B-131845, JUL. 8, 1957

B-131845, JUL. 8, 1957

TO MRS. ALICE P. GRAY:

REFERENCE IS MADE TO A LETTER DATED APRIL 11, 1957, WRITTEN ON YOUR BEHALF BY MR. STEPHEN H. ALFORD, IN THE NATURE OF A REQUEST FOR RECONSIDERATION OF SETTLEMENT DATED FEBRUARY 6, 1957, BY WHICH OUR CLAIMS DIVISION DISALLOWED YOUR CLAIM FOR ARREARS OF RETIRED PAY DUE YOUR LATE FATHER, WILLIAM MCKINLEY PRICE, ON THE DATE OF HIS DEATH ON AUGUST 22, 1956, AS BOATSWAIN'S MATE FIRST CLASS, UNITED STATES COAST GUARD, RETIRED. THE REQUEST FOR RECONSIDERATION OF YOUR CLAIM APPEARS TO BE BASED PRIMARILY ON THE STATEMENT THAT EFFORTS TO CONTACT MRS. EDNA C. PRICE--- THE WIDOW--- HAVE BEEN WITHOUT RESULTS AND, THEREFORE, MR. ALFORD REQUESTS INFORMATION AS TO THE PROCEDURE FOR OBTAINING PAYMENT OF THE AMOUNT DUE.

THE RECORD SHOWS THAT UNDER DATE OF NOVEMBER 22, 1956, THE UNITED STATES COAST GUARD FORWARDED HERE FOR DIRECT SETTLEMENT A CLAIM BY YOU AS DESIGNATED BENEFICIARY FOR THE ARREARS OF RETIRED PAY DUE YOUR LATE FATHER, THE SAME BEING ACCOMPANIED BY A COPY OF FORM NO. 2529, "DESIGNATION OF BENEFICIARIES FOR DEATH GRATUITY," SHOWING THAT ON AUGUST 27, 1940, YOUR LATE FATHER DESIGNATED HIS WIFE, EDNA CHARLOTTE PRICE, HIS CHILDREN, ALICE WESSLEY PRICE AND SALBY PRICE, AND HIS STEP CHILDREN, BILLY SAUNDERS PRICE AND ANDREE SAUNDERS PRICE, TO RECEIVE PAYMENT OF SIX MONTHS' PAY IN THE EVENT OF HIS DEATH WHILE SERVING ON ACTIVE DUTY. ALSO TRANSMITTED WITH THE CLAIM WAS FORM CGHQ 9964,"REPORT OF DEATH," CONTAINING A CERTIFICATE TO THE EFFECT THAT THE RECORDS OF THE COAST GUARD SHOW THAT THE DECEASED DID NOT DESIGNATE A BENEFICIARY OR BENEFICIARIES IN ACCORDANCE WITH THE PROVISIONS OF PUBLIC LAW 147, 84TH CONGRESS, APPROVED JULY 12, 1955, TO RECEIVE ANY UNPAID PAY OR ALLOWANCES THAT MIGHT BE DUE.

BY THE SETTLEMENT OF FEBRUARY 6, 1957, YOU WERE INFORMED THAT DESIGNATIONS FOR SIX MONTHS' DEATH GRATUITY MAY NOT BE APPLIED FOR THE PURPOSE OF RECEIVING ARREARS OF PAY UNDER APPLICABLE LAW UNLESS A MEMBER OF THE UNIFORMED SERVICES DIES WHILE ON ACTIVE DUTY. THE RECORD FURTHER SHOWS THAT THE DECEASED WAS RETIRED EFFECTIVE NOVEMBER 1, 1943, AND THAT AS LATE AS APRIL 14, 1953, HE CERTIFIED THAT EDNA C. PRICE WAS HIS LAWFUL WIFE IN CONNECTION WITH CERTAIN TRAVEL PERFORMED DURING THE PERIOD NOVEMBER 1-3, 1943. REFERENCE WAS MADE IN THE SETTLEMENT TO THE PROVISIONS OF THE ACT OF JULY 12, 1955, AND YOU WERE INFORMED THAT IN THE ABSENCE OF EVIDENCE THAT EDNA C. PRICE PREDECEASED WILLIAM MCKINLEY PRICE, OR WAS DIVORCED FROM HIM, NO PAYMENT MAY BE MADE ON YOUR CLAIM.

THE ACT OF JULY 12, 1955, 69 STAT. 295, PROVIDES THAT IN THE SETTLEMENT OF THE ACCOUNTS OF DECEASED MEMBERS OF THE UNIFORMED SERVICES, THE AMOUNT DUE SHALL BE PAID TO THE PERSON OR PERSONS SURVIVING AT DATE OF DEATH IN THE FOLLOWING ORDER OF PRECEDENCE:

"* * * FIRST, TO THE BENEFICIARY OR BENEFICIARIES NAMED TO RECEIVE ANY SUCH AMOUNT IN A WRITTEN DESIGNATION EXECUTED BY THE MEMBER AND RECEIVED, PRIOR TO HIS DEATH, IN THE PLACE DESIGNATED FOR SUCH PURPOSE IN THE REGULATIONS OF THE DEPARTMENT CONCERNED;

"SECOND, IF THERE BE NO SUCH BENEFICIARY, TO THE WIDOW OR WIDOWER OF SUCH MEMBER;

"THIRD, IF THERE BE NO BENEFICIARY OR SURVIVING SPOUSE, TO THE CHILD OR CHILDREN OF SUCH MEMBER, AND DESCENDANTS OF DECEASED CHILDREN, BY REPRESENTATION;

"FOURTH, IF NONE OF THE ABOVE, TO THE PARENTS OF THE MEMBER, OR THE SURVIVOR OF THEM; AND

"FIFTH, IF THERE BE NONE OF THE ABOVE, TO THE DULY APPOINTED LEGAL REPRESENTATIVE OF THE ESTATE OF THE DECEASED MEMBER, OR IF THERE BE NONE, TO THE PERSON OR PERSONS DETERMINED TO BE ENTITLED THERETO UNDER THE LAWS OF THE DOMICILE OF THE DECEASED MEMBER.'

THE ACT FURTHER PROVIDES THAT ANY DESIGNATION OF BENEFICIARY MADE FOR THE PURPOSE OF THE SIX MONTHS' DEATH GRATUITY RECEIVED IN THE DEPARTMENT CONCERNED BEFORE THE EFFECTIVE DATE OF THE PAYMENT PROVISIONS OF THE ACT SHALL BE CONSIDERED AS A DESIGNATION OF BENEFICIARY FOR THE PURPOSE OF THE ACT IN THE ABSENCE OF A DESIGNATION UNDER THE ACT. NEITHER THE ACT NOR THE APPLICABLE REGULATIONS ARE CLEAR AS TO WHETHER THE DESIGNATION OF A BENEFICIARY FOR THE SIX MONTHS' GRATUITY MADE BY A MEMBER WHO WAS RETIRED PRIOR TO ENACTMENT OF THE ACT OF 1955 SHOULD BE CONSIDERED AS AN EFFECTIVE DESIGNATION UNDER THE FOREGOING PROVISIONS. IT WILL BE SEEN, HOWEVER, THAT IF MRS. EDNA C. PRICE WAS THE LAWFUL WIFE OF YOUR FATHER AT THE TIME OF HIS DEATH SHE TAKES PRECEDENCE OVER HIS CHILDREN WHETHER OR NOT THE DESIGNATION OF BENEFICIARY FOR THE SIX MONTHS' GRATUITY IS EFFECTIVE UNDER THE 1955 ACT.

ACCORDINGLY, ON THE PRESENT RECORD, PAYMENT OF THE AMOUNT DUE MAY NOT BE MADE TO YOU. SHOULD EVIDENCE BE FURNISHED, HOWEVER, ESTABLISHING THAT EDNA C. PRICE PREDECEASED YOUR FATHER OR WAS NOT HIS WIFE AT THE TIME OF HIS DEATH FURTHER CONSIDERATION WILL BE GIVEN TO YOUR CLAIM.