KELLY HEALTH CARE V. THE PRUDENTIAL INSURANCE CO. OF AMERICA 226 Va. 376, 309 S.E.2d 305 (1983) CASE BRIEF

KELLY HEALTH CARE V. THE PRUDENTIAL INSURANCE CO. OF AMERICA

226 Va. 376, 309 S.E.2d 305 (1983)

NATURE OF THE CASE: This was a dispute over payment of benefits under a health insurance policy.

FACTS: Green was insured under a group health plan. That policy was issued by Prudential (D). Green's wife went to Kelly (P) and incurred expenses under the plan. P submitted the bills to D and D refused to pay. P sued both Green and D. The trial court entered a default judgment for P against Green, but P pursued its claim against D on the theory that P was Green's assignee. P had two documents to support that contention both signed by Green. D moved for a summary judgment on the pleadings; the two assignment documents were not delivered to D or were delivered late and that the documents were merely an authorization and not an assignment. The trial court held that an assignment is a transfer but a transfer is not necessarily an assignment. Under an assignment, the obligee must have intended, at the time of transfer, to dispossess himself of an identified interest or some part thereof and to vest indefeasible title in the transferee (Restatement 2nd Contracts 317(1)). The court granted D's requests and P appealed.

ISSUE:

RULE OF LAW:

HOLDING AND DECISION:

LEGAL ANALYSIS:

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