Equitable Trust Co. v. Widows' Fund of Oasis and Omar Temples of Charlotte
| Decision Date | 01 January 1935 |
| Docket Number | 537. |
| Parties | EQUITABLE TRUST CO. v. WIDOWS' FUND OF OASIS AND OMAR TEMPLES OF CHARLOTTE. LANSBURGH v. SAME. |
| Court | North Carolina Supreme Court |
Appeal from Superior Court, Mecklenburg County; Shaw, Emergency Judge.
Actions by the Equitable Trust Company and Mrs. Anna Lea Lansburgh against the Widows' Fund of Oasis and Omar Temples of Charlotte. From an adverse judgment, first named plaintiff appeals.
Affirmed.
On May 1, 1930, Henry B. Lansburgh received a benefit certificate No. 1224 from the Widows' Fund of Oasis and Omar Temples. The amount of insurance provided in said certificate was $1,200, and the beneficiary named therein was Mrs. Anna Lea Lansburgh, wife of the insured.
On January 14, 1932, Henry B. Lansburgh executed a trust agreement with the Equitable Trust Company, trustee. This trust agreement recites that "the insured desires to establish a trust of certain policies of insurance upon his life, and of the proceeds of said policies, which policies are set forth in Schedule A," etc. Paragraph 5 of the trust agreement provides that: Paragraph 7 authorizes "said trustee, in the exercise of its sole and absolute discretion, may purchase securities or property of any kind * * * make loans or advances to the executor or administrator of the insured in case such executor or administrator is, in the opinion of said trustee, in need of cash with which to pay taxes, claims or other indebtedness of the estate of the insured." It was further provided that the net proceeds of the trust should be held by said trustee for the use and benefit of the children of sisters of the insured according to certain limitations set forth in the instrument.
On October 26, 1932, the insured made an application to the Widows' Fund of Oasis and Omar Temples, declaring that the aforesaid certificate No. 1224 had been lost and applying for insurance in the amount of $1,200, and specifying that in the new certificate or policy his wife, Anna Lea Lansburgh should be made beneficiary, reserving the right to change the beneficiary. Accordingly, policy or certificate No. 11689 was duly issued to the insured, and such policy named Anna Lea Lansburgh as beneficiary.
Thereafter on March 13, 1933, the insured requested the Widows' Fund of Oasis and Omar Temples to name the Equitable Trust Company of Baltimore, Md., trustee, as the beneficiary in said policy.
The insured died on the 24th day of March, 1933. After the death of the insured, the widow, Anna Lea Lansburgh, claimed the fund, and brought a suit against the Widows' Fund of Oasis and Omar Temples, Charlotte, N. C., to recover the same. In the meantime the Equitable Trust Company, trustee brought a suit against the same defendant, asserting that it was entitled to the insurance fund by virtue of the fact of the change of beneficiary from the wife to said plaintiff.
The cases were consolidated for trial.
The widow, Anna Lea Lansburgh, offered in evidence the by-laws of the Widows' Fund and certain allegations in the pleadings tending to show the facts as above stated. The Equitable Trust Company offered in evidence policy No. 11689, "with the name of Anna Lea Lansburgh, wife of beneficiary, stricken out with red ink," etc., and also offered the trust agreement between it and the insured. Section 10 of the by-laws of the Widows' Fund is as follows: "In case the certificate of membership shall be lost or destroyed, and a member desires to procure a new certificate of membership, or desires to change the beneficiary designated therein, he shall have the designated beneficiary, if living, join in the application for a new certificate, or for change of the beneficiary."
Two issues were submitted to the jury, as follows:
(1) "Is the defendant indebted to the plaintiff, Mrs. Anna Lea Lansburgh; if so, in what amount?"
(2) "Is the defendant indebted to the plaintiff, Equitable Trust Company; if so, in what amount?"
The court instructed the jury to answer the first issue "Yes," and the second issue "No."
From judgment upon the verdict in favor of the widow, the Equitable Trust Company, Trustee, appealed.
J. L. De Laney, of Charlotte, for Mrs. Anna Lea Lansburgh.
Wm Lentz, of Baltimore, Md., and Murray Allen, of...
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