Lefler v. New York Life Ins.

Citations

• 143 F. 814
• 74 C.C.A. 488
• 1906 U.S. App. LEXIS 3783

Syllabus

<p>1. Insurance—Lite Insurance—Provisions—Grace in Patino Premiums.</p> <p>A life policy, after providing for the payment of premiums in regular course on a designated day in each year, declared that “a grace of one month during which the policy remains in full force will be allowed in payment of all premiums except the first,” and that “if any premium- is not paid on or before due, or within the month of grace,” the liability of the company shall be only that stated in the automatic nonforfeiture provision of the policy. A portion of the second premium was paid in cash and a note given for the balance, which provided that it should be paid “without grace, six months after date,” and that, if it should not be paid “at maturity,” ail benefits which full payment In cash of the premium would have secured should become “immediately” void and forfeited, except as otherwise provided in the policy. Held, that these provisions of the policies and notes show, without any uncertainty or ambiguity, that it was the intention of the parties that the provision for a grace of one month should be applicable to the payment of all premiums in regular course, according to the terms of the policy, but without application to that portion of the second premium which was taken out of the regular course and made the subject of a special agreement extending the time for payment and expressly excluding grace. Arnidon, District Judge, dissenting.</p> <p>2. Evidence—Parol Evidence Contradicting Written Contract.</p> <p>In an action at law upon a written contract, the terms of which are certain and unambiguous, parol evidence of the negotiations preceding its execution is not admissible to contradict or vary its terms, nor can this rule be evaded on the theory that such evidence can be admitted to raise an estoppel in pais.</p> <p>[Ed. Note.—Eor cases in point, see vol. 20, Cent. Dig. Evidence, § 1756.]</p> <p>(Syllabus by the Court.)</p>