-2019-

IV. THE LIFE INSURANCE PROCEEDS ARE NON-PROBATE ASSETS A. Legal Framework — California Probate Code and Insurance Code The determination that the life insurance proceeds at issue are not part of the probate estate is compelled by well-settled principles of California statutory and case law governing nonprobate transfers and life insurance beneficiary designations. Under California Probate Code Section 5000 et seq., a

V. THE INSURANCE CARRIERS REQUIRE COURT CONFIRMATION A. Status of Insurance Claims Following the Decedent's death on September 3, 2022, Petitioner promptly submitted death benefit claims to both Meridian Mutual Life Insurance Co. and Commonwealth Fidelity Assurance Corp. through the insurance broker, Garnet Hill Insurance Brokerage Inc. Petitioner submitted all documentation required by each carrier to process the cl

VI. NO LEGITIMATE BASIS EXISTS TO WITHHOLD DISTRIBUTION A. No Applicable Exceptions Under California law, there are limited circumstances in which life insurance proceeds payable to a named beneficiary might be treated as part of the probate estate or otherwise withheld from the named beneficiary. None of those circumstances is present here. The estate is not named as beneficiary. Neither the Meridian Mutual policy n

VII. PRAYER FOR RELIEF WHEREFORE, Petitioner Marguerite D. Fonseca respectfully prays that this Court enter an order as follows:

1. Confirming that the life insurance death benefit proceeds of Three Million Dollars ($3,000,000) payable under Meridian Mutual Life Insurance Co. Term Life Policy No. GH-TL-2019-05582 are non-probate assets, are not part of the Estate of Teodoro R. Fonseca, and are not subject to the probate estate or to the pending contest in this proceeding;

2. Confirming that the life insurance death benefit proceeds of Two Million Dollars ($2,000,000) payable under Commonwealth Fidelity Assurance Corp. Whole Life Policy No. GH-WL-2014-01247 are non-probate assets, are not part of the Estate of Teodoro R. Fonseca, and are not subject to the probate estate or to the pending contest in this proceeding;

3. Directing Meridian Mutual Life Insurance Co. and Commonwealth Fidelity Assurance Corp. to distribute the death benefit proceeds totaling Five Million Dollars ($5,000,000) directly to Petitioner Marguerite D. Fonseca as the named beneficiary under each respective policy, forthwith upon receipt of a certified copy of the Court's order;

4. Declaring that the proceeds of said policies do not constitute assets of the Estate of Teodoro R. Fonseca, are not subject to administration by any estate administrator — including Ashford Fiduciary Services Inc., if appointed as administrator or special administrator of the estate — and are not available for satisfaction of any claims, debts, or obligations of the estate; and

5. Granting such other and further relief as this Court deems just and proper.

VIII. VERIFICATION VERIFICATION I, Marguerite D. Fonseca, am the Petitioner in this matter. I have read the foregoing Petition of Marguerite D. Fonseca for Order Confirming Non-Probate Character of Life Insurance Proceeds and Directing Distribution to Named Beneficiary and know its contents. I declare under penalty of perjury under the laws of the State of California that the foregoing Petition is true and correct to

IX. MEMORANDUM OF POINTS AND AUTHORITIES MEMORANDUM OF POINTS AND AUTHORITIES IN SUPPORT OF PETITION OF MARGUERITE D. FONSECA FOR ORDER CONFIRMING NON-PROBATE CHARACTER OF LIFE INSURANCE PROCEEDS AND DIRECTING DISTRIBUTION TO NAMED BENEFICIARY A. Life Insurance Proceeds Are Non-Probate Transfers Under California Law California law establishes a clear and well-settled framework for the treatment of life insurance proc

X. EXHIBITS / ATTACHMENTS The following exhibits are attached to this Petition and incorporated herein by reference: Exhibit A: Certified copy of the Certificate of Death of Teodoro R. Fonseca, issued by the County of Los Angeles Registrar-Recorder/County Clerk, reflecting date of death of September 3, 2022, and cause of death as cardiac arrest (natural causes). Exhibit B: Copy of Meridian Mutual Life Insurance Co. T

XI. PROOF OF SERVICE PROOF OF SERVICE I, Karen L. Matsuda, declare as follows: I am over the age of eighteen (18) years, am not a party to this action, and am employed in the County of Los Angeles, State of California. My business address is 350 South Grand Avenue, Suite 4800, Los Angeles, California 90071. On January 18, 2023, I served the foregoing PETITION OF MARGUERITE D. FONSECA FOR ORDER CONFIRMING NON-PROBATE

XII. SIGNATURE BLOCK Dated: January 18, 2023 Respectfully submitted, CALDERWOOD & HARKNESS LLP By: ________ Howard Quinn (CA State Bar No. 187622) Responsible Partner Elliot Nguyen (CA State Bar No. 312485) Lead Associate 350 South Grand Avenue, Suite 4800 Los Angeles, California 90071 Telephone: (213) 629-4800 Facsimile: (213) 629-4801 Attorneys for Petitioner Marguerite D. Fonseca

XIII. PROPOSED ORDER SUPERIOR COURT OF THE STATE OF CALIFORNIA FOR THE COUNTY OF LOS ANGELES In re the Estate of TEODORO R. FONSECA, Deceased. [PROPOSED] ORDER CONFIRMING NON-PROBATE CHARACTER OF LIFE INSURANCE PROCEEDS AND DIRECTING DISTRIBUTION TO NAMED BENEFICIARY The Petition of Marguerite D. Fonseca for Order Confirming Non-Probate Character of Life Insurance Proceeds and Directing Distribution to Named Benefici

1. The Petition is supported by adequate evidence demonstrating that the life insurance proceeds described herein are non-probate assets payable to Petitioner Marguerite D. Fonseca as the named beneficiary under two policies on the life of the decedent, Teodoro R. Fonseca.

2. No party has filed any opposition, objection, or competing claim with respect to the life insurance proceeds at issue.

3. The beneficiary designations under both policies are valid, unrevoked, and in full force and effect.

4. The proceeds are non-probate assets within the meaning of California Probate Code Sections 215 and 5000 et seq., and California Insurance Code Section 10172 et seq.

5. Good cause exists for the entry of this Order. IT IS HEREBY ORDERED:

1. The life insurance death benefit of Three Million Dollars ($3,000,000) payable under Meridian Mutual Life Insurance Co. Term Life Policy No. GH-TL-2019-05582 is a non-probate asset within the meaning of California Probate Code Sections 215 and 5000 et seq., is not part of the Estate of Teodoro R. Fonseca, is not subject to probate administration, and shall be paid directly to Marguerite D. Fonseca as the sole name

2. The life insurance death benefit of Two Million Dollars ($2,000,000) payable under Commonwealth Fidelity Assurance Corp. Whole Life Policy No. GH-WL-2014-01247 is a non-probate asset within the meaning of California Probate Code Sections 215 and 5000 et seq., is not part of the Estate of Teodoro R. Fonseca, is not subject to probate administration, and shall be paid directly to Marguerite D. Fonseca as the sole na

3. The aggregate life insurance death benefit proceeds of Five Million Dollars ($5,000,000) payable under the two policies described above are not subject to administration by Ashford Fiduciary Services Inc. or any other personal representative, administrator, or special administrator of the Estate of Teodoro R. Fonseca, and are not available for the satisfaction of any debts, claims, or obligations of the probate es

4. Meridian Mutual Life Insurance Co. and Commonwealth Fidelity Assurance Corp. are hereby directed to release and distribute the death benefit proceeds under their respective policies to Marguerite D. Fonseca forthwith upon receipt of a certified copy of this Order. Upon making such distribution, said carriers shall be fully discharged and released from any further liability with respect to the death benefit proceed

5. This Order shall constitute a final, binding determination of the non-probate character of the life insurance proceeds described herein and of Marguerite D. Fonseca's entitlement to receive such proceeds as the named beneficiary. ________________________________________ Judge of the Superior Court Date: ________ Case No.: 22STPB09714 Dept.: Probate Division Filed: January 18, 2023 PETITION OF MARGUERITE D. FONSECA

II. JURISDICTIONAL AND PROCEDURAL BACKGROUND | 2

III. THE LIFE INSURANCE POLICIES | 5

IV. THE LIFE INSURANCE PROCEEDS ARE NON-PROBATE ASSETS | 7

V. THE INSURANCE CARRIERS REQUIRE COURT CONFIRMATION | 10

VI. NO LEGITIMATE BASIS EXISTS TO WITHHOLD DISTRIBUTION | 12

IX. MEMORANDUM OF POINTS AND AUTHORITIES | 16

X. EXHIBITS / ATTACHMENTS | 22

XI. PROOF OF SERVICE | 23 Policy | Carrier | Death Benefit GH-TL-2019-05582 (Term Life) | Meridian Mutual Life Insurance Co. | $3,000,000 GH-WL-2014-01247 (Whole Life) | Commonwealth Fidelity Assurance Corp. | $2,000,000 Total | $5,000,000 Case No.: 22STPB09714 Dept.: Probate Division