Carlson v. Supreme Council American Legion of Honor

Citations

• 115 Cal. 466
• 47 P. 375
• 1896 Cal. LEXIS 1035

Syllabus

<p>Mutual Benefit Societies—Nonpayment of Assessments—Suspension of Membership—Right of Reinstatement—Death During Delinquency—Forfeiture of Benefits.—Where, under the rules governing a mutual benefit society, one of its members was bound without notice to pay all assessments levied against him during each calendar month, on or before the last day of the month, under penalty of suspension of membership and forfeiture of his beneficial certificate, such suspension and forfeiture take place, at once, by operation of law, upon such failure, without any notice or action of the society being necessary to their consummation; and a provision in the rules that the member may be reinstated within sixty days, upon payment of all dues and assessments, gives him only a personal option to defeat or annul the forfeiture, of which he may avail himself during the sixty days if he lives, but, if he dies during the delinquency before the end of the sixty days, the forfeiture of benefits is absolute, and the beneficiary cannot, by tendering payment thereafter, within the time limited, acquire a right to recover upon the benefit certificate.</p> <p>Id.—Waiver of Default—Notice of Subsequent Assessments—Conditions of Reinstatement__The general rule that an insurance company, by entering into negotiations with the insured, after knowledge of a default for which it might terminate the insurance, so as to recognize the continuous validity of the policy, waives the right to claim a forfeiture for the previous default, does not apply to a case where the insured is a suspended member of a mutual benefit association, by reason of a default in payment of assessments, having a right to reinstatement to benefits upon paying all prior and subsequent assessments within a limited time, and when the company must continue to levy assessments and impart needed information to the insured, to enable him to exercise his right of reinstatement; but, in such case, the' making and giving of notice of subsequ