Opinion ID: 507880
Heading Depth: 1
Heading Rank: 3

Heading: mr. sales' cross-appeal

Text: 19 Mr. Sales cross-appeals the admission into evidence of his prior fire losses. He concedes that this evidence was relevant to State Farm's defense that he voided the policy when he failed to mention the fire losses in his insurance application. Mr. Sales claims, however, that State Farm waived its defense of misrepresentation by sending a bill for the renewal premium of the policy after the breach. 4 Mr. Sales cites State Farm Fire and Casualty Co. v. Jenkins, 167 Ga.App. 4, 305 S.E.2d 801, 802-03 (1983) and Loeb v. Nationwide Mutual Fire Ins. Co., 162 Ga.App. 561, 292 S.E.2d 409, 410-11 (1982) for the proposition that, even though he never made the payment, State Farm's demand for payment constituted a waiver of the misrepresentation defense. Although these cases support his claim, the Georgia Court of Appeals wrote them. It is the state's highest court, however, which expresses the Georgia law that controls us. Flintkote Co. v. Dravo Corp., 678 F.2d 942, 945 (11th Cir.1982). In this instance, the appellate court decisions directly contradict the Supreme Court of Georgia. In Sullivan v. Connecticut Indemnity Association, 101 Ga. 809, 29 S.E. 41, 42 (1897), the supreme court stated: 20 If, in any event, the fact that such a demand was made could be treated as a waiver, this certainly ought not to be done when payment was refused. To hold otherwise, it seems to us, would be going contrary to the plainest principles of right and justice. At most, it could only be fairly said that the association had offered to waive the conditions expressed in the policy, and that the insured had declined to accept the offer. 21 (emphasis added). Consequently, we cannot find that State Farm waived its defense of misrepresentation simply by sending a bill for insurance premiums. We find, therefore, that the evidence was properly admitted. 5 22 We find no error in any of the remaining issues presented by the parties. 23 REVERSED and REMANDED for a new trial.