His daughter, Catherine, told the Hollywood Reporter ... Palter passed away in May after a bout with lung cancer.

Palter was best known for his role as Isidor Straus -- the co-owner of Macy's -- who perished with his wife, Ida, aboard the Titanic in the 1997 James Cameron movie.

In his most famous scene, Palter cuddles with Ida -- portrayed by Elsa Raven -- on the bed inside their cabin as the massive ship sinks into the North Atlantic Ocean after hitting an iceberg.

Interestingly enough, the real-life Straus was actually the great great grandfather of Stockton Rush's wife, Wendy. Stockton was one of the 5 who died in the Titan submersible.

Before "Titanic," Palter appeared in various hit TV shows, including "Columbo," "Kojak," "Charlie's Angels," "The Brady Bunch," and "Hill Street Blues."

Palter was 94.