Buck v. Equitable Life Assurance Society of the United States

Citations

• 96 Wash. 683
• 165 P. 878
• 1917 Wash. LEXIS 634

Syllabus

<p>Insurance — Policy — Mutuality — Mistake. Where an application for a $1,000 life insurance policy and tbe premium paid called for a cash surrender value of $408 at tbe end of fifteen years, which by mistake of a clerk was written $1,000, and four years later, on discovery of the mistake, the company notified the holder of the error and offered to correct it and that but $408 would be recognized, the contract lacked mutuality and the policy could not be enforced according to its terms after the end of fifteen years.</p> <p>Same — Policy—Mistake—Notice of Mistake — Estoppel. In such a case, where the company wrote the holder, recognizing $408 as the guaranteed cash reserve value if continued in force for fifteen years, and the assured made no reply, the company was under no obligation to seek reformation of the policy, and the assured is estopped by his silence to dispute the mistake.</p> <p>Contracts — Mistake—Relief. The courts will grant relief from a unilateral mistake in a contract, clearly proved, when it would be harsh to enforce it.</p> <p>Limitation of Actions — Application—Defenses. The statute of limitations as to actions does not bar defenses against a party who was not seeking any affirmative relief during the lapse of time.</p>