Supreme Tribe of Ben Hur v. Gailey

• Decision Date: 15 February 1915
• Docket Number: (No. 190.)
• Parties: SUPREME TRIBE OF BEN HUR v. GAILEY.
• Court: Arkansas Supreme Court

173 S.W. 838

SUPREME TRIBE OF BEN HUR v. GAILEY.

(No. 190.)

Supreme Court of Arkansas.

February 15, 1915.

Appeal from Circuit Court, Cross County; W. J. Driver, Judge.

Action by Anna Gailey, administratrix of Isaac S. Adams, deceased, against the Supreme Tribe of Ben Hur. From a judgment for plaintiff, defendant appeals. Affirmed.

Appellee, as administratrix of the estate of Isaac S. Adams, deceased, brought this suit to collect a benefit certificate issued by appellant to him, insuring his life in the sum of $2,000, payable at his death "to his legal representatives bearing relationship to said member of administrator or executor."

The appellant denied liability, alleged it was a fraternal beneficiary association, chartered under the laws of the state of Indiana, and that, notwithstanding said deceased may have become a member of said order and paid his installments of dues, his administrator is not entitled to recover upon his benefit certificate, because there is no person lawfully entitled to receive the benefit, and because, under the constitution and laws of the order and the laws of the state of Indiana, a policy of insurance upon the life of a member can only be paid to one of the following classes: "Families, heirs, blood relatives, affianced husband or affianced wife, or persons dependent upon the member" — and, further, that said Adams died unmarried without any known heirs or persons of the classes mentioned, and leaving no person dependent upon him. It also plead ultra vires alleging the contract was void because issued in excess of the order's authority.

It appears from the testimony that Isaac S. Adams died on January 13, 1912, holding the benefit certificate or policy of insurance sued on in the Supreme Tribe of Ben Hur. In his application for membership it was stated that his father and mother were dead, and he had no sisters, and only one brother, who was born dead, and "he has no relative known"; this statement appearing at end of sentence directing payment to his executor or administrator.

Appellee testified she was appointed administratrix of deceased's estate; that she had known the deceased for 35 years, who had resided in her family or with some member of it nearly all his life; that he came from Mississippi, and she did not know what relatives or heirs he had in that state or elsewhere; that he supported himself by his work, and "during all the time I knew him, I never saw a letter from any of his family in Mississippi, and no relation ever visited him while he lived in my family. He was a small boy when he came to our house and was never married. I do not know that he has any blood relatives, and know of no woman to whom he was engaged to be married, and of no one dependent upon him for support at the time of his death. Have heard him say at different times, if he had any relatives, he did not know who they were." No debts have been probated against his estate, nor any accounts presented to the administratrix.

The policy sued on provides:

"The Supreme Tribe of Ben Hur will from its benefit fund pay to his legal representatives bearing the relationship to said member of administrator or executor the sum of $2,000, upon the required proof of his death while in good standing as a beneficial member of this association and on the surrender of this certificate."

The laws of the order provide:

Section 10:

"Payment of death benefits shall be to the families, heirs, blood relatives, affianced husband or affianced wife, or to persons dependent upon the members, and to such other persons or classes or designations as may be authorized by the laws of this state [meaning Indiana]."

Also that a member may designate as beneficiary any one belonging to the following classes, naming the same as in section 10, and "or legal representatives provided, where the certificate is payable to legal representatives, the benefits shall be payable to the executor or administrator of the deceased member in trust for such member's heirs."

The law of the state of Indiana (Laws 1899, c. 117) declaring the association a corporation...