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What is an example 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.

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 does an interpleader mean for court?

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.

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 does Interplead the funds mean?

Interpleader is defined as an equitable remedy now governed by statute, whereby a holder of money such as an escrow deposits funds or property with the Court.

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