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How sad. This is a tough one.
Part of me wants him to wait until they formally announce the available position. If they don't formally announce it, that could mean that they think it's too soon to do so OR they are getting rid of the position altogether and placing the deceased person's responsibilities under another's title.
If he insists, he can carefully express interest but do so under the guise of helping out the company and honoring how hard this now deceased person worked for this company. People aren't stupid, so they know that he just wants the position, but it's a difference in tone. I guess acknowledging the person's passing is important and could be done in the introduction of "I am so sorry for the untimely passing of...." I could be completely wrong but that's my initial suggestion.
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