Mark,

It is my understanding that only a surviving spouse has the ability to roll over the proceeds to an IRA and if the proceeds are paid to a trust,you need to determine whether it fits into one of the fact patterns of various PLRS which have allowed this.

Below is a cite from RIA on the matter
IRS Letter Ruling 9608042 .
A surviving spouse was allowed to roll over the account balance of a decedent's interest in a qualified plan, notwithstanding the fact that the decedent's estate was the sole beneficiary of his interest in the plan, under the following circumstances: A decedent's surviving spouse was the sole administratrix of his intestate estate and the surviving spouse had the power, under state law, to determine which estate assets would be used to satisfy the surviving spouse's intestate share. The surviving spouse intended to distribute the account balance to the decedent's estate. From there, she was to roll over the account balance into an IRA in her name. Because the surviving spouse exercised her power, as administratrix of the decedent's estate, to cause the account balance to be distributed to the estate and then to her by way of a rollover, IRS determined that the surviving spouse acquired the plan proceeds directly from the decedent and not from his estate. Therefore, the surviving spouse was able to rollover the decedent's account balance into her IR