To Terminate or Not To Terminate
David Hillard and Timothy Jacobs created Advance Marketing Technology, LLC (AMT). The business became successful. They executed an agreement in which they each agreed to purchase term life insurance policies on the other in the amount of $2,000 so that in the event of the death of either, the other would be able to buy out the deceased member’s shares of AMT. Eventually, AMT’s assets were sold to a third party, and AMT was dissolved. Hillard asked Jacobs whether he wanted to trade the life insurance policies that they held on each other’s life. Jacobs declined and continued to pay the premiums on the policies he held on Hillard’s life. Hillard sued to require Jacobs to convey the life insurance policies to him or cancel the policies. The trial court ordered Jacobs to terminate the policies, and while Jacobs’s appeal was pending, Hillard died.
Write a response answering the following question: What course of action can Jacob take since Hillard has expired.
