Sovereign Camp Woodmen of the World v. Thornton

• Decision Date: 25 April 1902
• Citation: Sovereign Camp Woodmen of the World v. Thornton, 115 Ga. 798, 42 S.E. 236 (Ga. 1902)
• Parties: SOVEREIGN CAMP WOODMEN OF THE WORLD v. THORNTON.
• Court: Georgia Supreme Court

42 S.E. 236

115 Ga. 798

SOVEREIGN CAMP WOODMEN OF THE WORLD v. THORNTON.

Supreme Court of Georgia

April 25, 1902

Syllabus by the Court.

1.By-laws enacted by a fraternal insurance order will, in the absence of a clearly expressed intention to the contrary, be construed to have a prospective operation.

Error from city court of Atlanta; H. M. Reid, Judge.

Action by M. H. Thornton against the Sovereign Camp, Woodmen of the World.Judgment for plaintiff, and defendant brings error.Affirmed.

Rosser & Carter and J. L. Hopkins & Sons, for plaintiff in error.

King & Spalding, for defendant in error.

SIMMONS C.J.

The plaintiff in error, a mutual fraternal benefit association issued to J. A. Thornton, on May 31, 1893, a certificate for $3,000, payable at his death, on certain conditions, to his wife as beneficiary.This certificate contained, among others, the following stipulation: "This certificate is issued and accepted subject to all the conditions on the back hereof, and named in the sovereign constitution, fundamental laws, and by-laws of this fraternity, and liable to forfeiture if said sovereign [member] shall not comply with said conditions, constitution, fundamental laws, and such by-laws and rules as are or may be adopted by the sovereign camp, head camp, or the camp of the jurisdiction of which he is a member at the date of his death."Among the conditions referred to, and which were made a part of the certificate, was the following: "If the member holding this certificate *** shall die *** by his own hand [except that it be shown that he was at the time insane], *** then *** this certificate shall be null and void."In 1897 the following by-laws were enacted: "If the member holding this certificate *** should die by his own hand or act, whether sane or insane, *** or if any of the statements or declarations in the application for membership, and upon the faith of which this certificate was issued, shall be found in any respect untrue, this certificate shall be null and void and of no effect.""It [the sovereign camp] shall enact laws for its own government and for conducting the business of the order generally, provide penalties for violation thereof, have power to prescribe and finally determine the rights, privileges, duties, and responsibilities of itself and its camps and the membership of the order."In 1899, prior to the death of Thornton a by-law known as section 59 was enacted, as follows: "The following conditions shall be made a part of every beneficiary certificate, and shall be binding on both member and order.""If the member holding this certificate *** should die *** by his own hand or act, whether sane or insane ***; or if any of the statements or declarations in the application for membership, and upon the faith of which this certificate was issued, shall be found in any respect untrue, this certificate shall be null and void, and of no effect."At the same time another by-law, known as section 65, was adopted, reading as follows: "If any member of this order *** should die *** by his own hand or act, whether sane or insane, *** or if the statements or declarations in his application for membership shall be in any respect untrue, his certificate shall be null and void, and of no effect;" and also, at the same time, a by-law known as section 68, as follows: "Each and every beneficiary certificate is issued only upon the conditions stated in and subject to the constitution and laws.The constitution and laws of the sovereign camp of the woodmen of the world now in force, or which may be hereafter enacted, by-laws of the camp now in force, or which may be hereafter enacted, the application and certificate, shall constitute a part of the beneficiary contract between the order and the member."There were other by-laws adopted in 1899, which are shown in the brief of evidence, but the view that we take of the case renders it unnecessary to set them forth here, as they would not be illustrative of the questions to be decided.

Thornton died after the adoption of the by-laws which we have quoted.He was insane at the time of his death, and died by his own hand.Notice and proofs of death were duly submitted to the insurance society, but payment of the amount of the certificate was refused.Mrs. Thornton, the beneficiary thereupon brought her action upon the certificate in the city court of Atlanta.The evidence introduced on the trial consisted of the extracts from the constitution and by-laws of the defendant society which have been quoted above, together with others which it is not necessary to specifically enumerate, and a statement of facts agreed upon by counsel for both parties.After argument, the court directed a verdict for the plaintiff for the full amount of the policy, to which ruling the defendant excepted.This case has been twice argued by brief by the able and learned counsel for the plaintiff and the defendant in error.Numerous cases have been cited by both sides upon the question of the power of an...