Hagerling v. Pension Mut. Life Insurance

Citations

• 68 Pa. Super. 170
• 1917 Pa. Super. LEXIS 94

Syllabus

<p>Beneficial societies — Insurance—Withdrawal contract — Illegal contract — Acts of April 6, 1898, P. L. 10, and July %, 1895, P. L. ASO.</p> <p>Where the laws of a beneficial society chartered under the Act of April 6, 1893, P. L. 10, do not provide for withdrawals, but the society issues 318 policies or certificates of membership on the backs of each of which are endorsed a return value contract, for which contract there was no consideration, and for the payment of which no fund was provided and also issues 2,000 certificates on which no such contract is endorsed, and it appears that the funds of the society in the hands of the trustee are not sufficient to pay all of the certificates issued, the holder of a certificate with a return value contract endorsed on it cannot recover from the trustee the withdrawal value specified on the back of the certificate.</p> <p>In such a case whatever right the plaintiff may have under his contract, he is bound as a member of the association, to aid in the performance of its contracts with other persons, and equity does not permit him to recover at the expense of the society’s creditors.</p>