The Church of England's Consistory Court made the ruling after the man was mistakenly buried in a family plot.
The Church rarely permits exhumations due to burials being seen as "the act of committing the mortal remains of the departed into the hands of God".
However, the Church's judge, Stephen Eyre QC, the Chancellor of the Diocese of Lichfield, ruled in favour of the petition as the "grave has become a focus of distress and grievance".
The names of the people and church involved cannot be named for legal reasons.
The petition was filed after the man died in 2016 and his ashes were buried in a grave with his wife and her two parents.
According to court documents, in 2014, a step granddaughter of the man alleged in a letter to him that he had sexually abused her between the ages of five and 13.
He never faced criminal proceedings for the accusation.
The dead wife's sister also sent a solicitor's letter to the man informing him he no longer had permission to be buried in the plot.
While the couple were assured by the parish's vicar that the man's remains wouldn't be interred in the family plot, when the man died a new vicar at the church allowed for the man to be buried in the plot in question.
Judge Eyre decided to grant an application by the wife's sister for the ashes to be exhumed and moved instead to the grave of the man's parents in another church yard.
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