Harris v. Old American Ins. Co.

• Decision Date: 25 November 1929
• Docket Number: (No. 7.)
• Citation: 21 S.W.2d 856
• Parties: HARRIS v. OLD AMERICAN INS. CO.
• Court: Arkansas Supreme Court

21 S.W.2d 856

HARRIS v. OLD AMERICAN INS. CO.

(No. 7.)

Supreme Court of Arkansas.

November 25, 1929.

Appeal from Circuit Court, Pulasksi County; W. A. Speer, Special Judge.

Suit by U. S. Harris against the Old American Insurance Company. Judgment for defendant, and plaintiff appeals. Reversed and remanded for a new trial.

Appellant brought this suit in the municipal court upon a policy of insurance issued by appellee upon the life of his children as beneficiary therein, and from a judgment on appeal to the circuit court upon a verdict directed against him prosecutes this appeal.

It was alleged that the policy was duly issued and in force at the time of the death of two of the children insured, Dennis Harris on July 12, 1928, and Omega Harris on July 29, 1928, and that demand had been made for payment of the insurance, and liability was denied on the ground that the policy had lapsed at the time of the deaths of the insured for nonpayment of premium.

The answer denied the allegations of the complaint and amendment. Denied that the policy took effect on July 1, 1928, that any premium was paid and the policy delivered on that date. Denied that the policy was in effect on that day, and alleged that it had lapsed for nonpayment of dues before the death of the children insured.

An appeal was taken from the municipal court by the insurance company upon judgment against it, and after hearing the testimony the circuit court directed a verdict against appellant, from which this appeal is prosecuted.

Appellant testified and exhibited the policy with his testimony. Stated that he was given a receipt for the premium which was filled out and pinned to the policy at the time of its delivery to him by Joe Green, who wrote the receipt; that Joe Green was present, accompanied by two white men, when the application was taken; that the policy arrived about two weeks afterwards, and appellant could not pay the premium, and Joe did not deliver it then, but carried it away and returned the following week with the policy, which was made out about the 15th of May, and delivered it to appellant upon payment of $1.72, the amount of the premium.

Green testified that he worked as a soliciting agent getting prospects for Mr. Dale, the agent of the company; that the application was taken on May 9, 1928, by Mr. Dale, who sent it to him about three weeks later instructing him to deliver it upon the payment of $1.72; that he made three trips before he was able to deliver the policy; it was about two weeks after receiving it before he saw appellant, and he later made another trip and appellant did not have the money; that on...