Mississippi Electric Co. v. Hartford Fire Ins.

Citations

• 105 Miss. 767
• 63 So. 231

Syllabus

<p>1. Im'suran'.ce. Insurance policy. . Right to reformations. Principal anil agent. Authority of agent.</p> <p>Where a policy of insurance upon an automobile was cancelled by the insurer and the agent who issued the cancelled policy, having no other company that would write a similar policy, obtained from an agency of another company, under an agreement for a division of commissions, a different policy, which insured the machine only while it was in the garage, after telling insured that he would get a policy similar to the cancelled policy, and the insured knew at the time, that any agent assuming to act for the last company in insuring the machine would exceed his authority if he undertook to bind the insurer by any other form of contract than that written and delivered, and when a loss occurred which was not covered by the last policy,, in such case insured was not entitled to a reformation of the policy on the ground that the agent procuring it had agreed to procure a policy similar to the one cancelled, which would have covered the loss.</p> <p>2. Same.</p> <p>A principal cannot be bound by the unauthorized acts of his agent, where the party dealing with the agent knows that the agent is acting in direct violation of the instructions of the-principal.</p>