McConaughy v. E. T. Juvenal

Citations

• 73 Wash. 166
• 131 P. 851
• 1913 Wash. LEXIS 1572

Syllabus

<p>Insurance — Guaranty—Consideration—Estoppel. The subscribers to a guaranty contract, intended to give a mutual fire insurance company a financial standing and to aid agents in writing insurance, guaranteeing certain fire losses of the company, are estopped to assert that the guaranty was void for want of legal consideration, where it was extensively exploited for the purpose of securing business, its purpose was apparent on its face, and it induced the insurance written.</p> <p>Bills and Notes — Consideration—Validity-—Insurance—Security eob Policy Holders — Void Notes. Where the insurance commissioner, without authority of law, permitted a mutual fire insurance company to unlawfully continue in business upon giving as security the notes of certain persons interested in the company, the notes are without consideration and void, and not an asset of the company.</p> <p>Insurance — Guaranty—Release oe Guarantor. Where fire insurance was written by a mutual company upon the faith of a guaranty fund subscribed for the payment of fire losses, the company cannot release any of the subscribers to the fund after the policies were written, nor could a guarantor set up a counterclaim thereto.</p> <p>Appeal — Record—Review. Error in entering judgment against a defendant who, after trial, had been discharged as a bankrupt, cannot be assigned on appeal where there is nothing in the record to show the fact, or that it was called to the attention of the trial court.</p>