Page:Federal Reporter, 1st Series, Volume 7.djvu/622

 610 FESDUBAL SBFOBTEB. �plaint. The bill then proceeded to set out the following state of f acts : �The complainant has ithree childiea, namely, Aima Kemna, now mar- ried toone Edward Kemna, Laura Brockhaus, and Clara Brockhaus, — the two last: namedheiag .minora and unmarried, and living with complain- ant and hiswife, the defendant Franziska Brockhaus. About 15 years «ince .the' complainant 'vv&s engaged in mercantile busines3, and was in comfortable circums tances. In order to guard against possible future adversities, and for the purpose of providing a cash fund for the beneflt of his daughters when they shbiild become of age or should become engagea in marriage, he at varions times between 1864 and 1867 caused his life to be inaured by three several policies of Insurance issued by the Mu- iual Liie Insurance Company of New York, upon the endowment plan, payable respectively Wheh he should arrive at 50, 55, and 60 years of age. These policies were made payable to the coinplainant's children, respectively ; but it was alleged that they were never delivered to them, nor to any one for their use, but were continuously held and controlled by the cpmt)laiiiant, Who pald all the pfemiums thereon. The flrst of these policies was for $2,000, dated March 17, 1864, and payable to Clara Brockliaus when the insured should become 60 years of age. The second policy yfaaidr $2,000, dated October 12, 1867, and was payable to Aima Brockhaus (now Aima Kemna) when the insured should become 50 yeara of age ; and the third of said policies was also for $2,000, dated October 12, 1867, and was payable to Laura Brockhaus when the insured should arrive at the age of 55 years. �'In 1874 the complainant became embarrassed in hia business, and lost allof his property. Because of pecuniary troubles he became unablo In the years J187S4, 1875,; 1876, and 1877 further ta pay the premiums which, from time to time, matured upon the policies, although, by the assistance of others; he succeeded for a time in keeping the policies in force. Sub- sequently, failiag in this, after consultation with his wife and children — tjje latter being.then minors, but of quite advanced age and discretion— it was concluded that the policies should be surrendered, and exchanged for fully paid-up policies. When about to perfect such surrender, it was found that the ariiounts eventually maturing, by virtue of the proposed new policies, would vary, and thereby cause inequality among the chil- dren, owing to the f act that the largest amount of premiums had been paid on account of the policies earliest maturing; the surrender value on each pOlicy being as follbwa : On the policy to Aima, $1,690 ; on that to Laura, $1,170; on thatto Clara, $990. In view of these circumstances, and for the further reagpja that all of the children were entitled to equal consid- eration and regard, it was agreed in family council that the Insurance moneys,'as thej* should eventually mature, should be paid over, when received, to the ' defendant Franziska Brockhaus, who should invest the same for the beneflt of the children, and divide the proceeds in their support, maintenance, and education, as the necessities of their condi- tion might require. The complainant then delivered up to the insurance Company the policies by him originally taken out, and received in return ��� �