Source: s3://data.kl3m.ai/documents/govinfo/USCOURTS/USCOURTS-akd-3_11-cv-00087/USCOURTS-akd-3_11-cv-00087-1/pdf.json

Nature of Suit Code: 110
Nature of Suit: Insurance
Cause of Action: 28:1332 Diversity-Interpleader Action

---

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF ALASKA

THE PRUDENTIAL INSURANCE ) 

COMPANY OF AMERICA, ) 

) 

 Plaintiff, ) 

) 

vs. ) 

) 

LISA M. DONLON and THERESA D. COOK, ) 

) N o . 3 :1 1 - c v-0087-HRH

Defendants. ) 

_______________________________________) 

FINDINGS OF FACT

AND

CONCLUSIONS OF LAW

The issues raised in this case were tried to the court without a jury, commencing

February 2, 2015. The court has since received written closing arguments from the parties.1

Based upon the parties’ statement of uncontested facts,2the trial testimony, exhibits admitted

at trial, and the parties’ closing arguments, the court now makes its findings of fact and

conclusions of law. 

Proceedings

This case commenced upon the filing of a complaint in interpleader by the Prudential

Insurance Companyof America (“Prudential”).3It is undisputed that Jason Donlon (“Jason”)

was covered by a Servicemembers’ Group Life Insurance (“SGLI”) policy (G-32000), which

1Docket Nos. 130, 131, and 132. 

2Docket No. 98. 

3Docket No. 1. 

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Prudential issued pursuant to the Servicemembers’ Group Life Insurance Act (“SGLIA”),

38 U.S.C. §§ 1965-1980A. In its complaint, Prudential alleged that it was unable to

determine factually or legally, who, as between defendants Lisa M. Donlon (“Lisa”) and

Theresa D. Cook (“Theresa”), was entitled to 90% of the death benefits which Prudential

was ready and willing to pay on account of the death of Jason Donlon. Theresa admitted all

of the allegations of Prudential’s complaint and prayed for judgment establishing her right

to the life insurance proceeds offered by Prudential.4 Similarly, Lisa admitted the essential

allegations of Prudential’s complaint. Lisa asserts an affirmative defense. Lisa contends that

the death of Jason was “justified and not felonious.”5 Lisa seeks a court order entitling her

to the insurance proceeds offered by Prudential. 

The case being at issue, the parties entered into a stipulation with Prudential that

required Prudential to deposit with the registry of this court $360,000.00 plus interest

representing the insurance proceeds which were in dispute between Theresa and Lisa.6 The

funds in question were deposited with the court and, on June 27, 2011, Prudential was

dismissed with prejudice and without costs from this case,7leaving Theresa and Lisa to

litigate entitlement to the insurance proceeds. 

As reflected by the parties’ June 2011 stipulation,8 Lisa was under indictment as a

result of the death of Jason. The parties agreed that if Lisa were convicted of Jason’s death,

she would have thereby forfeited any right to the insurance proceeds in question; and if Lisa

4Answer to Complaint in Interpleader by Theresa D. Cook, Docket No. 4. 

5Lisa Donlon’s Answer to Complaint in Interpleader at 3, Docket No. 7. 

6Docket No. 10. 

7Docket No. 11. 

8Docket No. 10 at 2. 

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were to have forfeited the insurance proceeds, it was agreed that under the Prudential policy,

death benefits would be payable to Theresa. Based upon a report from the parties,9

proceedings in this court were stayed by order of July 21, 2011,10 because of the underlying

criminal litigation. By a series of orders,11this stay of proceedings was continued until

March 29, 2013. By status report of April 3, 2013,12 the parties reported that, as a

consequence of trial in State v. Donlon, No. 3PA-10-34387-CR, Lisa was found not guilty

in connection with the death of Jason. 

A scheduling and planning order for the pretrial development of this case was entered

May 30, 2013.13 In due course, the pretrial development of the case was completed and

motions were filed and determined by the court.14 Thereafter, the court called upon the

parties to certify the case ready for trial.15 By order of August 7, 2014,16 the case was set for

trial beginning February 2, 2015. Concurrent with the trial setting, the court entered its Order

for Pretrial Proceedings and Final Pretrial Conference.17 The parties fully complied with that

9Docket No. 13. 

10Docket No. 15. 

11Docket Nos. 17, 19, 21 and 23. 

12Docket No. 24. 

13Docket No. 28. 

14Docket No. 73. 

15Docket No. 74. 

16Docket No. 85. 

17Docket No. 91. 

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order. The parties filed a statement of uncontested facts,18 which is incorporated into the

court’s findings. The parties also filed a joint statement of issues,19their respective witness

lists,20 their respective exhibit lists,21 and their respective trial briefs.22 

Opening statements having been waived, Theresa’s Exhibits 1 through 24 were

admitted by stipulation, and Theresa rested. Over four days, the court heard testimony from

Lisa’s witnesses and rebuttal testimony on behalf of Theresa.23 

Issues Presented

The parties’ joint statement of issues accurately captures the single issue presented 

by this case: did Lisa intentionally and wrongfully kill Jason? In their statement of issues,

the parties agreed that Theresa has the burden of establishing, on a more likely than not basis,

that Lisa intentionally and wrongfully killed Jason. In this regard, the parties have in

substance agreed that Theresa must, by a preponderance of the evidence, negate the

contention that Lisa acted in self-defense. Lisa contends that her actions were justified in

reliance upon AS 11.81.335. 

Applicable Law

“Because [a] SGLI policy ... is a federal contract issued pursuant to a federal statute,

distribution of benefits under that policy is governed by federal law.” Dachtler v. Anderson,

772 F. Supp. 2d 1301, 1305 (D. Nev. 2011) (citing Prudential Ins. Co. of Am. v. Athmer, 178

18Docket No. 98. 

19Docket No. 99. 

20Docket Nos. 101 and 103. 

21Docket Nos. 100 and 102. 

22Docket Nos. 109 and 110. 

23Transcript of Trial by Court, Vols. I-V, Docket Nos. 125-129. 

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F.3d 473, 475 (7th Cir. 1999); Prudential Ins. Co. of Am. v. Neal, 768 F. Supp. 195, 197–98

(W.D. Tex. 1991)). Regulations promulgated pursuant to the SGLIA provide: 

(e)(1) The proceeds payable because of the death of an

individualinsured under Servicemembers’GroupLife Insurance

or Veterans’ Group Life Insurance (“decedent”) shall not be

payable to any person described in paragraph (e)(2) of this

section. A Servicemembers’ Group Life Insurance Traumatic

Injury Protection benefit payable under § 9.20(j)(3) shall not be

payable to any person described in paragraph (e)(2) of this

section. 

 (2) The persons described in this paragraph are:

(i) A person who is convicted of intentionally and wrongfully

killing the decedent or determined in a civil proceeding to have

intentionally and wrongfully killed the decedent.... 

38 C.F.R. § 9.5(e). 

Section 9.5(e)(2)(i) establishes two criteria which call into play different concepts: 

a mental state (“intentionally”) and a societal judgment (“wrongfully”). Here, as to the first

component, we focus upon Lisa’s state of mind. There is no dispute that “intentionally”

should be given its ordinarymeaning of “on purpose.”24 See United States. v. Gallegos, 613

F.3d 1211, 1214 (9th Cir. 2010) (quoting United States v. Iverson, 162 F.3d 1015, 1022 (9th

Cir. 1998)) (when a regulation “‘does not define a term, we generally interpret that term by

employing the ordinary, contemporary, and common meaning of the words’”). As to the

second component, we consider society’s view of the nature of the homicide. The parties

disagree as to whether “wrongfully” affords a slayer the opportunityto establish justification. 

Based upon the rule-making history with respect to § 9.5, Theresa argues that it does

not. The proposed regulation only included the term “intentionally” and did not include the

term “wrongfully.” 77 Fed. Reg. 60304 (Oct. 3, 2012). Theresa argues that the term

24Random House Webster’s College Dictionary 701 (1991). 

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“wrongfully” was “added to reinforce the underlying public policy that one who 

intentionally kills another should not benefit from the act.”25

Theresa reads too much into the limited rule-making history upon which she relies. 

The term “wrongfully” was added to § 9.5(e) because it “speak[s] to the heinous aspect of

the slayer’s act that violates public policy.” Id. But, it was also added to make § 9.5(e)

consistent with 38 C.F.R. § 3.11. Id. Section 3.11 governs dependency and indemnity

compensation for veterans’ survivors and “provides that ‘[a]ny person who has intentionally

and wrongfully caused the death of another person is not entitled to pension, compensation,

or dependency and indemnity compensation ... by reason of such death.’” Lofton v. West,

198 F.3d 846, 847-48 (Fed. Cir. 1999) (quoting 38 C.F.R. § 3.11). In Lofton, the surviving

spouse, who had shot and killed her veteran husband, “argue[d] that the regulation [was]

overbroad because it could prohibit the payment of benefits to a surviving spouse that

mistook her husband for a burglar and mistakenly shot and killed him.” Id. at 851. The court

rejected that argument, concluding that “[i]n such a case, the defense of mistake would

undoubtedly be available to the surviving spouse, and the killing would therefore not be

considered wrongful.” Id.; see also, Robinson v. Gibson, Case 12–3199, 2014 WL 2319254,

at *3 (Vet. App. May 30, 2014) (holding that “[b]ecause ... the record of proceedings

contains no evidence that Mrs. [Robinson]’s actions were the result of an accident,

self-defense or that she was insane at the time of the killing, the Board’s factual finding of

an intentional and wrongful killing is plausible and not clearly erroneous”). Because § 9.5(e)

was modeled on Section 3.11, it follows that § 9.5(e), like Section 3.11, affords a slayer the

opportunity to establish justification.

25Theresa Cook’s Closing Argument at 3, Docket No. 130. 

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Lisa claims self-defense as a justification for killing Jason. Under federal common

law, in order to prevail on a claim of self-defense, a defendant must show that “she acted

with a reasonable amount of force in response to an imminent, perceived threat.” 

Metropolitan Life Ins. Co. v. Kelley, 890 F. Supp. 746, 749 (N.D. Ill. 1995); see also, In re

Greene, 397 B.R. 688, 695 (Bankr. S.D.N.Y. 2008) (under federal common law, a claim of

self-defense requires that the defendant show that she “was under an unlawful, imminent and

impending threat of death or serious bodily injury”). “Because the law pertaining to

self-defense is a matter of federal common law,” the court may also “look to state court

decisions for guidance....” United States v. Desinor, 525 F.3d 193, 199 (2d Cir. 2008). 

Lisa calls our attention to AS 11.81.335(a), which provides: 

Except as provided in (b) of this section, a person who is

justified in using nondeadly force in self-defense under AS

11.81.330 may use deadly force in self-defense upon another

person when and to the extent the person reasonably believes the

use of deadly force is necessary for self-defense against

(1) death;

(2) serious physical injury;

(3) kidnapping, except for what is described as custodial

interference in the first degree in AS 11.41.320;

(4) sexual assault in the first degree;

(5) sexual assault in the second degree;

(6) sexual abuse of a minor in the first degree; or

(7) robbery in any degree. 

“[T]o employ self-defense a defendant must satisfy both an objective and subjective

standard; he must have actually believed deadly force was necessary to protect himself, and

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his belief must be one that a reasonable person would have held under the circumstances.” 

Weston v. State, 682 P.2d 1119, 1121 (Alaska 1984) (emphasis added). 

The parties are in agreement that the burden of proof is on Theresa to negate Lisa’s

claim of self defense. As a practical matter, and for purposes of this case, the latter means

that Theresa has to convince the court by a preponderance of the evidence that objectively

it was not reasonable for Lisa to believe that she was in imminent danger of death, serious

physical injury, kidnapping, or sexual assault, any of which would have justified the use of

deadly force as a defense. 

Findings of Fact

1. Jason and Lisa were married on July 4, 1995, in Greenville, South Carolina. 

The marriage produced three sons: M1 (1997), M2 (1999), and M3 (2002). 

2. Jason was a United States Marine from the ages of 18 through 22, and was

then a member of the Alaska Army National Guard until his death. 

3. At the time of his death, Jason was on leave without pay fromthe Alaska Army

National Guard. Jason would receive nominal pay when he attended a medical appointment

in lieu of drill. The Alaska Army National Guard, unlike the majority of states, covers a

soldier 365 days a year, including for non-drill activity that causes a soldier's death. 

4. At the time of this death, Jason was insured by a SGLI policy issued by

Prudential. Lisa is the primary beneficiary for 90% of any death benefits under the policy

and Theresa, Jason’s mother, is the primary beneficiary for 10% of any death benefits. 

5. On October 3, 2010, Jason found sexually explicit text messages on Lisa’s cell

phone between Lisa and B.K. Jason believed that Lisa and B.K. were having a romantic

relationship. 

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6. In the early morning hours of October 4, 2010, Jason woke up the family,

showed the children the text messages, and demanded that Lisa pack her belongings because

he intended to take Lisa to B.K.’s house. Theresa told Jason that he should not take Lisa to

B.K.’s house in the middle of the night. Nonetheless, Jason drove the family to B.K.’s house

in Anchorage from Butte, Alaska, brought the family to B.K.’s door, woke up B.K. and R.K.,

and showed B.K. and R.K. the text messages on Lisa’s phone. R.K. offered to let Lisa stay

at her and B.K.’s home, and Jason left with the children and Lisa’s cell phone, which Jason

never gave back to Lisa. 

7. Later on October 4, 2010, Jason, along with the children, went to Eagle River

Elementary where Lisa worked. When they arrived at Eagle River Elementary, Jason

approached Lynn Lasher, Lisa’s immediate supervisor. Jason showed Ms. Lasher the text

messages between Lisa and B.K. Ms. Lasher advised that the text messages were not workrelated and refused to fire or punish Lisa. Jason asked for Ms. Lasher’s supervisor because

Jason would not accept her position, and Jason was referred to Colleen Kelley whose office

is located at the Anchorage YMCA building. 

8. Jason, the children, and Lisa went to Anchorage, where Jason contacted

Colleen Kelly. After Jason showed Colleen Kelley the text messages on Lisa’s phone and

Colleen Kelly refused to fire Lisa, Jason asked to speak with Colleen Kelley’s supervisor,

Larry Parker. 

9. Jason met with Larry Parker and showed him the text messages between Lisa 

and B.K. Jason asked Mr. Parker to fire Lisa and B.K. Mr. Parker advised Jason that the

messages were after work hours and not a concern of the YMCA.

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10. Beginning October 4, 2010, and over a total of three days, Jason badgered Lisa

for the “truth” about the text messages. Lisa repeatedly told Jason that there had been a few

kisses and nothing more. Jason became increasingly agitated, angry, and abusive when he

got little or no further explanation from Lisa and no satisfaction from his efforts to involve

others in his concerns. 

11. On October 4 and 5, 2010, Jason repeatedly threatened to kill Lisa. 

12. On October 6, 2010, Jason and Lisa picked up Lisa’s paycheck at the YMCA

building in Anchorage, which Lisa cashed later that day. 

13. On October 6, 2010, Jason, while in the company of Lisa, purchased Singer

heavy duty sewing needles and a bottle of Everclear from the Carr’s store in Eagle River at

3:04 p.m. using Jason’s Carr’s Safeway membership card. 

14. On October 6, 2010, the family watched torture movie clips on Jason’s

computer prior to going to dinner at Evangelo’s Restaurant in Wasilla. 

15. While at Evangelo’s Restaurant, both Jason and Lisa possessed concealed

hand guns. Jason regularly carried a .45 caliber pistol. 

16. On the evening of October 6, 2010, Jason threatened to kill Lisa and the three

Donlon boys. 

17. Beginning October 4, 2010, and during a total ofthree days, Lisa was subjected

to ever-increasing threats and violence at the hands of Jason. The results of the physical

abuse to which she was subjected is depicted in Exhibit H-2. Lisa testified – and forensic

nurse Meyer largely confirmed Lisa’s claim – that she was raped, strangled, assaulted,

whipped, slapped, and punched in the days preceding Meyer’s examination of Lisa on

October 7, 2010. Nurse Meyer could not confirm Lisa’s testimony that she had been

strangled to unconsciousness or that Jason had stuck a sewing needle in Lisa’s breast and

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ankle. Police officers, however, believed Lisa’s explanations of her injuries, and the results

of a search warrant executed on the cabin in which Lisa and Jason had been living produced

all of the paraphernalia that Lisa had described and which Jason had used to torment Lisa on

October 4, 5, and 6, 2010. Lisa’s testimony that Jason sprayed rubbing alcohol on Lisa’s

breasts and endeavored to ignite it is undisputed. 

18. There is no evidence that Jason ever abused the Donlon boys. All three of the

Donlon boys testified at trial. The younger boy was attentive and responsive to questions. 

The oldest Donlon boy appeared disengaged but generally responsive. The middle Donlon

boy was concerned over the fact that he had not been asked to testify at his mother’s trial on

criminal charges. None of the boys evinced any fear of Jason. Although Jason appears to

have sometimes endeavored to shield the boys fromhis abuse of Lisa, at least two of the boys

were present much of the time October 4, 5, and 6, 2010. The boys went to school on

October 5 and 6, but they clearly had some sense of what was going on and generally

corroborated Lisa’s description of what was going on. 

19. Because of Jason’s threats to kill her and the boys, Lisa believed that she and

the boys were in mortal danger. Lisa’s testimony is almost entirely undisputed and

corroborated. Lisa’s testimony is entirely credible. 

20. On the morning of October 7, 2010, while Jason was in bed asleep, Lisa

slipped out of bed and found Jason’s .45 caliber pistol. Lisa admitted that at approximately

6:30 a.m., she shot Jason five times in the back with a .45 caliber handgun, killing him.

26

26Amended Answers to First Request for Admissions, Cook Exhibit 1 at 3-4. By her

answer to Request No. 1, Lisa expressly admitted that at approximately6:30 a.m., on October

7, she shot Jason five times with a .45 caliber handgun. By her answer to Request No. 2,

Lisa expressly admitted that Jason was asleep at the time she shot him; and by her answer to

Request for Admission No. 3, Lisa expressly admitted that she shot Jason in the back. 

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21. Immediatelyafter shooting Jason,Lisamade a 911 call to police, who promptly

responded. 

22. At the time of Jason’s death, Lisa and Jason were residing in a small cabin (a

shed) on property owned by Theresa and Jason’s stepfather. The cabin was some 30 feet

away from Theresa’s residence. The cabin was served by a landline telephone that Lisa

employed to make the 911 call. Another landline was available in Theresa’s residence. 

23. At the time of Jason’s death, M1 had already left for school, but M2 and M3

were still at home. 

24. The facts of Jason’s death were presented to a first grand jury which declined

to return an indictment. A second grand jury indicated Lisa for first-degree and seconddegree murder and for manslaughter. A trial jury acquitted Lisa of all three charges, and in

each instance the verdict read “not guilty / self-defense.” 

25. Laura Brown, Ph.D., Lisa’s expert, testified, based upon well known research

and her knowledge of the circumstances prior to Jason’s death, that “someone’s [sic] going

to die.”27 Dr. Brown testified that in situations such as this, it is usually the male who kills

the female. Dr. Brown was asked: 

Q. ...what conclusion did you reach in this case regarding [Lisa’s]

subjective mental state on October the 7th, 2010? 

A. Within a reasonable degree of psychological certainty, my opinion was

that [Lisa] was in imminent fear of death at the hands of her husband,

Jason....[28] 

Later in her examination, Dr. Brown was asked: 

Q. ...on a more probable than not basis, what opinion can you offer this

Court on whether [Lisa] wrongfully and intentionally shot [Jason]? 

27See Trial Transcript Vol. V at 21 (Feb. 6, 2015), Docket No. 129.

28Id. at 15-16. 

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A. That’s an interesting question. What I would say on a more probable

than not basis, [Lisa] was acting to defend herself and to protect herself

and her children from being killed on the day that she shot [Jason].[29] 

26. Two aspects of Dr. Brown’s opinions are critical. First, the entire focus of Dr.

Brown’s testimony was on Lisa’s subjective state of mind. Dr. Brown was not evaluating

the objective, factual situation that confronted Lisa at the time she picked up Jason’s pistol. 

Second, the fact that psychologists who evaluate domestic violence can opine with greater

or lesser degrees of certainty that someone will die simply does not answer the question: was

the use of deadly force at the time Lisa shot Jason objectively necessary? The fact that Lisa

believed, that Dr. Brown believed, and that this court believes that Lisa really believed

Jason’s death threats does not by itself answer the critical question of whether or not Lisa’s

shooting of Jason was wrongful. 

27. In the minutes, and probably several hours, prior to Jason’s death, Lisa was

objectively in no immediate life-threatening danger. Instead of slipping out of bed, finding

Jason’s pistol, and shooting him, Lisa could have slipped out of bed, taken Jason’s pistol (and

her own), gone next door to Theresa’s house, and called the police who no doubt would have

responded. Had police been shown (as they were) the results of the physical abuse to which

Lisa had been subjected by Jason, he would no doubt have been arrested; and the situation

would have been defused without further harm to anyone. Although Lisa subjectively saw

the situation otherwise, to an objective observer, once Lisa had possession and control of

Jason’s pistol, she was in a position to control the situation, even if her exiting the cabin had

awakened Jason. Lisa’s training in the use of small firearms enhanced her ability to protect

herself once she had control of Jason’s pistol, and Lisa’s relatively good relationship with

29Id. at 21. 

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Theresa would have afforded an additional level ofsafety once Lisa reached Theresa’s house

to make a 911 call.

28. On the morning of October 7, 2010, Lisa intentionally shot and killed Jason.

29. On the morning of October 7, 2010, Lisa reasonably believed that deadly force

was necessary to protect herself. 

30. On the morning of October 7, 2010, a reasonable person would not have

believed that deadly force was necessary because Lisa was under no immediate threat of

death, serious physical injury, kidnapping, or sexual assault. Theresa has established by a

preponderance of the evidence that Lisa’s shooting of Jason was not objectively reasonable. 

31. For purposes of 38 C.F.R. § 9.5(e)(1), (2)(i), Lisa intentionally and wrongfully

shot and killed Jason. 

Conclusions of Law

1. This court has both diversity jurisdiction, 28 U.S.C. § 1332, and federal

question jurisdiction, 28 U.S.C. § 1331, of this case. 

2. Lisa, a primary beneficiary under Jason’s SGLI policy, is disqualified from

receiving benefits under Jason’s policy by 38 C.F.R. § 9.5(e)(1), (2)(i) because the court has

determined in these civil proceedings that Lisa intentionally and wrongfully killed Jason. 

3. As the sole remaining primary beneficiary of Jason’s SGLI policy, Jason’s

mother, Theresa Diane Cook, is entitled to receive the insurance proceeds with interest now

on deposit with the clerk of court. 

4. The clerk of court shall enter judgment in favor of Theresa Diane Cook in the

amount of $361,423.49 plus accrued interest. The funds necessary to satisfy this judgment

are on deposit with the clerk of court and shall be disbursed 31 days following the entry of

this judgment if no notice of appeal is filed. If a notice of appeal is filed, the clerk of court

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shall retain the funds now held in the registry of the court pending the receipt of a mandate

from the court of appeals and a further order of this court. 

DATED at Anchorage, Alaska, this 7th day of May, 2015. 

/s/ H. Russel Holland 

United States District Judge

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