Interpleader Lawyer

Interpleader Lawyer Missouri

Our Missouri interpleader lawyers handle all life insurance interpleader cases and beneficiary disputes.

A life insurance interpleader case is a legal action that occurs when there are conflicting claims to the proceeds of a life insurance policy. The insurance company files an interpleader complaint with the court and deposits the policy proceeds with the court, asking the court to decide who is entitled to receive the money. The insurance company then names all the potential beneficiaries as defendants in the suit and is usually discharged from further liability.


Missouri Life Insurance Interpleader Cases

Last-minute life insurance beneficiary changes can sometimes lead to interpleader actions when there are disputes or uncertainties surrounding the change. Interpleader is a legal process initiated by an insurance company to resolve conflicts among competing beneficiaries. Here are some common scenarios for last-minute life insurance beneficiary changes that could result in an interpleader:

  1. Multiple Beneficiary Changes Close to the Insured’s Death: If the policyholder makes several beneficiary changes shortly before their death, it can create confusion and potential disputes among the beneficiaries. For example:

    • Scenario: The policyholder changes their beneficiary designation three times within a month before passing away. The insurance company may initiate an interpleader to determine the rightful beneficiary.
  2. Conflicting Beneficiary Designations: Sometimes, the insured individual may make beneficiary changes that conflict with earlier designations, causing uncertainty about their intentions. This can occur in situations such as:

    • Scenario: The insured initially designates their spouse as the beneficiary but later changes it to their adult child without clearly revoking the earlier designation. After the insured’s death, both the spouse and the child claim entitlement to the proceeds, leading to an interpleader.
  3. Beneficiary Changes in Response to Marital Status Changes: Changes in marital status, such as getting married, divorced, or remarried, can prompt last-minute beneficiary changes. Conflicting claims may arise if the insured’s beneficiary designation doesn’t align with their current marital status.

    • Scenario: The insured divorces their spouse but forgets to remove the ex-spouse as the beneficiary. After the insured’s death, the ex-spouse and the current spouse both claim the proceeds, resulting in an interpleader.
  4. Family Dynamics and Heir Changes: In complex family situations, last-minute beneficiary changes may occur to accommodate changing family dynamics or additions. Disputes can arise if the insured’s intentions are unclear.

    • Scenario: The insured remarries, has children from a previous marriage, and later designates their new spouse as the beneficiary. After the insured’s death, their children from the previous marriage contest the designation, leading to an interpleader.
  5. Disputes Over Mental Capacity: If there are concerns about the insured’s mental capacity or competence when making last-minute beneficiary changes, beneficiaries may challenge the changes, leading to legal disputes.

    • Scenario: The insured makes a beneficiary change shortly before their death while suffering from dementia or cognitive impairment. Beneficiaries may dispute the change, alleging that the insured was not of sound mind, prompting an interpleader.
  6. Beneficiary Changes Following Legal Proceedings: Last-minute beneficiary changes may occur following legal actions, such as divorce settlements, court orders, or family disputes, which can introduce complexities and disputes.

    • Scenario: A court orders the insured to change the beneficiary designation on their life insurance policy as part of a divorce settlement. However, the insured fails to make the change correctly or disputes the court order. This can lead to an interpleader if there are competing claims.
  7. Failure to Properly Process Changes: Sometimes, last-minute beneficiary changes are not processed correctly by the insurance company, leading to disputes about the validity of the changes.

    • Scenario: The policyholder submits a beneficiary change request close to their death, but the insurance company fails to process it before the insured’s passing. This can lead to disputes among potential beneficiaries, resulting in an interpleader.

In these scenarios, an interpleader may be initiated by the insurance company to deposit the policy proceeds with the court and let the court determine the rightful beneficiary, thus avoiding potential liability for the insurance company and ensuring a fair resolution of the dispute.


How a Missouri Interpleader Lawsuit Works

A Missouri Interpleader Case Background:

Mr. Anderson, a successful business owner, held a substantial life insurance policy with Life Insurance Company such as Family First Life, Continental Life, Cincinnati Life. Unfortunately, he passed away unexpectedly. The life insurance policy listed two potential beneficiaries: his sister, Lisa, and his business partner, Alex.

Beneficiary Dispute:

Both Lisa and Alex claimed to be the rightful beneficiary of the life insurance proceeds. Lisa argued that Mr. Anderson had verbally expressed his intention to make her the sole beneficiary, while Alex insisted that they had a written agreement that entitled him to the proceeds as a key person in the business.

Interpleader Claim Initiation:

In light of the conflicting claims, Life Insurance Company decided to file a life insurance interpleader claim in the appropriate court. They deposited the policy proceeds with the court and submitted the necessary documentation, naming Lisa and Alex as defendants in the interpleader action.

Court Proceedings:

The court would then summon Lisa and Alex to present their cases. Lisa would have the opportunity to provide any evidence supporting her claim, such as witness statements or any documentation suggesting Mr. Anderson’s verbal intent. On the other hand, Alex would present the written agreement and argue that it supersedes any verbal communication.


The court, in its role as a neutral party, would evaluate the evidence presented by both parties. The goal is to determine the rightful beneficiary of the life insurance proceeds. If the court cannot definitively decide, the funds deposited by Life Insurance Company would be distributed equitably or as determined by the court.


Life insurance interpleader claims are essential in cases of beneficiary disputes, ensuring a fair and impartial resolution while protecting the insurance company from potential legal repercussions. This hypothetical scenario illustrates the complexity and importance of such interpleader claims in navigating beneficiary conflicts.

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