Knights of Honor v. Watson

• Decision Date: 19 July 1888
• Citation: 64 N.H. 517,15 A. 125
• Parties: KNIGHTS OF HONOR v. WATSON et al.
• Court: New Hampshire Supreme Court

15 A. 125

64 N.H. 517

KNIGHTS OF HONOR

v. WATSON et al.

Supreme Court of New Hampshire. Belknap.

July 19, 1888.

Bill of interpleader by a mutual benefit association, to determine to whom a benefit of $2,000 accruing on the death of Frank P. Watson, a member of the association, should be paid, and particularly whether Mrs. May Lamprey, one of the defendants, is entitled to receive $250, part of the $2,000.

E. A. & C. B. Hibbard, for Mrs. Lamprey. Jewell & Stone, for defendants.

SMITH, J. January 2, 1878, Frank P. Watson received from Aurora Lodge, No. 708, of Knights of Honor, a local lodge of that organization established at Laconia, of which he was a member, a benefit certificate for the sum of $2,000, payable to Fred C. Watson, one of the defendants. The constitution of the supreme lodge at that time authorized the issuing of a benefit certificate, payable on the death of the member to his family, or as he might direct. In 1881 the supreme lodge called in all certificates issued by local lodges. F. P. Watson surrendered his certificate, and received a new one for the same amount, dated February 15, 1883, payable to Mrs. Lamprey and to three of the other defendants, in the sum of $500 each. In November, 1886, Watson surrendered the second certificate, and directed that a new one be issued to him, payable as follows: To C. B. S. Watson, $750; to Mercy Watson, $500; to Fred C. Watson, Hattie Watson, and Mrs. Lamprey, $250 each. November 22, 1886, the certificate in controversy was issued, payable as directed. In 1884 the constitution was changed, so as to authorize the issuing of a certificate to a member payable "to some member or members of his family, or person or persons dependent on him, as he may direct or designate by name, to be paid as provided by general law." Mrs. Lamprey was not a member of F. P. Watson's family, nor in any way related to or dependent upon him. C. B. S. Watson and Mercy Watson were his parents, and cared for him during his last sickness, in their family, a period of two years. Fred C. Watson was his brother, and Hattie H. was the wife of Fred C. The plaintiffs had no knowledge that Mrs. Lamprey was not a member of F. P. Watson's family, nor that she was not dependent upon him at that time of issuing the last certificate. The plaintiffs have paid the sum of $2,000 into court, and the defendants litigate the question of its disposition.

No such interest vested in the beneficiaries named in the first and second certificates issued to F. P. Watson as prevented him from surrendering the same for one payable to others. Under the plaintiffs' constitution the power of direction as to the object of the benefit made payable in the certificate of membership did not need to be exercised at the time Watson became a member, and, when exercised, the power was...