DAMARIS MALDONADO-VINAS; JUAN CARLOS IGLESIAS-MALDONADO; and JOSÉ CARLOS IGLESIAS-MALDONADO, Plaintiffs, Appellees,
NATIONAL WESTERN LIFE INSURANCE COMPANY, Defendant, Appellant.
of Issuance 7/5/2017
FROM THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF
PUERTO RICO [Hon. Camille L. Vélez-Rivé, U.S.
Salvador J. Antonetti-Stutts, with whom Carla
García-Benítez, Alejandro J.
García-Carballo, and O'Neill & Borges, LLC
were on brief, for appellant.
José A. Hernández-Mayoral, for appellees.
Torruella, Lipez, and Barron, Circuit Judges.
TORRUELLA, Circuit Judge.
National Western Life Insurance Co. ("National
Western") appeals from a judgment in favor of Plaintiffs
Damaris Maldonado-Viñas ("Maldonado"), Juan
Carlos Iglesias Maldonado, and José Carlos Iglesias
Maldonado (collectively, "Plaintiffs") that
invalidated two life insurance annuity policies. National
Western argues that: (1) the beneficiary of the two annuities
was a necessary party under Fed.R.Civ.P. 19, even though
National Western had already paid him; (2) one annuity policy
was not void even though the application was not executed in
accordance with National Western's internal policies; and
(3) the second annuity policy was not void under Puerto Rico
law solely because it was processed by an insurance agent who
was not licensed by the Office of the Commissioner of
Insurance of the Commonwealth of Puerto Rico.
vacate the judgment and remand for further findings
concerning the necessity of joining the beneficiary under
time of his death on November 2, 2011, Carlos
Iglesias-Álvarez ("Carlos" or "the
decedent") had been married to Maldonado for about
twenty-two years. Plaintiffs Juan Carlos Iglesias Maldonado
and José Carlos Iglesias Maldonado are the children of
Maldonado and Carlos. Plaintiffs are Carlos's legal
case primarily concerns defects in the execution of two life
insurance annuity policies which Carlos purchased through
National Western. On April 30, 2011, Carlos purchased a life
insurance policy through National Western ("Annuity No.
1"). Two days later, on May 2, 2011, Carlos purchased a
second policy. Due to issues with the execution of that
policy, it was cancelled by National Western and reissued
("Annuity No. 2"). Under both policies, Carlos
named his brother, Francisco Iglesias-Álvarez
("Francisco") as the sole beneficiary.
paid $1, 467, 500 each, a total of $2, 935, 000, for the
annuities. Both policies contained defects in their
execution. The agent who issued Annuity No. 1 on National
Western's behalf was not licensed by Puerto Rico Office
of the Commissioner of Insurance. Annuity No. 2 was not
executed in accordance with National Western's internal
policies. Despite these defects, National Western issued the
two policies on April 30, 2011 and June 7, 2011.
Carlos's death on November 2, 2011, Francisco mailed a
claim form to National Western seeking benefits from Annuity
No. 2. National Western informed Francisco that he was also
the beneficiary of Annuity No. 1 and that he needed to submit
a second claim form and some additional information.
Francisco mailed the requested information on February 9,