Opinion
514854/2017
09-20-2019
JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK, Plaintiff, v. Wesley PAUL, Jr., a/k/a Wesley G. Paul, Wesley Paul, Sr., the Estate of Monica Lisa Paul and N.P., a Minor, Defendants.
Plaintiff by its attorneys McElroy, Deutsch, Mulvaney & Carpenter LLP by Janet Nagotko, Esq., 225 Liberty Street-36th Floor, New York, New York 10281, (212) 483-9490 Defendants "The Estate of Monica Lisa Paul and N.P., a Minor," by Warren & Warren PC, by Richard J. Warren, Esq., 185 Montague Street, Brooklyn, NY 11201, 718-875-9264
Plaintiff by its attorneys McElroy, Deutsch, Mulvaney & Carpenter LLP by Janet Nagotko, Esq., 225 Liberty Street-36th Floor, New York, New York 10281, (212) 483-9490
Defendants "The Estate of Monica Lisa Paul and N.P., a Minor," by Warren & Warren PC, by Richard J. Warren, Esq., 185 Montague Street, Brooklyn, NY 11201, 718-875-9264
Richard J. Montelione, J.
Plaintiff commenced this action for declaratory relief by filing its complaint on August 1, 2017. Defendants Wesley Paul, Jr. and Wesley Paul, Sr. were served on August 14, 2017 and September 14, 2017, respectively, and the affidavits of service were filed on August 21, 2017 and September 14, 2017, respectively.
The Defendants Andrew LaTouche, as Administrator for the Estate of Monica Lisa Paul, and Andrew LaTouche, as guardian of N.P., incorrectly sued herein as "The Estate of Monica Lisa Paul and N.P., A Minor," were served on September 14, 2017 and answered the complaint and issue was joined regarding these defendants on June 26, 2019.
On June 28, 2006, the plaintiff issued a $250,000.00 life insurance policy to decedent Monica Lisa Paul. The primary beneficiary of the policy was the spouse of defendant, Wesley Paul, Jr. The alternate beneficiary of the policy was Wesley Paul, Sr., the decedent's father-in-law. Defendant Wesley Paul, Jr. was convicted on May 10, 2013 for the murder of his wife and on June 24, 2013 sentenced to 20 years to life imprisonment.
Plaintiff now moves for default judgment against Wesley Paul, Jr. and Wesley Paul, Sr. and for declaratory relief regarding the disposition of the proceeds of the life insurance policy. The defendant administrator of the estate, Andrew LaTouche, is the brother of the decedent, and with his wife, one of the adoptive parents of the decedent's minor child. The defendant administrator/legal guardian cross-moves to disqualify the defendants Wesley Paul, Jr. and his father Wesley Paul, Sr., from receiving any of the proceeds from the policy.
Applicable Law
The standard for granting a motion for default judgment is stated in L & Z Masonry Corp. v. Mose , 167 AD3d 728, 729 [2d Dept 2018],
On a motion for leave to enter a default judgment against a defendant based on the failure to answer or appear, a plaintiff must submit proof of service of the summons and complaint, proof of the facts constituting the cause of action, and proof of the defendant's default (see CPLR 3215 [f] ; Liberty County Mut. v. Avenue I Med., P.C. , 129 AD3d 783, 784-785, 11 NYS3d 623 [2015] ; Atlantic Cas. Ins. Co. v. RJNJ Servs., Inc. , 89 AD3d 649, 651, 932 NYS2d 109 [2011] ; Triangle Props. No.2, LLC v. Narang , 73 AD3d 1030, 1032, 903 NYS2d 424 [2010] ).
CPLR 3017. Demand for relief
(a) Generally. Except as otherwise provided in subdivision (c) of this section, every complaint, counterclaim, cross-claim, interpleader complaint, and third-party complaint shall contain a demand for the relief to which the pleader deems himself entitled. Relief in the alternative or of several different types may be demanded. Except as provided in section 3215, the court may grant any type of relief within its jurisdiction appropriate to the proof whether or not demanded, imposing such terms as may be just.
§ 2001. Mistakes, omissions, defects and irregularities.
At any stage of an action, including the filing of a summons with notice, summons and complaint or petition to commence an action, the court may permit a mistake, omission, defect or irregularity, including the failure to purchase or acquire an index number or other mistake in the filing process, to be corrected, upon such terms as may be just, or, if a substantial right of a party is not prejudiced, the mistake, omission, defect or irregularity shall be disregarded, provided that any applicable fees shall be paid.
Legal Analysis
The life insurance policy issued to the decedent wife is an insurance contract ( Gassman v. Metro. Life Ins. Co. , 37 AD3d 526 [2d Dept 2007] ) which names only the husband as primary beneficiary and her father-in-law as the alternate. The husband is clearly disqualified from reaping any benefit from the policy because of his conviction for murdering his wife (see Riggs v. Palmer (155 NY 506), but the court need not consider whether defendant Wesley Paul, Sr. is an innocent party ( In re Estates of Covert , 97 NY2d 68, 72 [2001] ) or whether defendant Wesley Paul, Jr. asserted undue influence over his wife which would extend any disqualification to his father, the alternate beneficiary ( Petrie v. Chase Manhattan Bank , 33 NY2d 846 [1973] ), because the defaulting defendants failed to answer the complaint ( Fried v. Jacob Holding, Inc. , 110 AD3d 56, 59 [2d Dept 2013] ) or oppose the cross-motion for disqualification. Inasmuch as the life insurance policy is a contract that does not name the defendant minor child, that minor has no legal rights to the policy except to the extent that the proceeds from the policy must become part of the decedent's estate. (See 71 NY Jur 2d, Insurance § 2272 [2013] ["(a)lthough a beneficiary forfeits his or her right to recover under the insurance contract if he or she feloniously kills the insured, as a general rule the insurer is not relieved of liability on the policy in such a case but must pay the proceeds of the contract to the insured's estate"].)
The court notes that the caption does not properly name either the administrator or the guardian, but because the answer clearly reflects that the "Estate of Monica Lisa Paul ("Estate"), by its Administrator Andrew LaTouch and N.P., a minor by his property guardian Latouche, it adequately describes the true parties so as to place the defaulting defendants on notice. The defaulting defendants having such notice are not prejudiced by the amendment of the caption and pursuant to CPLR 3017 and 2001, the clerk is directed to amend the above caption as follows:
SUPREME COURT OF THE STATE OF NEW YORK
COUNTY OF KINGS: PART DJMP
X
JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK,
Plaintiff,
against-
WESLEY PAUL, JR., a/k/a WESLEY G. PAUL, WESLEY PAUL, SR., ANDREW LATOUCHE, AS ADMINISTRATOR OF THE ESTATE OF MONICA LISA PAUL AND ANDREW LATOUCH, AS GUARDIAN FOR N.P., A MINOR,
Defendants.
X
Index No. 514854/2017
Based on the foregoing, Plaintiff's motion and non-defaulting defendants' cross-motion is granted to the following extent:
IT IS,
ORDERED, that upon plaintiff's receipt of certified Letters of Administration from Andrew LaTouche, as Administrator of the Estate of Monica Lisa Paul, or any other administrator who may be appointed, subject to any bond which may be required by Surrogate Court, plaintiff shall pay the full proceeds of the life insurance policy, no. 81236721, in the amount of $250,000.00, plus applicable accrued interest, to the administrator which must be deposited into the administrator's fiduciary account, and it is further
ORDERED, that plaintiff is awarded its reasonable expenses, statutory costs and disbursements, and its attorneys' fees in the amount of $11,790.00 pursuant to CPLR 1006 to be paid by the Administrator of the Estate of Monica Lisa Paul, and if not paid within 60 days from the date the administrator receives the life insurance proceeds, that plaintiff may seek judgment for this amount, and it is further
ORDERED, that the defaulting defendants, Wesley Paul, Jr. a/k/a Wesley G. Paul, and Wesley Paul, Sr., are disqualified from making any claim against the life insurance policy no. 81236721, and it is further
ORDERED, that upon payment of life insurance death benefits, with any accrued interest, plaintiff shall be wholly and completely discharged and absolved from any further liability, of whatsoever nature, to each of the defendants hereto arising under and pursuant to the policy of life insurance bearing policy number 81236721, on account of the death of decedent, and it is further
ORDERED, that plaintiff, its employees, agents, officers, directors, shareholders, attorneys, parent and affiliated corporations, predecessors and successors-in-interest, subsidiaries and assigns are released and discharged from any and all liability, suits, debts, judgments, dues, sums, and/or cause of action, whether at law or in equity, to any person, entity, claimant, party to this action or otherwise for any and all benefits arising under and pursuant to the policy of life insurance bearing policy number 81236721 on account of the death of decedent, and it is further
ORDERED, that after payment is made as directed, the defendants hereto are permanently restrained and enjoined from instituting and/or prosecuting any other suit, cause of action or civil proceeding in any forum or other court of competent jurisdiction within the state, against plaintiff seeking benefits or asserting damage claims arising under the policy of life insurance bearing policy number 81236721 on account of the death of decedent, and this order is intended to have res judicata effect on any other proceeding which may occur in federal or sister state courts.
A copy of this order must be served on all parties within fifteen (15) days of this order with notice of entry.
This constitutes the decision and order of the court.