AN INSURANCE CASE.

Timaru Herald, Volume XLVII, Issue 4379, 1 November 1888, Page 4

AN INSURANCE CASE.

(By Telegraph.) WKLLINGTON, Oct. 31. Tn the Supreme Court Ole Pedersen, tinsmith, of Murton, sued the Coloi ial Mutual Life Insurance Society (Limited), and GaO'-ge H. Ksco"t. Life Insurance canvasser, to recover £150 damages for alleged fraudulent misrepresentations. The statement of claim set forth that plantiff was formerly the holder of a policy issued by the Government Life Insurance Department for £150, payable at death or at the expiration of 25 years j thnt on sth I)«ce i ber, 1887, he was induced by defendants to surrender that policy, the inducement being a fraudulent misrepresentation to the effect, that the defendant company would issue a policy at a cheiper rate and on more favourable terms, anrl that the defendant company refuse to i*sue a policy on the terms promised by I their canvasser. Defendants denied all the alligations as to false representations. One of the statements of the difence file I by H. E-cott was to the effec' thit the action" hud been commenced by plaintiff m pursu ince of an illegal movement between him and the Government office, and that the latter would maintain him m the suit. This, however, was withdrawn, and another statement was substituted, m which both defendants expressed their willingness to admit that plaintiff might have signed a proposal for a policy m the Colonial Office under a " isapprehension as to its purport and effect. they woul 1 therefore consent to a decree for its cat. collation, and also that the surrender of the Government policy should not be registered, but should be delivered up to plaintiff and cancflled, only that it was not m their po'session or under their control. They also dmied that plaintiff had suffer d any damage. Th<> case was adjourned for half an hour, at ths expiration of which, counsel for defendant announced that it had been settled. The Colonial Mutual Company had satisfied itself that plaintiff was. at all events. und<-r a misapprehension as to the effect of thepo icy. Under these circumstam es they hart decided not to oppose the pnver of the claim They would agree to cancel the policy, and to r^pay to Peilersen the amount of the premium paid by him, £5 3s fid. The case was accordingly settled on these terms, defendants ptying cosls. I ounscl tor plaintiff asked the Judge to certify for two counsel m conipqurnef of the important nature of the case, thoujjh ihe amount involve I was not large. His Honour did so. Pedersen's policy m the Government Insurance Association has since been fully reinstated.