134 Ark. 554 | Ark. | 1918
Appellant instituted suit against the Equitable Life Assurance Society and A. H. Proctor as administrator of the estate of J. C. Moore, deceased, to recover the benefits under a life insurance policy issued by said insurance company on the 24th day of June, 1912, upon the life of the said J. C. Moore. Appellant alleged that it was entitled to the benefits under said policy in the sum of $1,000 by virtue of a transfer of said policy to it to secure the payment of a large indebtedness which the said J. C. Moore owed it.
The Equitable Life Assurance Society filed answer and cross-bill admitting liability under the policy but alleging that it knew nothing of the assignment of the policy or the indebtedness of J. C. Moore to appellant; that Emma 0. Moore, widow of J. C. Moore, deceased, had administered on the estate of J. C. Moore, deceased, in the State of Alabama and was claiming the proceeds due under the policy as administratrix of said estate; that A. H. Proctor had administered on the estate of J. C. Moore, deceased, in the State of Arkansas and was claiming the proceeds due on said policy as administrator of •said estate; that it desired to pay the amount of the policy to whomsoever was entitled thereto and brought into court the sum of $1,012, being the amount due on said policy, and deposited same in the registry of said court with the prayer that the claimants be required to litigate the right to said sum among themselves and that appellant be discharged.
Mrs. J. C. Moore, administratrix of the estate of J. C. Moore, deceased, filed answer, asserting that she was the lawful administratrix of the estate of her deceased husband and that A. H. Proctor was appointed administrator of said estate in Arkansas without authority of law; that the estate of J. C. Moore, deceased, was the beneficiary in the policy and that she was entitled to the proceeds which had been paid into the registry of the court; and denied that her husband was indebted to the bank or that the policy had been transferred to appellant bank or to A. H. Proctor, in trust for said appellant.
The facts, in substance, are as follows: On the 24th of June, 1912, the Equitable Life Assurance Society issued a policy on the life of J. C. Moore and named Vivian Mae Moore and Minor Groyne Moore, his children, as beneficiaries therein. On account of ill health, it became necessary for J. C. Moore to remove to the west. He was at that time, in the mercantile business at Junction City, Arkansas, and was indebted in a large sum to the Citizens Bank of that town. He transferred certain real estate to the bank and reduced his indebtedness to $2,696, for which he executed notes. Moore desired to secure this indebtedness with the insurance policy. The method of assigning the policy was discussed, and it was agreed between Moore and Proctor that Moore would have the beneficiaries in the policy changed so that the proceeds arising therefrom might be payable to Proctor, as trustee for the bank. A day or two thereafter, the policy was delivered to Proctor. By agreement, J. C. Moore made application on a regular blank of the insurance company to have the beneficiaries changed in the policy from the children to A. H. Proctor as trustee for appellant bank. The application, together with the policy, was turned over to the local agent who sent it to the Little Rock agency, from whence it was forwarded to the home office in New York City. The officials of the insurance company concluded that the company could not comply with the insured’s request to make the bank the beneficiary for the reason that under its by-laws appellant bank had no insurable interest in the said policy, and, in order to carry out the purpose and intent of the request, changed the beneficiary from the children to the estate of J. C. Moore and returned the policy to the bank with instructions to the bank to get an assignment of the policy from J. C. Moore. In the meantime, J. C. Moore had moved to New Mexico, and the bank, believing it. was sufficiently protected by the delivery of the policy,, did not procure a written assignment thereof, but held same and paid the subsequent premium thereon. J. C„ Moore moved from New Mexico to Alabama with his family, and died on the 26th day of November, 1914. His wife, Emma 0. Moore, was appointed administratrix of his estate in Lee County, Alabama, on January 15, 1915. A. H. Proctor was appointed administrator of his estate in Union County, Arkansas, on June 13, 1916. The appellant never presented its claim to the estate for allowance.
Upon submission, the court found that the policy was never assigned or pledged to appellant bank, that the notes given by J. C. Moore to appellant bank were never probated and that same were barred by the statute of nonclaim, and that Emma 0. Moore, as administratrix of the estate of J. C. Moore, deceased, was entitled to the proceeds of the insurance policy. A decree was rendered in favor of the administratrix in accordance with the findings of the court, from which an appeal has been duly prosecuted to this court.
This suit must be viewed from the ¡same angle as if it were a controversy between J. C. Moore himself and appellant bank. Mrs. Moore, as administratrix, does not occupy the same position as if she were a beneficiary. She is Moore’s personal representative and stands before the court with no greater or less rights than Moore himself would have. Under the fa'cts in this case, Moore would clearly be estopped from prosecuting a suit for the policy against the bank on the ground that it had not been transferred to it by formal or written assignment.
This is not a contest between beneficiaries. This court has held that in a contest between beneficiaries it is not within the power of the insured to change beneficiaries otherwise than in accordance with the terms of the policy, so our ruling in this case in no way conflicts with the ruling in that line of cases.
For the errors assigned, the decree is reversed and the cause remanded with instructions to render decree in favor of appellant for the proceeds of the policy now in the registry of the court.