Challenging a Changed Bank Account Beneficiary: Undue Influence Claim Survives in Suffolk County
A bank account beneficiary designation can determine who receives substantial funds after a loved one’s death. But what happens when a family member alleges that the designation was changed through pressure or manipulation?
In Templeton v. Perez, Index No. 604665/2020, a Suffolk County Supreme Court decision dated October 7, 2026, allowed an undue influence claim concerning a disputed $300,000 bank account to proceed. Creedon & Gill represents the plaintiff.
The Disputed Beneficiary Change
Our client alleged that his second cousin, used false accusations and undue influence to persuade his stepmother to replace him as the pay-on-death beneficiary of a Chase bank account. He alleged that she exploited his stepmother’s declining mental condition.
The cousin denied wrongdoing. She maintained that the step mother was mentally competent and independently changed the beneficiary after becoming upset with our client over an alleged removal of her property without permission. She asked the court to dismiss the complaint.
Why the Undue Influence Claim Survived
Justice Michael A. Gajdos, Jr., found that she had not eliminated factual disputes concerning whether the beneficiary change resulted from undue influence.
The court identified three significant areas requiring further examination:
Access to finances. Although she denied controlling the elderly stepmother’s finances or knowing she was the beneficiary, the record included testimony attributing statements to her about gaining access to the step mothers checkbook and having authority to sign bills long before she died.
While the Defendant described the step mother as lucid, we produced medical evidence showing that she became mentally weakened and exhibited paranoia following brain surgery.
Consistency with her estate plan. Our client remained the executor and a beneficiary under his step mothers will after the bank account beneficiary was changed. The court found a factual question concerning whether the change departed from her previously expressed intentions.
These disputes prevented dismissal of the undue influence claim on summary judgment. The court did not determine that Perez exerted undue influence or award Ronald damages. The claim remains to be resolved.
These allegations and facts supported the claim that our client’s step mother’s own freedom of choice had been overcome through undue influence.
Looking Beyond the Beneficiary Form
This decision illustrates why a disputed beneficiary change must be examined in context. A court may consider the account owner’s health, dependence on others, financial relationships, and previously expressed intentions.
For families questioning a beneficiary change, the underlying records and surrounding circumstances can be critical. Bank documents, medical records, communications, and witness testimony may help explain whether the change reflected an independent decision.
Creedon & Gill represents clients in contested estate and inheritance matters, including disputes involving allegations of undue influence and changed beneficiary designations.