Guardian Life Insurance Company of America v. Taylor et al

Filing 20

Order approving Stipulated Findings of Fact and Conclusions of Law (Doc. No. 18 ): The Guardian is ordered to pay Kathy Radovic the $18,000 of Plan Benefits, plus any applicable interest; The Guardian shall retain $2,000 of the Plan Benefits in order to recover a portion of its attorney's fees and costs incurred by bringing this interpleader; All defendants are preliminarily and permanently enjoined from instituting or prosecuting any other action, suit or proceeding again st The Guardian, the Plan and the Employer in any other court relating to the recovery of the underlying Plan Benefits or any applicable interest or any attorney's fees or costs therefrom; The Guardian is dismissed from this suit with prejudice, and forever discharged from any and all liability to the defendants for any claim, demand, action or cause of action arising out of or related to the recovery of the Plan Benefits or any applicable interest or any attorney's fees or costs the refrom upon payment of the Plan Benefits to Kathy Radovic, plus any applicable interest, or as otherwise directed by this Court; No attorney's fees or costs will be sought or are recoverable as related to the Plan Benefits; The Clerk shall enter final judgment pursuant to Fed.R.Civ.P. 54(b). Judge Sara Lioi on 10/17/2017. (P,J)

UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF OHIO
EASTERN DIVISION
)
)
) Judge Sara Lioi
)
)
) Case No. 5:16-CV-3004
)
)
)
)
)
)

THE GUARDIAN LIFE INSURANCE
COMPANY OF AMERICA,
Plaintiff,
v.
RHONDA TAYLOR; and KATHY
RADOVIC,

Defendants.
Order

The Court, having considered Plaintiff The Guardian Life Insurance Company of
America’s (“The Guardian” or Plaintiff”) Stipulated Findings of Fact and Conclusions of
Law, supporting documents, and all other matters before it, ORDERS, ADJUDGES
AND DECREES the following:
1.

Plaintiff brought this interpleader matter pursuant to 28 U.S.C. § 1335,

Federal Rules of Civil Procedure 22 and 67 due to the competing claims for life insurance
benefits payable upon the death of Dana M Radovic (“Decedent”). [See Docket (“Doc.”)
No. 1, Complaint in Interpleader (“Compl.”) ¶4]
2.

Decedent was a former employee of Davis Printing Company

(“Employer”), and a participant in an ERISA-regulated life insurance plan (“Plan”).
Benefits under the Plan (“Plan Benefits”), were funded, at least in part, by a group policy
of life insurance (“Policy”), Group Policy No. G-00421365-UC, issued by The Guardian.
[Compl.¶ ¶7–8; See Doc. # 1-1, Exhibit “Ex.” A to the Compl.]

3.

Decedent died on September 18, 2016. [Compl.¶13; See Doc. #1-2, Ex. B

to the Compl.]
4.

At the time of his death, Decedent was enrolled under the Policy for

$20,000 in Plan Benefits. [Compl.¶9; See Doc. #1-3, Ex. C to the Compl.]
5.

Decedent’s beneficiary designation named two primary beneficiaries—

Kathy Radovic as a 100% beneficiary and Rhonda Taylor as a 50% beneficiary.
[Compl.¶16; See Doc. #1-3, Ex. C to the Compl.]
6.

The beneficiary designation form states that the primary beneficiary

designation must only total 100%. Decedent’s beneficiary designation totals 150%.
[Compl.¶17]
7.

The Guardian received an executed Group Life Claim Form from Kathy

Radovic (“Defendant Radovic”). [Compl.¶16; See Doc. #1-4, Ex. D to the Compl.]
8.

The Guardian could not determine whether a court would find that only

defendant Kathy Radovic is entitled to the Plan Benefits, or whether defendant Rhonda
Taylor (“Defendant Taylor”) should also receive a portion of the Plan Benefits.
[Compl.¶19]
9.

Conflicting issues of fact and law exist as to the proper beneficiary of the

Plan Benefits and The Guardian was therefore unable to determine whether a court would
find that it should pay the Plan Benefits to one or more of Decedent’s various potential
alternative beneficiaries under the Plan without risking potential exposure of itself, the
Employer, and the Plan to multiple liabilities. [Compl.¶22–25]
10.

The Guardian is now, and at all times has been, ready and willing to pay

the Plan Benefits to the party legally entitled to them. [Compl.¶24]

2

11.

The Guardian could not determine the proper beneficiary of the Plan

Benefits without assuming the responsibility of determining doubtful questions of fact
and law, and without incurring the risk of being subject to costs and expenses in
defending itself in multiple suits or the possibility of multiple payments of the amount
due. [Compl.¶26]
12.

The Guardian is merely a stakeholder and claims no beneficial interest in

the Plan Benefits. [Compl.¶25]
CONCLUSIONS OF LAW
13.

This interpleader is proper under 28 U.S.C. § 1335 and Rule 22 of the

Federal Rules of Civil Procedure. This Court has original jurisdiction over this action
pursuant to: 28 U.S.C. § 1331 and 29 U.S.C. § 1132(e)(1) because this action arises under
the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), 29
U.S.C. §1001, et seq., a law of the United States; diversity jurisdiction under 28
U.S.C. § 1332 and 28 U.S.C. § 1335. All the named defendants have been served. [See
Doc. ## 5, 6]
14.

Defendant Taylor has not appeared in this action and has not answered or

otherwise contested the interpleader relief sought in the Complaint. [See “Plaintiff’s
Request for Entry of Default As to Rhonda Taylor”, Doc. # 12]
15.

Defendant Taylor is now in default. [See “Clerk’s Entry of Default As to

Rhonda Taylor”, Doc. # 14]
16.

The Guardian is ordered to pay Kathy Radovic the $18,000 of Plan

Benefits, plus any applicable interest.

3

17.

Order The Guardian to retain $2,000 of the Plan Benefits in order to

recover a portion of its attorney’s fees and costs incurred by bringing this interpleader.
18.

All defendants are preliminarily and permanently enjoined from instituting

or prosecuting any other action, suit or proceeding against The Guardian, the Plan and the
Employer in any other court relating to the recovery of the underlying Plan Benefits or
any applicable interest or any attorney’s fees or costs therefrom.
19.

The Guardian is dismissed from this suit with prejudice, and forever

discharged from any and all liability to the defendants for any claim, demand, action or
cause of action arising out of or related to the recovery of the Plan Benefits or any
applicable interest or any attorney’s fees or costs therefrom upon payment of the Plan
Benefits to Kathy Radovic, plus any applicable interest, or as otherwise directed by this
Court.
20.

No attorney’s fees or costs will be sought or are recoverable as related to

the Plan Benefits.
21.

The Clerk shall enter final judgment pursuant to Fed.R.Civ.P. 54(b).

SO ORDERED, ADJUDGED AND DECREED.

Dated: October 17, 2017

____________________________________
HONORABLE SARA LIOI
UNITED STATES DISTRICT JUDGE
31368751.1

4