The Dorset County Express and Agricultural Gazette.
Dorchester, Dorset, England, 1858-03-09 00:00:00

VICE•CHANCELLOWS COURT.
31. tacit 1.
(Before Vice-Chancellor Sir W. P. WOOD.

MARTIN X, THE WEST OF ENGLAND FIRE AND LIFE

INSURANCE COMPANY.

The object of this suite was to obtain a declaration
that the plaintiff, as administrator of the late Edwin
Jennings Martin, was entitled to the proceeds of • cer-
tain policy of assurance effected by the West of Eng-
land Insurance Company, and that the first mentioned
company had effected the policy as trustees for the said
Edwin Jennings Martin.
. . . _ .

It appeared that Mr Edwin Jennings Martin was en-
titled to • reversionary interest in property of consider-
able value expectant upon his surviving Mrs. Susannah
Jennings, who had a prior life interest, and was upwards
of 80 years old in 1855. On the 14th of May in that
year Mr. Martin obtained a loan of £2,500 from the
West of England office upon the security of a policy for
£5,000 effected with the company on his own life and of
the reversionary interest above mentioned. In July,
1855, Mr. Martin applied to the company for a further
loan of £1,500 on the security of his reversionary interest
the policy already affected, and such further assurance
as the company might think necessary. The solicitor of
the company reported the proposal to the directors, and
that it was, in his judgment, a perfectly safe security.
At a court of the directors held on the 4th of July, 1855,
the proposed loan of £1,500, in addition to the existing
loan of £2,500, "was agreed to be entertained at 5 r
sent., on condition that an additional insurance of £2,111
be effected on his life against the life of Mrs. Jennings,
and that a distr. ingaa be put upon the Government stock
for the amount of both loans." Mr. Martin having
already insured his life for £5,000 in the West of Eng-
land office, it was necessary that the further assurance
for £2,000 should be effected in some other office. The
United Kent office was named for this purpose, and Mr.
Martin went through the usual medical inspection prior
to the policy being obtained. It appeared that the
secretary of the West of England had written to the
secretary of the Kent office, stating that the company
were desirous of effecting an assurance upon the life
of Martin against the life of Mrs. Jennings, for the
purpose of a loan. The proposal was accepted by
the Kent office, and the policy, which bore date the
27th of July, 1855, was effected by and in the
name of the West of England Company upon the life
of Martin, although, according to the contention of the
plaintiff, it had been agreed that the policy should be
effected upon Martin's life in his own name. Upon the
let of August it was formally agreed by the directors
that the £1,500 should be advanced to Martin upon the
security of • mortgage of his share in the contingent
reversionary interest with an insurance on the life of the
said E. J. Martin against the life of the said Susannah
Jennings in £2,000. The mortgage deed was executed on
the 2nd of August, and in the recital of the policy with
the Kent office, and in its assignment to the West of
England as • security, no mention was made of its hay-
ing been affected otherwise than in the name of E. J.
Martin. Mrs. Jennings, the lady upon whose life Mr.
Martin's reversionary interest IVY expectant, refused to
receive notice of this deed or to give her solicitor au-
thority to do so. On the 27th of August, 1855, Mr.
Martin died suddenly, the £1,500 in respect of which the
security had been executed not having been paid at his
death, owing to the refusal of Mrs. Jennings to receive
notice. Upon application by the plaintiff, who took out
administration to E. J. Martin, the West of England
office had declined to account tp him in respect of the
policy of the 27th of July, 145, claiming to be entitled
to it on the ground that it was effected in their name,
and not in that of Martin. Under these circumstances
the plaintiff had filed his bill praying for an account of
the dealings between Martin and the West of England
office in respect of the proposed loan and the securites,
tut., that he might be declared entitled to the proceeds
of the policy, subject to the charges subsisting under the
deed of the 2nd of August, 1855, and that the West of
England office might -be declared to have effected or
obtained such policy as trustees for Martin.
Mr. Bolt, Q.C„ and Mr. W. D. Lewis were for the
plaintiff.
Mr. Wilcock, Q.C., and Mr. Blunter, Q.C., for the
defendants, relied upon their legal title, and contended
that the plaintiff had not established any equity to di,.
turb that legal title. There WM no direct contract that
the assurance should be effected in Martin's own name,
but merely that • further assurance should be effected
upon his life. The transaction, moreover, remained in-
complete and conditional upon the consent of Mrs. Jen-
nings, which had not been obtained in Martin's lifetime,
and could not now be given. They also contended that
the policy wu void under the 14th George 111., cap.
48, and that the money, if paid upon it, could be imme-
diately recovered back by action.
The Vice-Chancellor, without calling for • reply, said
the plaintiff WWI entitled to the relief sought by the bill.
The question was contract or no contrui, and he must
hold that the contract was not determined or broken off
by the refusal of !dm Jennings to accept the notice,
such refusal at the most being • mere matter of con-
veyance, and not of title. With respect to the proposal
for • loan, Mr. Martin clearly proposed that he should
himself effect such further assurance as the company
should think necessary. The proposal MY dearly ac-
cepted on the 4th of July by the directors—for this
must be the interpretation of its being agreed to en-
tertain the proposal on the terms that the additional
Laurance should be effected by the person seeking the
loan. Martin was informed by the secretary that, as he
was already insured for £5,000, the assurance must be
effected in some other office. The proposal and the
resolution were laid before Mr. Barnes, the solicitor of
the company, with a direction that he should prepare
the security. The whole mistake arose from what had
been done by the secretary, who seemed to have been
the only person who thought that the assurance was to
be effected otherwise than in the name of Martin. That
gentlemen was dealt with upon that footing, and was
given to understand that the assurance would be in his
own name. He presented himself for inspection to the
physician, and incurred expense and trouble about the
matter. Then followed the resolution of the directors
on the let of August, not merely entertaing the proposal
but confirming and completing the whole matter.
Moreover, a &gringo., will placed upon the stock,

which could not hate beeh done hy the company If the
contract were not completed, The citcrimstance of the
lady having refused to accept the notice could have no
effect upon the transaction. The mistake 'wee that of
the secretary, who had departed from the original con-
tract, and without authority effected the policy ill a
wrong name. His Honour, after adverting to some of
the arguments adduced on behalf of the defendants,
made a decree in favour of the plaintiff with costs.