Public ledger. [volume] (Memphis, Tenn.) 1865-1893, 1877-05-23
SIT. 0 U MUTUAL LIFE.
Important Decision by Chancellor
Cooper, Of Nashville.
Who Are Entitled 20 Redress am,
Who Are Not.
Nashville Banner. 2lst1

Nashville Banner, 2lst
The decree of Chancellor Cooper IN
the case of Mumford Smith and others
against the St. Louis Mutual Life Insn.
rance Company and others, was filed in
the Chsneery Court this afternoon.
1t declares that as the Life Association
of America had filed an answer disclaim.
ing all interest in the matter of litiga.
ton, and the property sought TO be
reached, the compliments are entitled
to no relief against the association be.
yond the benefit of the disclaimer. AS
several Of the plaintiffs are non.residents
of Tennessee, and the acts complained
of we're committed in Missouri, they are
beyond the jurisdiction of the court, and
the suit necessarily fails as to them.
That the contracts between the com
pl~sinants and the st. Louis Mutual Life
Insurance Company are not void from
the beginning, either by reason Of the
alleged fraudulent representations OF the
agents OF the company, or tho alleged
fraudulent conduct of its officers. That
the transaction between the st. Louis
Mutual Life Insurance Company and
the Mound City Life Insurance Com
pany of the 18th of December, 1878, by
which the former undertook to transfer
to the latter all its property and effects,
was ultra wives and void.
That consequently, the property at
tached in this cause was the property of
the st, Louis Mutual Life Insurance
Company, and subject to the claims of
such of the complsinants as may show
themselves to be creditors of that com.
pany. That, as a further consequence
the st. Louis Life Insurance Company,
or the Columbia Life Insurance Com
psny, is liable to the compliments re-
spectively for such premiums as the
latter may have paid to said com
pany after the 18th of December, 1873,
without the issuance Of it, and accept
ance by the assurance Of a new policy
with full knowledge of the facts, with in
terest from the date of payment. That
the St. Louis Mutual Life Insurance
Company was iusolvsnt on the 18th of
December, 1873, and for that reason, as
we'll as because it virtually ceased from
that date to use its franchises, the com.
claimants or creditors of the company
might, without first having obtained a
Judgment at law, under our laws, fle n
bill and attach the property of the cor
poration in this State, and subject the
same TO the satisfaction of their debts.
And that the bonds, which are a trust in
the hands Of the State Treasurer and
Insurance Commissioner, are, after the
payment Of costs, liable pro rata TO the
claims Of the St Louis Mutual Lite In
surance Company, citizens Of this State
at the time of taking out policies in said
company, who have suffered loss within
the policy, or have become entitled TO
be repaid the premiums, or any part
thereof, in any of the contingencies in
which such repayment ia demanded as
of right, or who have been damaged by a
breach Of contract of insurance, either
positive or incidental to its insolvency
or its ceasing to use its franchises.
That citizens Of Tennessee who held ex-
listing policies on the 18th of December.
1873, in full force, are not entitled in the
events which have happened, to the
premiums paid by them with interest, but
to the equitable value of the policies
in that day, namely, the difference be-
tween the cost Of a new policy in a SINH.
lar and solvent company, and the pres
emit value Of the premiums yet to be paid
on the policy at that day. That sll
policies forfeited uuder their terms for
the 0 payment of premiums, or for the
non-payment Of annual interest in ad.
vance on premiums, aud which were not
saved from forfeiture on the 18th of
December, 1873, by q proper application
OF dividends, or under the Commemorative
clause, or temporary extensive clause,
or rule, as aforesaid to or beyond
that day, were forfeited, aud the holagnq
of such policies have no claim OF reenv.
ering thereon, in this case, unless for
good cause shown, the forfeituras TO set
aside That al holders OF policies of
the st Louis Mutual Life Insurance
Company on the thirteenth day Of De.
cembeT, 1873, who a~lterward, with
foil knowledge Of the transaction
of that date between said com paw
and the Mound City Life Insurance Com.
pany surrendered their policies, and in
lieu accepted 9 policy from The latter
company, either under that name or It's
subsequent names, lost their claims on
the St Louis Mutual Life Insurance
Company. That the cause referred TO
the clerk and master Of the Chaneery
Court to asoert ,in and report upon tho
claims OF claimants and other policy
holders Of the ST. Louis Mutual Lite To-
surance Company, citizens Of this State,
whose names he will discover by adver.
Using in d fersnl papers in the State,
bidding them 70 file their clnims By lbs
10Th OF next September under the PEN
atty OF being excluded from any p ertici.
patton IN the funds attached to this
cause.