JAMES J. BRADY, JUDGE.
This matter is before the Court on two Motions. The first is a Motion for Summary
The second motion is a Motion for Attorney's Fees and Costs (Doc. 21) filed by the original Plaintiff-in-Interpleader, Transamerica Life Insurance Company ("Transamerica"). This Motion is unopposed.
The Court's jurisdiction exists pursuant to 28 U.S.C. § 1335. Oral argument is unnecessary. For the reasons stated herein, Glover's Motion for Summary Judgment (Doc. 23) is
This case is about a dispute over the proceeds of David A. Leclere's ("the Decedent") life insurance policy. This is essentially a dispute between the Decedent's fiancée and his children, on the one hand, and his ex-wife, on the other hand.
Most of the facts giving rise to this case are not in dispute. In 1999, Transamerica issued a life insurance policy to the Decedent. In March 1999, the Decedent executed a beneficiary designation form which provided that the proceeds of the policy would be split between his wife and sons. In 2005, the decedent divorced his wife, Karen Leclere.
In January 2010, the Decedent executed a new beneficiary designation form which provided that the proceeds were to be divided between different trusts set up for his sons. Notably, Karen had been removed as a beneficiary. Transamerica received this form but sent the Decedent a letter informing him that the new designations could not be processed because additional information was needed. The Decedent took no further action regarding the proposed January 2010 beneficiary change.
In December 2014, the Decedent attempted to execute another beneficiary designation change. The form provided that the proceeds were to be distributed as follows: 30% to Lisa Glover (who was listed as the Decedent's fiancée on the form), 40% to the Benjamin Leclere Testamentary Trust, 15% to David A. Leclere II, and 15% to Michael Joshua Leclere. Notably, the change form submitted by the Decedent contained the following language: "A confirmation of the change will be mailed to the owner's address of record, unless one of the below options is selected. If there is more than one owner, please designate one email address or fax number.
A few days after the Decedent sent this form, Transamerica wrote a letter to the Decedent confirming receipt of the beneficiary change form and noting that it could
The Decedent died in July 2015. This letter was never opened by the Decedent during his lifetime. The letter was sent to his office during a time when the Decedent was allegedly relocating.
Transamerica filed the instant interpleader action as a disinterested stakeholder noting that there were conflicting claims among the Defendants. Lisa Glover, the Decedent's fiancée, now moves for summary judgment arguing that the Court should find the December 2014 change of beneficiary form valid and enforceable. She argues that the Decedent "substantially complied" with the procedures for changing the beneficiary form. Karen Leclere, the Decedent's ex-wife, opposes the Motion. She spends the majority of her brief attacking the admissibility of Glover's evidence, and only a single page addressing the merits of Glover's Motion.
Karen Leclere argues that Glover's Exhibits 1, 3, 4, 5, 6, 7, 10, and 10A are not competent summary judgment evidence because they were not authenticated. This Court disagrees for two overarching reasons. First, the majority of these exhibits are properly before the Court because Karen Leclere, in her Answer, accepted these documents.
The general rule is that a party is bound by the admissions in her pleadings.
Here, the Court finds that excusing Karen Leclere from her unequivocal admissions would be an abuse of discretion. In her Answer, Karen Leclere admitted "to the allegations of paragraphs XII through XVI of the Complaint, and state[d] that the Exhibits identified [in those paragraphs] are the best evidence of their contents."
The Court finds Karen Leclere's argument, that these exhibits are not competent summary judgment evidence, overwhelmingly meritless. In her own Answer, Ms. Leclere accepted the allegations in the Complaint regarding the basic facts alleged in Glover's Motion. Additionally, she accepted Exhibits 1, 3, 4, 5, 6, and 7, as their own best evidence of the allegations presented in paragraphs XII through XVI. The Court finds no reason to excuse Ms. Leclere from these admissions given that Ms. Leclere has presented no evidence which casts doubt on the validity of these documents. Accordingly, these documents are properly before the Court.
Ms. Leclere also argues that Exhibits 8 and 9 should not be considered by this Court because they are affidavits that contain sworn statements that were not made based on personal knowledge. Exhibit 8 is an affidavit by the Decedent's paralegal, and Exhibit 9 is an affidavit by an employee of Transamerica. The Court finds that both of these affidavits comply with Rule 56(c) of the Federal Rules of Civil Procedure. To the extent that there are any "personal knowledge" problems with these affidavits, the Court has disregarded any statements in the affidavits that could not have been made on personal knowledge.
Accordingly, Exhibits 1, 3, 4, 5, 6, 7, 8 and 9 are properly before this Court. The Court does not address Exhibits 10 or 10A
Summary judgment should be granted if the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.
A party moving for summary judgment must demonstrate the absence of a genuine issue of material fact, but need not negate the elements of the nonmovant's case.
The Court finds that the material facts are undisputed, and therefore, it is proper to resolve the case at this stage. The only real conflict between the parties concerns the legal consequences that flow from the undisputed facts. Here, the conflict is over whether the Decedent "substantially complied" with the procedure for changing his beneficiary designations such that the 2014 beneficiary form should be given legal effect.
Karen Leclere argues that there is a genuine dispute as to whether it was the Decedent who sent the 2014 beneficiary designation change form, and this dispute precludes summary judgment: "Glover argues that it is `not in dispute' that [the Decedent] filled out a beneficiary change form on December 1, 2014, then signed the form and submitted it to Transamerica, but there is a genuine dispute as to this material fact. Glover merely attaches an unsworn and unauthenticated copy of the alleged form, and even if it were attached to an affidavit of [the Transamerica employee],
Both parties agree that this dispute is governed by Louisiana law. Generally, Louisiana law requires strict compliance with an insurance contract's terms to effect a change of beneficiary.
Where an insured fills out a formal document provided by the insurer which manifests his intent to change a beneficiary, and this form complies with the procedures set out on the face of the policy, the change of beneficiary will be given effect even if the insured has not complied with every internal procedure of the insurance company.
The trial court granted summary judgment in favor of his daughter, finding that the form questionnaire that the decedent filled out was an application to change the beneficiary but not a formal document that could change the beneficiary.
Where the decedent does not complete all of the steps to effect a beneficiary change, but he is not made aware that he needs to take more steps to effect the change because of a failure of the insurance company and/or its agent, the change will be deemed effective as long as the insurance company had notice of his attempted change.
Even construing the facts in the light most favorable to the nonmovant, the Court finds that the Decedent substantially complied with the procedures such that the December 2014 beneficiary designation shall be given effect. The Court assumes, for the purposes of ruling on this Motion, that the Decedent received the letter from Transamerica which noted that his December 2014 beneficiary change was not effective because of some minor errors, but that he did not open it because he was busy with the office move. The Court also assumes that the Decedent was aware that these types of minor errors could inhibit him from changing the beneficiary because he had tried to change the beneficiaries in December 2010 but he was unsuccessful because of similar minor errors. Even viewing the facts in this way, the Court finds, that as a matter of law, the Decedent did all that lay within his power to effect the change, and, therefore, the proceeds shall be distributed according to the December 2014 designation form.
Like the decedent in Whitman whose change of beneficiary was effective where he filled out a form that complied with the face of the policy even though it did not comply with the internal procedures of the policy, the Decedent here filled out a form that complied with the face of the Transamerica policy even though it had some technical problems. The Transamerica policy stated: "You may change the designated Beneficiary while the insured is living by sending a satisfactory written notice to us. The change will not be effective until we record it at our administrative office."
Additionally, like the decedent in Kibling, whose change was effective where he was not made aware that he needed to fill out another form because the agent never properly contacted him, the Decedent's change is effective where he was not made aware that he needed to make some minor changes to the form because Transamerica failed to contact him properly. Even assuming that the Decedent saw the letter and ignored it, the Decedent still did substantially all that lay within his power to effect the beneficiary change. He filled out the form, gave Transamerica an e-mail address, and checked a box on the form which indicated, in bold and underlined writing, that he would not be sent any paper forms requesting additional information. The undisputed evidence shows that no e-mail was ever sent to the Decedent. The undisputed evidence shows that Decedent was unaware that he needed to submit corrections. Transamerica was responsible for this because they did not contact him via the proper channel. As a matter of law, the Decedent did all that was within his power to make the change.
In support of her Opposition, Karen Leclere presents an affidavit in which she avers that she paid for the Decedent's funeral, and some other things for their minor son including his school tuition. She
Accordingly, Lisa Glover's Motion for Summary Judgment (Doc. 23) is
Transamerica brings a Motion for Attorney's Fees and Costs. This Motion is unopposed. A district court has the authority to award reasonable attorney's fees and costs in interpleader actions.
For the reasons stated herein, Glover's Motion for Summary Judgment (Doc. 23) is