Wilmington Trust National Association v. Sun Life Assurance Company of Canada

Summary

The court held that Wilmington Trust could not recover the death benefits under policies correctly determined to be void ab initio STOLI policies, whether through promissory estoppel or equitable defenses, because doing so would impermissibly enforce illegal human-life wagers. The court reversed the automatic return of all premiums to the parties that paid them and remanded for a fact-intensive, fault-based analysis of restitution. It also held that prejudgment interest may be awarded if Wilmington Trust proves entitlement to a refund, generally accruing from the date Wilmington Trust demanded repayment. No separate opinions were filed.