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Who files an interpleader?

An interpleader is a civil action filed by a stakeholder, often a life insurance company, that is facing competing claims over benefits that are due.

How does an interpleader action work?

In an interpleader action, a party who knows two or more other parties are making a claim on some asset controlled by the party can ask the court to decide who has what rights to the asset, deposit the asset into the custody of the court or a third party and remove itself from the litigation.

What is the difference between Impleader and interpleader?

Impleader is available only to defendants, not plaintiffs, unlike the similar interpleader action. Plaintiffs may however implead when a defendant counterclaims, because the plaintiffs is then the counter defendant.

What is an interpleader proceeding?

Interpleader is a kind of procedure whereby a person in possession of property not being his own, and being claimed from such person (possession) by two or more other persons (so called claimants), by which the matter can be brought to court for adjudication over ostensibly valid and enforceable competing claims over

What is the purpose of interpleader?

A way for a holder of property to initiate a suit between two or more claimants to the property. If, for example, A holds property that he knows he does not own, but that both B and C are claiming, A can sue both B and C in an interpleader action, where B and C could litigate who actually owns the property.

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