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FREEMAN v. PACIFIC LIFE INS. CO.

No. COA02-634.

577 S.E.2d 184 (2003)

Robert A. FREEMAN, III, and Stephen L. Barden, III, as Trustees of the Kenneth Wilson Trust, and Kenneth Wilson, Plaintiffs, v. PACIFIC LIFE INSURANCE COMPANY, Defendant.

Court of Appeals of North Carolina.

March 18, 2003.

Attorney(s) appearing for the Case

Ball Barden & Bell, P.A., by Stephen L. Barden, III and Thomas R. Bell, Jr., Asheville, for plaintiffs-appellants.

Van Winkle, Buck, Wall, Starnes and Davis, P.A., by Stephen J. Grabenstein, Asheville, for defendant-appellee.

TYSON, Judge.

I. Background

On 25 January 1994, Kenneth Wilson ("Wilson") purchased a "flexible premium adjustable" life insurance policy ("policy") on his life with a death benefit of $4,000,000.00 from Pacific Life Insurance Company ("defendant"). The policy is owned by an insurance trust with Robert A. Freeman III ("Freeman") and Stephen L. Barden III ("Barden") serving as named Trustees.

Defendant's agent told Wilson that if he paid an...

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