Estate of Elizabeth G. Huntington, Deceased, Nancy H. Brunson, Administratrix v. Commissioner of Internal Revenue

COFFIN, Senior Circuit Judge.

Charles and Myles Huntington claim that their stepmother, the decedent, promised as part of a reciprocal will agreement with their father that she would devise her estate in equal shares to them and their stepsister. Decedent died intestate, leaving the sons without an inheritance. Their claim against her estate ultimately led to a $425,000 settlement. The question posed by this appeal is whether the estate may deduct the settlement amount for purposes of the federal estate tax. The answer depends upon whether the mutual will agreement was “contracted bona fide…