263 N.W. 44 | Iowa | 1935
[1] The petition and amendment of the plaintiff are in the form for an action to cancel a policy of insurance on the ground that it was procured by false and fraudulent representations. The policy bore date of April 20, 1932, and, among other things, it is alleged in plaintiff's petition that the policyholder committed suicide on the 26th day of February, 1934. The defendant filed an answer to plaintiff's petition, in which she made numerous admissions and denials, and alleged that she was entitled to recover on the policy the full amount thereof in the sum of $6,000. As a part of said answer, the defendant further says that there are no equities with the plaintiff, and that if the plaintiff has a remedy or has a full and complete remedy at law on the defense of said policy, this action should be transferred to the law docket. Wherefore, the defendant prays for judgment on the policy and that the cause be transferred to the law calendar for trial. This answer was filed on the 17th day of July, 1934. On March 11, 1935, the cause was assigned for trial on April 2, 1935, as an equity cause. On the *924 27th day of March, 1935, the defendant filed a motion to transfer the cause from the equity calendar to the law calendar. This motion covered numerous grounds, and was submitted to the court, and on April 3, 1935, the court ruled on the defendant's motion of March 27, 1935, and overruled the same. On April 11 following, there was a motion filed to set aside the last above ruling, which was submitted to the court, and on May 9, 1935, the ruling formerly made overruling the motion to transfer the cause was withdrawn and set aside, and defendant's motion to transfer the case to the law calendar was sustained. From this last ruling, appeal is taken.
[2] There are some fundamental propositions that are quite well settled. Where an action is properly brought in equity, the defendant has no right to a trial by jury of the law issues presented by an answer. Crissman v. McDuff,
"The case was on the equity side of the docket, and where a cause of action is properly commenced in equity the court will retain jurisdiction and determine the legal issues presented." Citing Williamsburg Sav. Bank v. Donohoe,
The question, therefore, which seems to be the crux of this case is whether or not the plaintiff's cause of action was properly brought in equity.
It appears from the fact situation in this case that the policy was properly issued on the 20th day of April, 1932, and that on the 26th day of February, 1934, the insured committed suicide. This action was commenced on the 27th day of March, 1934. The question, therefore, is whether or not, after the death of the insured, an action in equity such as is here sought will lie.
In 9 C.J. p. 1173, section 30, it is said:
"In most jurisdictions where the question has arisen it is held that after a loss on a policy of insurance has occurred, a court of equity will not cancel a policy of insurance because of *925 fraud in its procurement in the absence of some special circumstances rendering the cancellation of the policy necessary for the protection of the insurer, the view being taken that the remedy at law is full, adequate, and complete."
Numerous cases are cited supporting this text, and among them the case of Biermann v. Guaranty Mutual Life Ins. Co.,
"Generally speaking, equity has no jurisdiction where there is an adequate remedy at law. 16 Cyc. 30. Of course, there is a certain field in which law and equity are said to have concurrent jurisdiction, and this jurisdiction includes a class of cases growing out of alleged accident, mistake, or fraud. But even in this common field courts of equity, though recognizing the existence of their jurisdiction, are generally reluctant to exercise it where the remedy at law appears to be adequate and complete. Gorman v. Low, 2 Edw. Ch. (N.Y.) 324; Robinson v. Chesseldine, 5 Ill. [4 Scam.] 332; Hales v. Holland,
The only special circumstance which the plaintiff claims to take the case from under this rule, is that among the terms provided in said policy is the following: "This policy shall be incontestable after it has been in force during the lifetime of the insured for a period of two years from its date of issue," etc. This clause cannot avail the plaintiff anything and cannot be considered a special reason for invoking equity, because of the fact that the insured died before the two years provided in the policy had expired. Such is the pronouncement of numerous courts. See Cotton States Life Ins. Co. v. Cunningham,
On the general proposition involved herein, the modern line of authority holds that equity will not entertain jurisdiction to cancel a policy after the death of the insured, except when there are special equitable grounds alleged. See Prudential Ins. Co. v. Tanenbaum,
It being found, therefore, that the plaintiff's action was not properly brought in equity, the motion to transfer the cause to law was proper. The action of the court is, therefore, affirmed. — Affirmed.
KINTZINGER, C.J., and DONEGAN, MITCHELL, and POWERS, JJ., concur.