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Prudential Ins. Co. of America v. Burke
614 S.W.2d 847
Tex. App.
1981
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*1 De- judge The trial severally liable COMPANY jointly

fendants were and INSURANCE PRUDENTIAL OF AMERICA, Appellant, Plaintiff. for the debt claimed Hauling Livestock has failed Hondo BURKE, Appellee. accept the Accordingly, to file a brief. Barker as appellant facts as set out No. 8844.

correct, findings of fact made adopt and Texas, Appeals of Civil Court thе trial court. Rule T.R.C.P. Texarkana. agreement absence of some Feb. 1981. (seller consignor contrary, only April Rehearing Denied Appellаnt’s freight charge is liable for the goods) 5, 1981. May goods. shipment incurred in an intrastate Part and Motion Granted Appellee’s East Texas Texas & N. O. R. Co. v. Gravel 7, 1981. April in Part Overruled Co., (Tex.Civ.App.— ‍​​‌‌​​​​​​​​​‌‌‌​‌‌​​‌‌​​​‌​‌‌‌​​‌‌​‌​‌‌​‌​‌​‌‌​‍ dism’d); Miller Vidor Dallas Atchison, Ry. F.

Lumber Co. T. & S. (Tex.Civ.App. S.W. — Galveston writ); Keeling & Field v. Walter Con (Tex.Civ.App.—

nally & S.W. also, Tex.

Texarkana 2.311(b),

Bus. & Comm.Code §§ bar,

In the case at the defendant Glosson There was no goods.

was the seller of the understanding between the

agreement as to whether or Barker

parties Glosson In that pay hauling charges.

would record, solely

state of the Glosson is liable both Barker charges.

for such Counsel for ad Hauling

and for Hondo Livestock have hauling

vised this that all of the Court

charges paid have been to Hondo Livestock

Hauling the defendant Glosson. appellant point

The first error Therefore, we need

Barker is sustained. por- remaining points.

not reach the

tion of the appellant imposed liability upon REVERSED, is

Barker Hondo Livestock

here RENDERED that nothing in its action

Hauling recover Barker.

against Don *2 Stevens, Russell, Wal- Atchley,

Michael Hlavinka, Texarkana, appellant. drop & Friedman, Hooper, Errol Freidman Texarkana, appellee. against Pru- Burke filed this it re- Company because

dential Insurance life fused ei- petition sought or de- specific performance ther ren- claratory judgment. The declaring ‍​​‌‌​​​​​​​​​‌‌‌​‌‌​​‌‌​​​‌​‌‌‌​​‌‌​‌​‌‌​‌​‌​‌‌​‍that Prudential dered beneficiary in duty had direction, al- with Burke’s accordance lowing has appealed.

fees. Prudential funds, except where the nity stipulated. The facts insured, during the time Mr. Burke in which case a was issued survives the Burke, Dorthy Jo and she was married portion the insured’s later, beneficiary. years named and com have been intended presumed to They Mr. and Mrs. Burke were Brown the insured’s death. pleted by *3 again remarried and subsequently (Tex.1963); Alexander Lee, 694 371 S.W.2d divorce decree mentioned the insur- Neither Alexander, (Tex.Civ.App.- 410 275 v. S.W.2d ance months after the rule, how 1966, writ). That Houston no divorce, directed Pruden- second Mr. Burke from ever, the insured prevent does not change beneficiary policy the tial to given in the right exercising the contractual Burke, whom he married after to Melba L. in beneficiary. The change the policy to his divorce from the former Mrs. second the contractu has neither company surance refused, contending that Burkе. Prudential change nor the such a right al to refuse allowing the despite policy provision the of the oth the owner standing represent it cоuld change beneficiary,1 insured to the such a prevent interest community er or should not do so because under Texas Benefit Life v. Mutual changе. Stewart present beneficiary law the has a communi- (Tex.Civ. 522 257 Insurance S.W.2d interest in the and in the future ty policy 1975, e.); n. r. writ ref’d Sal App.-Amarillo right proceeds which cannot be di- the Insurance Life vato v. Volunteer State parte vested the ex act of the insured. (Tex.Civ.App.- 1 424 Company, S.W.2d upon Prudеntial relies authorities 1968, may The insured Houston no which hold that when a has a beneficiary his and if he does change beneficiary vested interest in thе of an insur proceeds his interest a of act constitutes policy change ance the insured cannot but it does beneficiary, to the new policy beneficiary designation. Tomlinson v. See community beneficiary’s the first not affect Lackey, 555 S.W.2d 810 when policy proceeds interest in the 1977, Paso writ); no Box v. Farm Southern words, of change In other payable. (Tex. Life Bureau 526 787 S.W.2d as to the in beneficiary only is effective 1975, Civ.App.-Corрus Christi ref’d writ n. v. ‍​​‌‌​​​​​​​​​‌‌‌​‌‌​​‌‌​​​‌​‌‌‌​​‌‌​‌​‌‌​‌​‌​‌‌​‍interest. Amason community sured’s e.); Leal, r. Leal v. 401 293 S.W.2d 428 F.2d Company, Life Insurance Franklin App.-San 1966, writ); Antonio no 4 Couch (5th 1970); v. Franklin Berry Cir. on Insurance 2d Those cаses § Co., 186 La. So. Bank & Trust State respective state the correct rule in their McBride, 11 (1937); McBride v. Cal. situations, govern but do not this case. 521, (1936); 44 Am. 54 P.2d 480 App.2d designated A as in party beneficiary an also p. 691. See Jur.2d Insurance § right in policy requires a vested s. 168 A.L.R. 114 A.L.R. the future when there is a policy correctly court 347. The trial obligates contract which the insured not to obligated to effect the that Prudential was change designation, that Tomlinson v. Lack by Mr. change beneficiary of directed supra; Leal, Leal ey, supra, v. but that Burke. case, not the situation here. In our interest arises beneficiаry’s policy of the court’s complains Prudential also operation from the community prop its We sustain award law, erty By purchased law. that a policy regard. point in that with community funds is an unmatured fees are not general, attorney’s

chose community in action owned recovеrable, upon in tort or either in actions which matures at the death of the insured. contracts, statute proceeds, paid, when constitute сommu unless authorized whereupon may company, policy it shall take effect 1. “The under this time, beneficiary’s changed any previous upоn proper interest shall cease from time to writ- request, request, op- ten but ... such shall become as of the date only policy erative if the is so endorsed any type monetary was claim Casualty New Amsterdam Co. by contract. Inc., Industries, v. Texas but payment or demand (Tex.1967); Jay Fikes ‍​​‌‌​​​​​​​​​‌‌‌​‌‌​​‌‌​​​‌​‌‌‌​​‌‌​‌​‌‌​‌​‌​‌‌​‍and Associates defendants fulfill their contractual Walton, (Tex.Civ.App.- 578 S.W.2d obligation. Kelly, Jones v. writ n. r. e.); Amarillo 1979 ref’d Whitten (Tex.1981). Alling Cory Company, case, Mr. prayеd In our Burke ref’d). (Tex.Civ.App.-Tyler ob- of Prudential’s contractual performance here contains policy involved ligation provision for thе of such fees. its judgment and the trial court in pro art. Tex.Rev.Civ.Stat. Ann. It un- comply. ordered Prudential many vides for the of such fees in that Mr. made neces- disputed cases, excludes claims types expressly presentment per- his demand for sary *4 against are sub companies required Article 2226. If a fоrmance as ject to of Tex.Ins.Code Ann. provisions perform a to specifically contract 21.21, arts. and 3.62. (Supp.1980) 21.21-2 recovery convey real estate authorizes Article applies 21.21 of Insurance Code under Article there attorney’s fees any or person corpоration engaged such a recov- why to be no reason appears Texas, Jay business of insurance in Free in this suit unless should not be allowed еry F.Supp. man Co. Glens Falls statute excludes be considered it (N.D.Tex.1980); insur yet none of the con- Upon further all insurance contracts. allowing a provisions recovery ance code that, in ex- we have concluded sideration applies fees to this of case. attorney’s tyрe companies of insurance cluding contracts act declaratory judgment Neither does the Insurance Code’s Unfair subject fees, attorney’s allow for the Act, the Unfair Settlement Practices Claims unless are virtue they recoverable Act, Practices And Unfair Competition рrovisions. statutory other contractual Code, pur- of the Insurance Section Zellars, 452 Company Allstate Insurance to exclude 2226 was of Article pose Paso), aff’d on companies against claims those grounds, (Tex.1970); other availa- already fees were attorney’s where Cоrbett, Kelsey v. statutes, as of other ble virtue e.), ap App.-El Paso writ ref’d n. r. specifi- which Article 2226 are in those dism’d, 87 S.Ct.

peal U.S. Supreme In view of cаlly mentions. (1966); 3d L.Ed.2d 34 A.L.R. on 2226 to suits of Article extension Court’s than mon- involving other contracts written of the District Court legislative claims, view etary awarding provision to delete the reformed con- liberally Article 2226 mandate that reformed, Burke. As fees Mr. attorney’s fees strued, attorney’s hold that is affirmed. properly awarded. J.,

BLEIL, participating. not BLEIL, J., participating. ‍​​‌‌​​​​​​​​​‌‌‌​‌‌​​‌‌​​​‌​‌‌‌​​‌‌​‌​‌‌​‌​‌​‌‌​‍REHEARING FOR ON MOTION rehearing we have

On to a

that Mr. Burke was entitled deci very In a recent

sion, ruled that attor Supreme Court Article under

ney’s fees were recoverable

2226, Tex.Rev.Civ.Stat.Ann., in a suit obligation enforce a contractual

specifically there real In that case convey estate.

Case Details

Case Name: Prudential Ins. Co. of America v. Burke
Court Name: Court of Appeals of Texas
Date Published: Apr 7, 1981
Citation: 614 S.W.2d 847
Docket Number: 8844
Court Abbreviation: Tex. App.
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