Circle v. Achterrath

• Decision Date: 26 October 1903
• Citation: 204 Ill. 549,68 N.E. 492
• Parties: ROYAL CIRCLE v. ACHTERRATH.
• Court: Illinois Supreme Court

204 Ill. 549

68 N.E. 492

ROYAL CIRCLE

v.ACHTERRATH.

Supreme Court of Illinois.

Oct. 26, 1903.

Appeal from Appellate Court, Third District.

Action by Elizabeth Achterrath against the Royal Circle. From a judgment of the Appellate Court (106 Ill. App. 439) affirming a judgment for plaintiff, defendant appeals. Affirmed.Don E. Minor, Dunn & Kenney, and Risse & Risse, for appellant.

Apollos W. O'Harra and Sterling P. Lemmon, for appellee.

This is an action of assumpsit brought in the circuit court of Hancock county by the appellee, Elizabeth Achterrath, against the Royal Circle, a fraternal insurance society, to recover on a certificate issued by said society to one William Achterrath, husband of plaintiff below.

The certificate sued upon was dated January 19, 1899, and provides as follows: ‘This certificate is issued to William Achterrath, a member of Augusta Circle No. 194, The Royal Circle, located at Augusta, Illinois, upon evidence received from said circle that said member is a contributor to the benefit fund of this order, upon condition that the statements and representations made by said member in the petition for this membership in said circle, and the statements certified to by him to the worthy medical examiner, both of which are filed in the supreme secretary's office, be made a part of this contract, and upon condition that the said member complies in the future with the laws, rules and regulations now governing the said circle and fund, or that may hereafter be enacted by the supreme circle to govern said circle and fund. These conditions being complied with, the supreme circle of the Royal Circle hereby promises and binds itself to pay out of its benefit fund to Elizabeth Achterrath, wife, not to exceed $2,000.00 in accordance with and under the provisions of the laws governing said fund, upon satisfactory evidence of the death of said member, and upon the surrender of this certificate; or not to exceed $1,000.00, in accordance with and under the provisions of the laws governing said fund, upon satisfactory evidence of the permanent total disability of said member by accident; or not to exceed $500.00 in the event of the loss of a foot or a hand by accident; provided always, that said member is in good standing in this order at the time of said death or disability; and provided also, that this certificate shall not have been surrendered by said member, and another certificate issued at the request of said member, in accordance with the laws of this order.’ The certificate was signed by the supreme president and the supreme secretary, and the corporate seal was attached; and written upon the same were the following words, to wit: ‘I accept this certificate on the conditions named herein.’ On November 22, 1899, the sum of $500 was paid on the certificate on account of the loss of one hand by the insured, as appears from an indorsement on the certificate, leaving $1,500 due thereon.

May 8, 1901, William Achterrath, the insured, came to his death by suicide, he having shot himself in the head with a revolver at his home in Augusta township.

The declaration sets out the certificate in haec verba, and avers, among other things, that William Achterrath died on May 8, 1901, and that he was at that time in good standing, and had complied with all the laws, rules, and regulations of the society; and that his widow within a reasonable time furnished appellant with satisfactory evidence of his death, and offered to deliver up the certificate upon payment to her of the amount due thereon, etc.

The defendant below filed a plea of the general issue, and two special pleas. The second plea averred that it was provided in the contract of insurance that if the insured should die by self-destruction the certificate should be null and void, and that William Achterrath did die by self-destruction, and therefore the certificate and contract were of no binding effect on the defendant, and that defendant was thereby released from said contract. The third plea alleged that, in and by the application for membership signed by William Achterrath, which was a part of the contract of insurance, it was provided that if he should die by suicide, whether sane or insane, the defendant should not be held liable under the contract; and avers that he did commit suicide, whether sane or insane, and therefore the contract and certificate were wholly null and void. Issue was joined upon the plea of general issue.

Two replications were filed to the second plea, the first denying that it was provided in the contract that self-destruction of Achterrath should render the contract void, and the second setting up that Achterrath did not die by self-destruction. The defendant below joined issue upon these replications. To the third plea a replication was filed to the effect that Achterrath did not make application for membership, in which it was agreed if he should die by suicide, whether sane or insane, the defendant should not be held liable; and the further replication was filed that Achterrath did not commit suicide. Issue was joined upon these replications.

The appellee, the plaintiff below, filed a replication, spoken of as replication No. 6, to the second and third pleas. In this replication, after referring to the organization of the society or order, and to its adoption of a constitution and by-laws, and after referring to section 1 of article 1 of the constitution, providing for the name and location of the association, and to section 1 of article 4, providing that the supreme circle may grant authority to organize any number of local circles, etc., and after setting forth that in article 2 of the constitution the object of the society was stated to be, first, for social and fraternal benefits to all acceptable white persons between the ages of 18 and 59 years; second, to provide for the families of the deceased members, and to assist the disabled from old age or accident by equitable assessments upon its members; and, third, to provide death benefits to all its beneficiary members, etc.; and after referring to section 1 of article 3 of the constitution, providing that white persons of either sex who shall pass the required medical examination may become beneficial members by complying with all the laws and regulations of the order as set forth in its by-laws and the benefit certificate, it is then averred that by section 1 of article 16 of the constitution of the order it is provided that, ‘after two years from the date of a certificate, the member continuing in good standing, the only conditions binding upon the member are the agreements as to his full compliance with the laws and rules of the association, and that all dues and assessments shall have been paid as required. In all other respects the payment of any sum due under any certificate, issued to a member, shall be indisputable and incontestable.’ The sixth replication then avers that William Achterrath became a member of the order under the provisions of the constitution and by-laws in force at that time, and at the time the certificate was issued, and so remained during his lifetime; that he was in good standing in the order at the time of his death, and that, under said section 1 of article 16, the amount due plaintiff is incontestable and indisputable by defendant, and that defendant is estopped from refusing payment on account of Achterrath's death by self-destruction.

The plaintiff below filed a further replication, spoken of as replication No. 7, to the second and third pleas, averring that, after the defendant knew of Achterrath's death by self-destruction, it collected and accepted from the plaintiff 85 cents, the full amount of one assessment levied against Achterrath, and still retains the money, and thereby waived the provision against suicide, and cannot claim exemption on account thereof.

The defendant below, appellant here, filed a rejoinder to the sixth replication, averring that, while it admitted its incorporation, and that the constitution and by-laws provided the things set forth in the replication, yet Achterrath did not make full compliance with the laws, rules, and regulations, in that he committed suicide or self-destruction; that he died by his own hand, willfully and intentionally shooting himself with a pistol; and that, therefore, section 1 of article 16 is not binding on the defendant, but rendered the contract null and void, wherefore Achterrath lost his good standing, and was not at his death in good standing; and that the defendant was discharged from liability under the contract. The plaintiff below demurred to this rejoinder to the sixth replication, and the demurrer was sustained. The defendant below then filed its amended rejoinder to the sixth replication, therein admitting the incorporation of the plaintiff under the laws of Illinois, and that its constitution and by-laws provided the things set forth in the replication, but alleging that William Achterrath was not in good standing at the time of his death. To this rejoinder plaintiff added the similiter.

Defendant below filed a rejoinder to plaintiff's seventh replication, setting up that it was provided by section 1 of article 12 of the constitution and by-laws of defendant, which were a part of his contract, that all assessments are due and payable to the local secretary of the circle to which the member belongs on the first day of each month, and that the assessment referred to in the seventh replication was due and payable on May 1, 1901, prior to the death of Achterrath; that defendant had a right to accept it; that defendant had no knowledge of the manner of Achterrath's death until after the assessment was due and payable, and, by receiving it, did not waive any part of the contract providing that self-destruction should avoid the contract. Plaintiff joined issue upon this rejoinder.

The cause was tried before the court and a jury. The jury found a verdict...