It's rare because it is barred by the standard court order!
Here is a link to the standard preliminary injunction issued in response to an Arizona divorce filing:
https://www.azcourts.gov/Portals/34/Forms/DR14F.doc
Here are some key excerps:
Your spouse has filed a
“Petition for Dissolution” (Divorce) or
“Petition for Annulment” or
“Petition for Legal Separation” with the court. This Order is made at the direction of the Presiding Judge of the Superior Court of Arizona in County. This Order has the same force and effect as any order signed by the judge. You and your spouse
must obey this Order. This Order may be enforced by any remedy available under the law, including an
“Order of Contempt of Court.” To help you understand this Order, we have provided this explanation.
1. ACTIONS FORBIDDEN BY THIS ORDER: From the time the
“Petition for Dissolution” (Divorce) or “
Petition for Annulment” or
“Petition for Legal Separation” is filed with the court, until the judge signs the Decree, or until further order of the court, both the Petitioner and the Respondent
shall not do any of the following things:
ü You may
not hide earnings or community property from your spouse,
AND
ü You may
not take out a loan on the community property,
AND
ü You may
not sell the community property or give it away to someone,
UNLESS you have the written permission of your spouse or written permission from the court. The law allows for situations in which you may need to transfer joint or community property as part of the everyday running of a business, or if the sale of community property is necessary to meet necessities of life, such as food, shelter, or clothing, or court fees and attorney fees associated with this action. If this applies to you, you should see a lawyer for help....
STATUTORY REQUIREMENTS: Arizona Law, A.R.S. §25-315(A) provides:
1(a). RESTRICTIONS ON PROPERTY OF THE MARRIAGE: That both parties are enjoined from transferring, encumbering, concealing, selling, or otherwise disposing of any of the joint, common or community property of the parties,
except if related to the usual course of business, the necessities of life, or court fees and reasonable attorney fees associated with an action filed under this article, without the written consent of the parties or the permission of the court.
Changing the beneficiary of a life insurance policy would absolutely certainly violate the statute if done without court permission unless is was clearly separate property. That would be a transfer of Lori's interest in the community property as beneficiary. It is entirely possible that it was a whole life police taken out and fully paid for prior to Charles' and Lori's marriage in which case she had no claim. But if $0.01 had been paid into the during their marriage with community marital property, there would at best need to be a proration done prior to settlement.
Do we know if Charles's had a will and his estate went through probate? If so, Lori would get half of Charles's separate property, the three children (JJ, Zach, and Cole) would split the other half of Charles's separate property equally. Lori would get half of their community property and the other half would be split among the 3 kids.
Life insurance payouts are treated outside of a will in Arizona.
