INSURANCE MONEYS

Wairarapa Age, 14 March 1933, Page 6

INSURANCE MONEYS

COMPANIES APPEAL AGAINST JUDGE’S DECISION. ECHO OF OHAU CROSSING CASE. WELLINGTON, March 13. The first case taken by the Court of Appeal at the opening of the sittings to-day was that in which Mrs Elizabeth Ivy Johnson, in claims against two insurance companies in the Supreme Court last June, made some sensational allegations against her husband, John Randolph Johnson. She alleged that her husband, after having deliberately caused her left leg to be crushed by a train at the Ohau railway crossing, forged insurance documents and obtained moneys under two insurance policies held by her. Mr Justice Reed gave judgment for Mrs. Johnson, and to-day the two insurance companies, the Australasian Temperance and General Mutual Life Assurance Society, Ltd., and the Commercial Union Assurance Co., Ltd., appealed against this decision. John Randolph Johuson was joined with Mrs. Johnson as a respond’ent.

The Chief Justice (Sir Michael Myers) presided and also on the Bench were Mr. Justice MacGregor, Mr. Justice Ostler, and Mr. Justice Smith. Mr. E. P. Bunny and Mr H. F. O’Leary appeared for the T. and G. Society; Mr. E. Parry, with Mr. R. L. A. Cresswell, for the Commercial Union Assurance Co., Ltd.; and Mr. A. B. Siev-wrig-ht, with Mr. W. H. Heine, for Mrs Johnson. John Randolph Johnson was not represented. ' In his reserved judgment Mr Justice Reed said he thought the evidence established that Mrs. Johnson received her injury by jumping out of her husband’s ear.and falling on the railway line. On the question of forgery, his Honour said he had weighed and anxiously considered all the evidence on the point, and, although it was regrettable that the insurance companies should have been defrauded, he had come to the conclusion without any doubt that the contested documents were forgeries. As to the legal questions raised by the defence, he was of opinion that they afforded no answer to the plaintiff’s claim. His Honour gave judgment for Mrs. Johnson against the Commercial Union for £245 10s and against the T. and G. Society for the full amount of £5OO, together with costs. A PRELIMJNABY POINT. The preliminary point was raised by Mr Sievwright to-day whether, in view I of the terms of its policy, the T. and G. Society had the right of appeal. Mr. Sievwright said the policy specifically stated that the society would accept “any decision of the Supreme Court as final. His submission was that the meaning to be given to the words “as final ’ ’ was final and conclusive. Mr. Bunny contended that the interpretation to be given to the expression was the Courts of New Zealand. He referred to a previous case wherein it had been held that “Court” included the Court of Appeal, and submitted that the decision had application to the proceedings now before the Court. The Court reserved consideration of the point, and in the meantime proceeded to hear the main argument. Mr. Bunny reviewed the admitted tacts of the case for the benefit of the Court. He was followed by Mr. H. F. O’Leary, who submitted that Mrsi Johnson was debarred by lapse of time from bringing an action against the T. and G. Society. There was a clause in the policy which provided that no action should be brought against the society unless it commenced within six months of the date of accrual of rights of action, which was in this case the date of the accident. There was a further provision that if the claim was disputed by the society, then the claimant was allowed six months after repudiation of the claim in which to : , lctlon - He contended that although the accident to Mrs. Johnson had occurred on May 6, 1930, no action had been taken, until March 2, 1932 and plaintiff was accordingly debarred by the policy from recovering. The Judge an the Court below had held that by making a payment the society had waived its rights to raise this defence. Counsel contended, however, that payment had been made to the husband of the claimant and not to Mrs Johnson herself and that the debvn«w)°f th ° com P an y we re unaffected by such payment.

row-(F°A) adjourno<l until to-mor-