Hull v. Brotherhood of American Yeomen

• Decision Date: 10 February 1925
• Docket Number: 36451
• Citation: 202 N.W. 6,199 Iowa 356
• Parties: J. E. HULL, Administrator, Appellant, v. BROTHERHOOD OF AMERICAN YEOMEN et al., Appellees
• Court: Iowa Supreme Court

202 N.W. 6

199 Iowa 356

J. E. HULL, Administrator, Appellant, v. BROTHERHOOD OF AMERICAN YEOMEN et al., Appellees

No. 36451

Supreme Court of Iowa, Des Moines

February 10, 1925

Appeal from Wapello District Court.--W. M. WALKER, Judge.

ACTION upon a certificate of life insurance. Intervention by the heirs at law of the insured, claiming the proceeds of the certificate. A demurrer to the petition of intervention was overruled; and, the plaintiff electing to stand thereon, and refusing to plead further, judgment was entered in favor of interveners. Plaintiff appeals.

Affirmed.

F. G Orelup, for appellant.

E. R Mitchell, for appellees.

STEVENS J. FAVILLE, C. J., and DE GRAFF and VERMILION, JJ., concur.

OPINION

STEVENS, J.

This is an action upon a certificate of life insurance issued by the appellee Brotherhood of American Yeomen upon the life of Elmer Campbell. The beneficiary named in the certificate predeceased him.

The by-laws of the association provided specifically the method of changing beneficiaries, the provision being the one frequently incorporated in the by-laws of insurance associations organized on the plan of appellee. No attempt was made by the member to change the beneficiary in the manner provided by the by-laws of the association, but he did attempt to dispose of the proceeds of the certificate by will. Section 161 of the by-laws of the association provides as follows:

"In the event of the death of a beneficiary or beneficiaries before the death of the member, and the member shall have made no other disposition of the benefits, that portion of the benefits made payable to the deceased beneficiary or beneficiaries shall be paid to the legal heirs of such deceased member."

The law is well settled in this state that, where the certificate provides a method for changing the beneficiary, that method is exclusive, and must be followed. Wilmaser v. Continental Life Ins. Co., 66 Iowa 417, 23 N.W. 903; Stephenson v. Stephenson, 64 Iowa 534, 21 N.W. 19; Shuman v. American O. U. W., 110 Iowa 642; Modern Woodmen of America v. Little, 114 Iowa 109, 86 N.W. 216; Holden v. Modern Brotherhood of America, 151 Iowa 673, 132 N.W. 329; Wendt v. Iowa Legion of Honor, 72 Iowa 682, 34 N.W. 470; Schoep v. Bankers Alliance Ins. Co., 104 Iowa 354, 73 N.W. 825.

Nor may the insured, under such circumstances, designate or appoint another beneficiary by will. Wilmaser v. Continental Life Ins. Co., supra; McClure v. Johnson, 56 Iowa 620, 10 N.W. 217; Wendt v. Iowa Legion of Honor, supra; Pincher v. Puckett, 77 Kan. 284 (94 P. 132); Olmstead v. Masonic Mut. Ben. Soc., 37 Kan. 93 (14 P. 449); Daniels v. Pratt, 143 Mass. 216 (10 N.E. 166).

The exceptions to the above rule recognized by this court are found in Brinsmaid v. Iowa State Trav. Men's Assn., 152 Iowa 134, 132 N.W. 34, and Townsend v. Fidelity & Cas. Co., 163 Iowa 713, 144 N.W. 574. In the first of the above cases, the certificate provided that the benefit might be made payable to a legatee; and this was held to authorize the disposition thereof by will, as there is nothing in the statutes of this state or the by-laws of the association in any way conflicting therewith.

In the Townsend cas...