First American Bank & Trust of Louisiana v. Texas Life Insurance Company

WISDOM, Circuit Judge:

The plaintiff in this case appeals from a grant of summary judgment in favor of the defendant on the question whether an insurance company was required to pay the proceeds of a life insurance policy to a third-party assignee who held the policy as collateral for a loan. The question arises because the insurance company contends that the policy had been terminated. The district court’s construction of the controlling state statute led to a similar conclusion. We agree with that interpretation and, accordingly, affirm that court’s judgment.

I. Factual Background

William C.…