Metropolitan Life Insurance Company v. Lithgow et al

Filing 20

ORDER signed by Chief Judge Morrison C. England, Jr. on 7/8/2015 ORDERING 19 Plaintiff Metropolitan Life Insurance Company "MetLife" shall deposit $246,000.00 plus any applicable interest "the Plan Benefits" with this Court into an interest-bearing account; MetLife shall deposit said funds within 30 days of the electronic filing of this Order; Upon deposit of the Plan Benefits with the Court, Plaintiff MetLife, the PG&E Co. Employee Welfare Plan 503, and PG&E Co., sha ll be discharged from any further liability for payment of the Plan Benefits, and MetLife will then be dismissed with prejudice from this action; Each party shall bear their own attorneys' fees and costs with respect to MetLife's participation in the action Metropolitan Life Insurance Company. (Reader, L)

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SEDGWICK LLP
MARK J. HANCOCK SBN 160662
[e-mail]
REBECCA A. HULL SBN 99802
[e-mail]
ERIN A. CORNELL SBN 227135
[e-mail]
333 Bush Street, 30th Floor
San Francisco, CA 94104-2834
Telephone:
415.781.7900
Facsimile:
415.781.2635
Attorneys for Plaintiff
METROPOLITAN LIFE INSURANCE
COMPANY

THE LAW OFFICE OF FRANK J. CRUM
A Professional Corporation
FRANK J. CRUM SBN 155125
[e-mail]
P.O. Box 2390
Woodland, CA 95776-2390
Telephone:
530.668.1515
Facsimile:
530.668.1651
Attorneys for Defendants
MICHAEL LITHGOW, JENISE K. LITHGOW,
and SCHELENE LITHGOW

WILLIAM L. DUNBAR SBN 68849
[e-mail]
Attorney at Law
3430 American River Drive, Suite 100
Sacramento, CA 95864
Telephone:
916.485.4300
Facsimile:
916.484.7197
Attorney for Defendant
EDNA G. LOPEZ

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UNITED STATES DISTRICT COURT

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EASTERN DISTRICT OF CALIFORNIA

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METROPOLITAN LIFE INSURANCE
COMPANY,
Plaintiff,
v.
MICHAEL LITHGOW, JENISE K.
LITHGOW, SCHELENE M. LITHGOW, and
EDNA LOPEZ,
Defendants.

Case No. 2:14-cv-01871 MCE-AC
STIPULATION AND ORDER REGARDING
DEPOSIT OF FUNDS WITH COURT,
DISCHARGE OF STAKEHOLDER AND
DISMISSAL OF ACTION WITH
PREJUDICE

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20196876v1

STIPULATION AND ORDER RE FUNDS AND DISCHARGE

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Plaintiff Metropolitan Life Insurance Company (“MetLife”), defendant Michael Lithgow
(“Michael”), defendant Jenise K. Lithgow (“Jenise”), defendant Schelene M. Lithgow
(“Schelene”),1 and defendant Edna Lopez (“Edna”) hereby jointly submit the following Stipulation
and [Proposed] Order for MetLife’s deposit of funds with the Court into an interest-bearing
account, pursuant to Federal Rule of Civil Procedure 67, and for the discharge of Metropolitan Life
Insurance Company (“MetLife”), Pacific Gas and Electric Company Employee Welfare Plan 503
(“the Plan”), and Pacific Gas and Electric Company (“PG&E”):

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WHEREAS, MetLife issued a group life insurance policy to Pacific Gas and Electric
Company (“PG&E”) to fund life and accidental death and dismemberment benefits under the
Pacific Gas and Electric Company Employee Welfare Plan 503 (“the Plan”). The Plan is an
employee welfare benefit plan regulated by the Employee Retirement Income Security Act of
1974, as amended, 29 U.S.C. § 1001, et seq., and is sponsored by PG&E.

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WHEREAS, Scot Lithgow (“the Decedent”) was a participant in the Plan. At the time of
his death, the Decedent was enrolled under the Plan for Basic Life insurance coverage in the
amount of TEN THOUSAND DOLLARS ($10,000.00) and for Optional Life insurance coverage
in the amount of TWO HUNDRED THIRTY SIX THOUSAND ($236,000.00) for a total of TWO
HUNDRED FORTY SIX THOUSAND ($246,000.00) (the “Plan Benefits”). The Plan Benefits
became payable upon the Decedent’s death.

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WHEREAS, the Decedent died on August 23, 2013.

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WHEREAS, the Lithgow Defendants, on the one hand, and Edna, on the other hand, have
competing claims for the Plan Benefits.

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WHEREAS, MetLife is unable to determine the validity of the conflicting claims of the
Lithgow Defendants and Edna, and therefore has not paid the Plan Benefits to either the Lithgow
Defendants or to Edna.

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WHEREAS, MetLife has no interest in the Plan Benefits.

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20196876v1

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Michael, Jenise and Schelene are collectively referred to herein as “the Lithgow
Defendants”.
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STIPULATION AND ORDER RE FUNDS AND DISCHARGE

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NOW, THEREFORE, MetLife, the Lithgow Defendants and Edna, through their respective
counsel of record herein, hereby stipulate and respectfully request that the Court order that MetLife
may deposit the Plan Benefits with the Court to await distribution as the Court may order.
It is additionally stipulated that, once the Plan Benefits have been deposited, MetLife shall
be discharged from this action and dismissed with prejudice, with each party bearing their own
attorneys’ fees and costs with respect to MetLife’s participation in the Action.
It is further stipulated that, once the Plan Benefits have been deposited, the Lithgow
Defendants and Edna shall be restrained and enjoined from instituting or prosecuting, directly or
indirectly, any claim or action of any type or kind in any state or federal court against MetLife, the
Plan and/or PG&E, arising from or in any manner connected with the Plan Benefits and/or their
respective claims for payment of some or all of such Plan Benefits.
IT IS SO STIPULATED, AGREED AND RESPECTFULLY REQUESTED:
DATED: July 7, 2015

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By: /s/ Erin A. Cornell
Mark J. Hancock
Erin A. Cornell
Attorneys for Plaintiff
METROPOLITAN LIFE INSURANCE COMPANY

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DATED: July 7, 2015

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20196876v1

THE LAW OFFICE OF FRANK J. CRUM

By: /s/ Frank J. Crum (as authorized on 7/2/2015)
Frank J. Crum
Attorney for Defendants
MICHAEL LITHGOW, JENISE K. LITHGOW, and
SCHELENE M. LITHGOW

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SEDGWICK LLP

DATED: July 7, 2015

WILLIAM L DUNBAR, Attorney at Law

By: /s/ William L. Dunbar (as authorized on 6/23/2015)
William L. Dunbar
Attorneys for Defendant
EDNA G. LOPEZ
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STIPULATION AND ORDER RE FUNDS AND DISCHARGE

ORDER

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Pursuant to the Stipulation above, it is ordered that:

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1.

Plaintiff Metropolitan Life Insurance Company (“MetLife”) shall deposit TWO

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HUNDRED FORTY-SIX THOUSAND DOLLARS AND NO CENTS ($246,000.00) plus any

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applicable interest (“the Plan Benefits”) with this Court into an interest-bearing account. MetLife

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shall deposit said funds within thirty (30) days of the electronic filing of this Order.

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2.

Upon deposit of the Plan Benefits with the Court, Plaintiff MetLife, the Pacific Gas

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and Electric Company Employee Welfare Plan 503, and Pacific Gas and Electric Company shall

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be discharged from any further liability for payment of the Plan Benefits, and MetLife will then be

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dismissed with prejudice from this action. Each party shall bear their own attorneys’ fees and

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costs with respect to MetLife’s participation in the action.

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IT IS SO ORDERED.
Dated: July 8, 2015

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STIPULATION AND ORDER RE FUNDS AND DISCHARGE