779 Fed.Appx. 927 (3rd Cir. 2019), 16-4337, Sun Life Assurance Company of Canada v. Wells Fargo Bank NA

Docket Nº:16-4337, 16-4387
Citation:779 Fed.Appx. 927
Opinion Judge:CHAGARES, Circuit Judge.
Party Name:SUN LIFE ASSURANCE COMPANY OF CANADA v. WELLS FARGO BANK NA, as Securities Intermediary, Appellant Sun Life Assurance Company of Canada, Appellant v. Wells Fargo Bank NA, as Securities Intermediary
Attorney:John M. Bloor, Esq., Jason P. Gosselin, Esq., Michael D. Rafalko, Esq., Nicole C. Wixted, Esq., Drinker Biddle & Reath, Philadelphia, PA, Charles J. Vinicombe, Esq., Cozen O’Connor, Philadelphia, PA, for Plaintiff - Appellee Eric A. Biderman, Esq., Michael S. Cryan, Esq., Julius A. Rousseau, III,...
Judge Panel:Before: CHAGARES, RESTREPO, and FISHER, Circuit Judges.
Case Date:August 21, 2019
Court:United States Courts of Appeals, Court of Appeals for the Third Circuit
 
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Page 927

779 Fed.Appx. 927 (3rd Cir. 2019)

SUN LIFE ASSURANCE COMPANY OF CANADA

v.

WELLS FARGO BANK NA, as Securities Intermediary, Appellant

Sun Life Assurance Company of Canada, Appellant

v.

Wells Fargo Bank NA, as Securities Intermediary

Nos. 16-4337, 16-4387

United States Court of Appeals, Third Circuit

August 21, 2019

NOT PRECEDENTIAL

Submitted Pursuant to Third Circuit L.A.R. 34.1(a) August 19, 2019

Editorial Note:

This opinion is not regarded as Precedents which bind the court under Third Circuit Internal Operating Procedure Rule 5.7. (See Federal Rule of Appellate Procedure Rule 32.1)

On Appeal from the United States District Court for the District of New Jersey (District Court No. 3:14-cv-05789), District Judge: Honorable Peter G. Sheridan

John M. Bloor, Esq., Jason P. Gosselin, Esq., Michael D. Rafalko, Esq., Nicole C. Wixted, Esq., Drinker Biddle & Reath, Philadelphia, PA, Charles J. Vinicombe, Esq., Cozen O’Connor, Philadelphia, PA, for Plaintiff - Appellee

Eric A. Biderman, Esq., Michael S. Cryan, Esq., Julius A. Rousseau, III, Esq., Arent Fox, New York, NY, for Defendant - Appellant

Before: CHAGARES, RESTREPO, and FISHER, Circuit Judges.

OPINION[*]

CHAGARES, Circuit Judge.

These cross-appeals present novel and important questions of New Jersey law. First, does a stranger-originated life insurance ("STOLI") arrangement, in which the holder of a life insurance policy lacks an insurable interest in the life of the insured, violate public policy under New Jersey law, and as such is it void ab initio? Second, is a later purchaser of the policy who was not involved in the STOLI arrangement entitled to a refund of any premium payments that he or she made? We certified these questions to the Supreme Court of New Jersey. The Court has now responded, answering yes to the first question and yes to the second question depending on the circumstances. Sun Life Assurance Co. of Canada v. Wells Fargo Bank, N.A., 238 N.J. 157, 208 A.3d 839 (2019). Based on these answers, we will affirm.

I.

We write for the parties and so recite only those facts necessary to our decision.

On...

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