From www.smsfadviser.com: The Federal Court has upheld an Australian Financial Complaints Authority decision that recognised cliams by the deceased member’s children over his estranged wife regarding the distribution of his superannuation benefits, which lacked a binding death benefit nomination.

The court affirmed that a non-binding death benefit nomination directing the superannuation to the member’s six children was considered alongside legal obligations, resulting in a 50/50 split between the wife and children.

The ruling emphasized the importance of proper estate planning and recognised AFCA’s discretion in reallocating benefits based on the deceased’s expressed wishes.