Smith v. Fidelity Mutual Life Insurance

Citations

• 247 Pa. 369
• 93 A. 479
• 1915 Pa. LEXIS 841

Syllabus

<p>Contracts — Life insurance —■ Policies — Proceeds — Conflicting claimants — Interest from due date lo date of verdict — Refusal to allow interest.</p> <p>An insurance company issued a policy of life insurance providing for payment to a creditor, as his interest might appear, and the balance to the personal representative of the insured. The insured died in this State and letters testamentary were taken out here. The creditor brought a suit in the District of Columbia to recover the full amount of the policy and the personal representative brought suit in this State also for the full amount of the policy. The defendant in the case in this State presented a pétition to restrain the prosecution of the action and to compel the plaintiff to intervene in the action of the creditor and to be allowed to pay the money into court in the District of Columbia, which was refused. The case in this State was called for trial and proceeded with for some time, when the creditor appeared and by the consent of all parties was made a party plaintiff, and a verdict was taken for the plaintiffs for the face of the policy plus interest, of which a certain proportion was to be paid to the personal representative and a certain proportion to the creditor. It was agreed that the court should determine upon the pleadings and the record whether the amount of the verdict should be reduced by the amount of interest. The court held that the defendant company was not in default in not paying the amount of the policy, and was, therefore, not liable for interest upon the amount. Upon appeal, affirmed.</p>