Dexter v. Duncan, Guardian

• Decision Date: 31 October 1924
• Parties: Dexter v. Duncan, Guardian, et al.
• Court: Kentucky Court of Appeals

Page 344

205 Ky. 344

Dexter v. Duncan, Guardian, et al.

Court of Appeals of Kentucky.

Decided October 31, 1924.

Appeal from Muhlenberg Circuit Court.

T. J. SPARKS for appellant.

BELCHER & BELCHER for appellee.

OPINION OF THE COURT BY CHIEF JUSTICE SAMPSON — Affirming.

In 1904 Riley M. Dexter took out a certificate of life insurance with the United Order of the Golden Cross, whereby that organization agreed to pay his wife, Nettie Dexter, as beneficiary, upon the death of the insured, the sum of $1,000.00, provided the conditions of the certificate were kept and performed by the insured. In 1905 he took out a certificate with the Modern Woodmen of America for a like sum, making his wife, Nettie Dexter, beneficiary. A few years later Nettie Dexter, beneficiary in both policies, died survived by the insured and two children, the latter appellees herein. In the course of two or three years Dexter remarried. Shortly before the institution of this action he died survived by his second wife, Annie Dexter, and appellees, Mary and Doxie Dexter, and two children by his last wife. This controversy arose between the widow, Annie Dexter, and the children by his first wife over the money arising from the two benefit certificates. Although Nettie Dexter, the insured's first wife, was named beneficiary in both policies and died before insured, he failed to name another beneficiary, and at the time of the death of the insured the beneficiary in each policy was Nettie Dexter. The terms of the policies were somewhat uncertain, especially one of them was indefinite as to who should receive the money in case of the death of the beneficiary before the death of the insured. The guardian of the children of the first wife sought advice of attorneys as to the rights of his wards to the funds arising from the insurance of their father. He also called upon appellant, Annie Dexter, and talked to her about the rights of his wards to the money. According to the evidence of Mr. Duncan, guardian of appellees, the widow, Mrs. Annie Dexter, proposed a settlement without litigation of the contentions, she agreeing to collect both policies and when the money was received to retain $1,000.00 for herself and pay the balance, $1,000.00, to him as guardian for the two children. According to the evidence of appellee Duncan and his witnesses there was a good faith controversy between the widow and guardian as to who was entitled to the money under the terms of the policies; and while this dispute was alive and unsettled the appellant, Annie Dexter, proposed the compromise along the lines stated above, which proposition was accepted by appellee Duncan, for and on behalf of his wards; that this compromise was approved...