Metropolitan Life Insurance Company v. Lithgow et al

Filing 35

STIPULATION AND ORDER signed by Chief Judge Morrison C. England, Jr. on 2/12/2016 DIRECTING the Court to issue payment of $70,000.00 payable to Edna Lopez and her attorney William L. Dunbar; DIRECTING the Court to issue payment of the remaining funds on deposit with the Court payable to Michael Lithgow, Jenise K. Lithgow and Schelene M. Lithgow; DISMISSING this action in its entirety upon disbursement of all Plan Benefits; ORDERING the parties to bear their own fees and costs; RESTRAINING a nd ENJOINING Edna Lopez, Michael Lithgow, Jenise K. Lithgow and Schelene M. Lithgow from instituting or prosecuting any claim or action of any type or kind in any state or federal court, arising from or in any manner connected with: (a) the Plan Benefits and/or their respective claims for payment of some or all of such Plan Benefits, and (b) the counter claims for this action. CASE CLOSED. (cc: Sacramento Financial) (Michel, G.)

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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
Attorney for Defendants/Counter Claimants/Counter 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/Counter Claimant/Counter 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,

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v.

Case No. 2: 14- cv- 01871- MCE-AC
STIPULATION AND ORDER FOR
DISTRIBUTION OF FUNDS ON DEPOSIT
WITH COURT AND DISMISSAL OF
ACTION WITH PREJUDICE

MICHAEL LITHGOW, JENISE K.
LITHGOW, SCHELENE M. LITHGOW, and
EDNA LOPEZ,
Defendants.

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And Related Counter Claims

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STIPULATION AND ORDER RE FUNDS AND DISMISSAL

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Defendants, Counterclaimants, and Counter Defendants Michael Lithgow (“Michael”),
Jenise K. Lithgow (“Jenise”), Schelene M. Lithgow (“Schelene”),1 and Defendant,
Counterclaimant, and Counter Defendant Edna Lopez (“Edna”) hereby jointly submit the
following Stipulation and [Proposed] Order for distribution of funds on deposit with the Court for
this action and for the dismissal of this action in its entirety including all counter claims with
prejudice.

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

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WHEREAS, MetLife had no interest in the Plan Benefits.
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///

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Michael, Jenise and Schelene are collectively referred to herein as “Lithgows”.
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STIPULATION AND ORDER RE FUNDS AND DISMISSAL

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WHEREAS, the Court Ordered Plaintiff Metropolitan Life Insurance Company
(“MetLife”) to deposit TWO HUNDRED FORTY-SIX THOUSAND DOLLARS AND NO
CENTS ($246,000.00) plus any applicable interest (“the Plan Benefits”) with this Court into an
interest-bearing account and that on deposit of the Plan Benefits with the Court. The Court also
ordered that Plaintiff MetLife, the Pacific Gas and Electric Company Employee Welfare Plan 503,
and Pacific Gas and Electric Company be discharged from any further liability for payment of the
Plan Benefits, and that MetLife be dismissed with prejudice from this action.

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WHEREAS, Plaintiff Metropolitan Life Insurance Company deposited all Plan Benefits
and associated interest of $248,345.42 with this Court on or about July 20, 2015.

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WHEREAS, Lithgows and Edna Lopez participated in a Court ordered Settlement
Conference on January 14, 2016 and reached a settlement on distribution of Court funds that
included an agreement for Lithgows and Edna Lopez to dismiss this action in its entirety including
all counter claims with prejudice. Lithgows and Edna Lopez agree that the Court issue payment
of $70,000 payable to Edna Lopez and her attorney William L. Dunbar and that the Court issue
payment of the remaining funds on deposit with the Court payable to Michael Lithgow, Jenise K.
Lithgow (“Jenise”), Schelene M. Lithgow.

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NOW, THEREFORE, The Lithgow and Edna Lopez, through their respective counsel of
record herein, hereby stipulate and respectfully request that the Court order that the Court issue
payment of $70,000 payable to Edna Lopez and her attorney William L. Dunbar and that the Court
issue payment of all the remaining funds on deposit with the Court for this action payable to
Michael Lithgow, Jenise K. Lithgow, and Schelene M. Lithgow.

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It is additionally stipulated that, once the Court has issues and delivers payment of all Plan
Benefits as provided herein, that this action will be dismissed in its entirety with prejudice
including the counter claims by Edna Lopez against Lithgows and the counter claim by Lithgows
against Edna Lopez.

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The parties further stipulate that each party will bear their own attorneys fees and costs.
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STIPULATION AND ORDER RE FUNDS AND DISMISSAL

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It is further stipulated that the Lithgows and Edna Lopez 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, arising from or in any manner connected with (a) the Plan Benefits and/or
their respective claims for payment of some or all of such Plan Benefits, and (b) the counter claims
for this action.
DATED: February 9, 2016

THE LAW OFFICE OF FRANK J. CRUM
A Professional Corporation

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By: /s/ Frank J. Crum_______________________________
Frank J. Crum
Attorney for Defendants, Counterclaimants, & Counter
Defendants MICHAEL LITHGOW, JENISE K.
LITHGOW, and SCHELENE M. LITHGOW

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DATED: February 9, 2016

WILLIAM L DUNBAR, Attorney at Law

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By: /s/ William L. Dunbar (as authorized on 2/5/2016)_____
William L. Dunbar
Attorney for Defendant, Counterclaimant, and Counter
Defendant EDNA G. LOPEZ

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STIPULATION AND ORDER RE FUNDS AND DISMISSAL

ORDER

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Pursuant to the Stipulation above, IT IS SO ORDERED that:

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1. That the Court issue payment of $70,000 payable to Edna Lopez and her attorney

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William L. Dunbar and that the Court issue payment of the remaining funds on deposit with the

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Court payable to Michael Lithgow, Jenise K. Lithgow, and Schelene M. Lithgow.

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2. The Court’s payment of $70,000 payable to Edna Lopez and her attorney William L.

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Dunbar will be mailed to attorney William L. Dunbar at 3430 American River Drive, Suite 100

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Sacramento, CA 95864.

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3. The Court’s payment of the remaining funds on deposit with the Court payable to

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Michael Lithgow, Jenise K. Lithgow, and Schelene M. Lithgow will be mailed to attorney Frank

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J. Crum at P.O. Box 2390, Woodland, CA 95776.

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4. Once the Court has issued payment of all Plan Benefits as provided herein, this action

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shall be DISMISSED in its entirety with prejudice including the counter claims by Edna Lopez

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against Lithgows and the counter claim by Lithgows against Edna Lopez, and the Clerk of the

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Court shall close this case.

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5. The parties will bear their own attorneys fees and costs.

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6. The Lithgows and Edna Lopez shall be restrained and enjoined from instituting or

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prosecuting, directly or indirectly, any claim or action of any type or kind in any state or federal

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court, arising from or in any manner connected with (a) the Plan Benefits and/or their respective

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claims for payment of some or all of such Plan Benefits, and (b) the counter claims for this

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action.

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IT IS SO ORDERED.

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Dated: February 12, 2016

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STIPULATION AND ORDER RE FUNDS AND DISMISSAL