Kansas Free Fair Ass'n v. Georgia Casualty Co.

Citations

• 107 Kan. 109
• 190 P. 592
• 1920 Kan. LEXIS 23

Syllabus

<p>SYLLABUS BY THE COURT.</p> <p>1. Casualty Insurance — When Liability of the Casualty Company to the Insured Matures. A condition of a casualty insurance policy was to the effect that the casualty company should not be liable for any loss under the policy until after a final judgment had been rendered in a suit against the insured for damages and the loss so adjudged had been paid in money. Held, that the provision is valid and that there must be substantial compliance with it to mature a liability of the casualty company to the insured.</p> <p>2. Same — Final Judgment Against the Insured Paid — Liability of Casualty Company. The insured gave its promissory notes to the judgment creditors, who thereupon accepted the same as payment and entered satisfaction of the judgments, but whether this constituted a substantial compliance with the provision as to payment is not determined, as the promissory notes which were afterwards reduced to judgments against the insured were actually paid in money by the insured, and it is held that such payments accomplished the purposes of the contract provision and amounted to a substantial compliance with the insurance contract.</p> <p>3. Same — Limitation of Action — Stipulation in Insurance Contract Invalid. A stipulation in an insurance contract that an action thereon can only be brought within ninety days after the date of a judgment for the loss, is repugnant to the provisions of section 17 of the code and is therefore invalid.</p>