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Let the life lesson here be - always get insurance.
I have permanent travel insurance via my bank that would cover the costs on this sort of deal.
As to the actual Q in the OP, it was a 3 way deal, the WORST your mate should have to suffer is a 1/3 cost - and if the other 2 of you have the ability, the decent thing would be to cover his share.
But as Shanni says, check the booking docs. It may be that you can pay a suplement and move the date, or cancel and get some of the cash back.
Call the owner and explain about the bereavement - what's the WORST he can say?
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Overhead, the Albatross hangs motionless upon the air,
And deep beneath the rolling waves,
In labyrinths of Coral Caves,
The Echo of a distant time
Comes willowing across the sand;
And everthing is Green and Submarine
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