Silverhorn v. Pacific Mutual Life Insurance

Citations

• 24 Haw. 366
• 1918 Haw. LEXIS 35

Syllabus

<p>Corporations — estoppel—waiver.</p> <p>Where the defendant corporation by representations and promises induced plaintiff to forego her right to. bring an action on a life insurance policy within one year after the death of the insured, as provided in the policy, and the company waived its right to require the payment of the premiums, and the plaintiff did, pursuant to defendant’s representations and promises, refrain from bringing suit against the defendant within the time prescribed in the policy, the plaintiff thereby rendered her quid pro quo and defendant is estopped from requiring a compliance with said provisions in the policy.</p> <p>Same — same—same.</p> <p>The rule is that corporations have power to waive their legal rights and are bound by waiver and estoppel like natural persons. They can claim no exemption from the operation of those rules or maxims which are established to enforce good faith and fair dealing among individuals.</p> <p>Same — same—same—pleading.</p> <p>The corporation defendant having authority to make the contract of insurance in the first instance it follows that it was equally clothed with authority to waive any of the terms of the contract inserted for its protection and thereby estop itself. Where it is alleged that the company waived certain of the clauses or conditions in the policy it is proper to presume that in so doing the officers of the company, in the management of its affairs, possessing authority to act, complied with all of the conditions necessary to the exercise of the power of waiver.</p>