UNITED STATES DISTRICT COURT EASTERN DISTRICT OF PENNSYLVANIA
November 29, 1960
MUTUAL BENEFIT HEALTH AND ACCIDENT ASSOCIATION and United Benefit Life Insurance Company
The opinion of the court was delivered by: GRIM
In this diversity action for libel the defendants have pleaded, among other things, the defense of absolute privilege. The only matter now before the court is plaintiff's motion under F.R.Civ.P. Rule 12(f), 28 U.S.C. to strike that defense.
Plaintiff was an insurance agent who sold insurance for defendants. He was licensed as an agent by the Insurance Commissioner of Pennsylvania under the Insurance Department Act of 1921, sec. 603, 40 P.S. § 233. When defendants terminated their relationship with plaintiff they executed and mailed to the Insurance Commissioner on April 4, 1957, from their office in Philadelphia, a printed form, which had been furnished by the Insurance Department, 'Application for Termination of License.' The alleged libel was contained in two questions and answers in the application to terminate the license, which were:
"Has agent or agency fully
accounted and settled for
premiums collected? No
"If not, amount outstanding $ 681.50"
"Did agent fully comply with
all other insurance laws and
"If not, give details. Failed to disclose
given to him."
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