French v. Hartford Life & Annuity Ins. Co.

• Decision Date: 23 November 1897
• Parties: FRENCH v. HARTFORD LIFE & ANNUITY INS. CO.
• Court: United States State Supreme Judicial Court of Massachusetts Supreme Court

169 Mass. 510

48 N.E. 268

FRENCH v. HARTFORD LIFE & ANNUITY INS. CO.

Supreme Judicial Court of Massachusetts, Worcester.

November 23, 1897

COUNSEL

Joseph

K. Green, for plaintiff.

F.H Gage, Jr., for defendant.

OPINION

HOLMES J.

This is an action brought by the payee named in a policy of life insurance taken out by one William H. Hyland. The policy was issued in consideration, among other things, of quarterly payments of $6.18 for seven years. These payments were to be made on the first day of the quarter, with four days of grace. If at the end of the days of grace the sum had not been paid, all rights under the policy were at an end, and the member only could apply for reinstatement, which was not granted unless the application was accompanied by a health warrant. The application expressly agreed that the reinstatement, if granted should not waive forfeiture for future nonpayments. For the two years and a half that the policy was running before his death Hyland let the days of grace elapse in all but three instances, and was reinstated upon application and giving a health warrant. A payment fell due on July 4, 1896, with grace July 8th. It had not been made on July 9th, on which day Hyland was drowned. On July 10th the sum was forwarded to the defendant in his name, and was returned with notice that an application for reinstatement was necessary. On the facts agreed the judge found for the defendant, and the plaintiff appealed.

We are of opinion that the decision of the superior court was right. By the terms of the policy all rights under it were at an end, and the fact that on former occasions late payments had been accepted had no effect in waiving the defendant's rights, since the forms of reinstatement always were insisted upon, and even an agreement that there should be no waiver was required in each case. Crossman v. Association, 143 Mass. 435, 9 N.E. 753.

The plaintiff is not helped by St.1896, c. 515, § 2. By that section, in the case of policies issued by companies doing business on the assessment plan, at the expiration of the time for payment stated in each call or notice of an assessment for mortuary, disability, or expense purposes persons who have failed to pay are to be notified, and are allowed 15 days after the receipt of the notice to make the payment and to keep the policy in force. In the present case besides the premiums above mentioned, after seven years had...