Delahunty v. Massachusetts Mutual Life Insurance

674 A.2d 1290, 236 Conn. 582, 1996 Conn. LEXIS 85
CourtSupreme Court of Connecticut
DecidedApril 9, 1996
Docket15240
StatusPublished
Cited by129 cases

This text of 674 A.2d 1290 (Delahunty v. Massachusetts Mutual Life Insurance) is published on Counsel Stack Legal Research, covering Supreme Court of Connecticut primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Delahunty v. Massachusetts Mutual Life Insurance, 674 A.2d 1290, 236 Conn. 582, 1996 Conn. LEXIS 85 (Colo. 1996).

Opinion

KATZ, J.

This appeal raises the issue of whether the doctrine of res judicata bars a party to a dissolution action from bringing a postdissolution action against a former spouse for damages incurred as a result of conduct that had occurred during the marriage. We conclude that, in this context, the policy considerations commonly advanced to justify the doctrine of res judi[584]*584cata are not compelling and that the application of that doctrine to bar the subsequent action would fail to achieve the doctrine’s objectives.1

The following undisputed facts are pertinent to this appeal. In 1988, the plaintiff, Karen Delahunty, instituted an action against the defendant, Patrick J. Delahunty, Jr., to dissolve their marriage. On January 4,1990, Hon. John D. Brennan, state trial referee, rendered judgment dissolving the marriage and delivered an oral decision.2 Thereafter, on January 31, 1992, the plaintiff filed an eight count complaint against the defendant,3 Vincent A. Clements, Jr., an insurance agent, and Massachusetts Mutual Life Insurance Company (Massachusetts Mutual), in connection with a $100,000 life insurance policy insuring her former husband, of which she was both the owner and the beneficiary.4

The complaint alleged the following facts. On July 22, 1987, the defendant notified Massachusetts Mutual of his desire to surrender the life insurance policy owned by his wife. Massachusetts Mutual thereafter forwarded the necessary forms to the defendant to effect the surrender and advised him of the relative merits of the surrender. The defendant or a third party acting under his direction forged the plaintiffs signature on the required forms. Following its cancellation of the [585]*585policy, Massachusetts Mutual forwarded to the defendant at his office a check in the amount of its cash surrender value, $7379.54, payable to the plaintiff. Thereafter, the defendant, acting alone or with Clements, forged the plaintiffs endorsement signature on the check and made the check payable to Guardian Life Insurance Company for the puipose of purchasing a life insurance policy to be owned by and for the benefit of the defendant. The aforementioned conduct occurred without the plaintiffs knowledge or authorization. The plaintiff further alleged that Clements, Massachusetts Mutual and the defendant fraudulently concealed those events from her and that she first learned of them in June, 1989, when she received a letter from a district manager at Massachusetts Mutual indicating that Massachusetts Mutual had surrendered the policy on September 2, 1987.

On the basis of those allegations, the plaintiff claimed that the defendant had engaged in fraudulent conduct that caused her mental and emotional pain, anguish and distress, and had knowingly, wilfully, intentionally, wantonly, maliciously and tortiously interfered with her contractual and beneficial economic relationship with Massachusetts Mutual. The plaintiff sought compensatory damages, punitive damages, treble damages for theft pursuant to General Statutes § 52-5645 and double damages for forgery pursuant to General Statutes § 52~565.6

In his response to the complaint, the defendant claimed a lack of recollection sufficient to admit or [586]*586deny some of the allegations, although he also denied any wrongdoing. Additionally, he asserted nine special defenses, including the claim that the plaintiffs action was barred by the doctrines of res judicata and collateral estoppel, all of which the plaintiff denied. Thereafter, the defendant moved for summary judgment claiming that, because in the prior dissolution action the plaintiff had claimed ownership of the proceeds of the insurance policy and had offered evidence regarding the circumstances under which the funds had come into the defendant’s possession, the present action was barred by res judicata. In support thereof, the defendant submitted portions of the trial transcript from the dissolution proceedings, a transcript of the oral decision in that action and a memorandum of law.

The trial court, Hadden, J., granted the defendant’s motion for summary judgment on the basis of the following findings: the plaintiff had made a claim for the insurance policy funds in the dissolution action, asserting therein that the defendant had perpetrated a fraud; the defendant had been cross-examined in the dissolution action regarding the details of the transaction involving the insurance policy, including the validity of the negotiation of the check; the plaintiff had presented therein the actual check from Massachusetts Mutual to establish that the signature had been forged; the plaintiff had claimed that she had never received the proceeds of the check; and the trial court in the dissolution proceeding had determined responsibility for the breakdown of the marriage and had apportioned the marital estate based upon “all the evidence.”

Against those findings the trial court applied the “transactional” test of § 24 of the Restatement (Second) of Judgments, in accordance with Orselet v. DeMatteo, 206 Conn. 542, 544, 539 A.2d 95 (1988), to decide whether the present action was barred by the doctrine [587]*587of res judicata.7 The court recognized that courts in other jurisdictions that use the “transactional” test had haired actions similar to the one before it even when the plaintiff had not made a claim for the insurance policy funds in the dissolution action.8 The court specifically noted, however, that its decision did not rely on those cases because “in this case the plaintiff did in fact make such a claim.” The trial court then concluded that the dissolution proceeding was the proper forum for all causes of action arising out of the defendant’s alleged misconduct and, consequently, that the tort action was barred by the doctrine of res judicata. Accordingly, the trial court granted the defendant’s motion for summary judgment. The plaintiff appealed from the judgment of the trial court to the Appellate Court, and we transferred the case to this court pursuant to Practice Book § 4023 and General Statutes § 51-199 (c).

On appeal, the plaintiff first argues that the trial court’s determination that this matter was governed by the doctrine of res judicata was improper. The present action is a tort claim in which the plaintiff seeks a jury trial at which she could be awarded compensatory damages for emotional distress and economic loss, punitive damages for the defendant’s intentional fraudulent conduct and statutory double and treble damages. She argues that she had no right to a jury trial in the dissolution action and, furthermore, that the court in the dissolution action sat as a court of equity without the authority to award the remedies she now seeks. The defendant responds that, even if we were to agree with the plaintiff that the trial court improperly relied [588]*588on res judicata to render summary judgment in his favor, we should nevertheless apply the doctrine of collateral estoppel to affirm the judgment.

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Bluebook (online)
674 A.2d 1290, 236 Conn. 582, 1996 Conn. LEXIS 85, Counsel Stack Legal Research, https://law.counselstack.com/opinion/delahunty-v-massachusetts-mutual-life-insurance-conn-1996.