The widow of a title insurance executive who committed suicide with a nail gun will get nearly half of a $1 million life-insurance policy he signed over to her the day before he died, according to a settlement reached in a long series of court battles.
The policy on Richard Talley had named his company, American Title Services, as its beneficiary until in the garage of the couple’s Aurora home in February 2014.
But Transamerica Life Insurance Co. said Talley had made the change improperly. The company, not knowing he was dead, had mailed him the required forms. The company later deposited the $1 million into a trust account while Talley’s estate, his bankrupt company and the lawyers on each side fought over who got the cash.
In a settlement penned in November 2015 but not yet approved by all parties in federal court — there are several lawsuits over claims Talley misappropriated nearly $3 million of company funds that included policy proceeds on people’s home purchases — Talley’s widow, Cheryl, will get $450,000 of the payout.
The remainder will go to the bankrupt company’s books and eventually to creditors, including Title Resource Guarantee Service, which underwrote the policies Talley sold. .
, the result of six finishing nails fired from a nail gun into his chest and head. His car was running, but no trace of exhaust was found in his system, according to an autopsy.
In the settlement, insurer Lloyd’s of London will pay $175,000 to the trustee overseeing American Title’s bankruptcy case, who will have about $700,000 with
The two-year-plus court battle will come to a close after the agreement is signed off on by several federal judges presiding the various cases.
