Promissory Note Assignment: What happens when one of the recipients dies? (Oregon)
I borrowed a large sum of money from my grandmother many years ago. We had our family attorney write up a Promissory Note regarding the terms of repayment and an additional document transferring assignment of the Promissory Note to my grandmother's three sons(my two uncles and my father) upon the death of my grandmother. She passed last year and I have been paying my father and uncles ever since. The amount I was initially paying my grandmother per month is now split among those three every month. ($1000 monthly, they each get $333.33 per month).
One of my uncles is going to have surgery later this month and it carries some risk that he may die. If he does, what happens to his portion remaining in the Promissory Note? Can my uncle designate in his will that his portion is to go to his two children($167.67 per month each)? Or are my father and other uncle entitled to having that amount added to their current payment instead, bring them up to $500 per month each? Nobody is mentioned in the Promissory Note outside of myself, my wife, my grandmother, my father, and my two uncles.
I've never missed a payment and am in no danger of that happening for the 5 years remaining in the loan term, I'm just trying to get a grasp on what to expect if my uncle does pass. I know I should probably contact our attorney, but wanted to see if I could get some thoughts on this before spending money on the consultation. Thanks!