Doris E. Young, Individually and in Her Capacity as the Administratrix of the Estate of Gary Ray Young v. Gary Douglas Young

Summary

The Supreme Court of Appeals of West Virginia held that an option agreement allowing a decedent’s son to purchase the decedent’s partnership interest for a fixed price lacked valid consideration and functioned as a testamentary disposition. The court further held that the agreement was unenforceable against the surviving spouse for purposes of determining her elective share. The circuit court’s summary judgment was reversed and the case was remanded.

Holdings

1. The option agreement was unsupported by legally sufficient consideration and therefore was unenforceable.
2. The option agreement was a will substitute because it transferred a contract right at death while the decedent retained dominion and enjoyment of the partnership during life.
3. The $50,000 option price was unenforceable against Doris Young for purposes of determining her elective share because the agreement prevented her from receiving the full value of marital property owned by the decedent at death.
4. The full value of the decedent's undivided one-half interest in G&G Investments must be included in the augmented estate for calculating Doris Young's elective share.

Questions Presented

1. Whether the 1987 option agreement was supported by legally sufficient consideration.
2. Whether the option agreement operated as a testamentary disposition or will substitute.
3. Whether the option price could be enforced against a surviving spouse who elected against the intestate share when the price was substantially below the actual value of the partnership interest.
4. Whether the full value of the decedent's partnership interest had to be included in the augmented estate for calculating the surviving spouse's elective share.

Disposition

reversed_and_remanded