Bakhaus v. Caledonian Insurance

3 Balt. C. Rep. 1
CourtBaltimore City Court
DecidedJanuary 5, 1909
StatusPublished

This text of 3 Balt. C. Rep. 1 (Bakhaus v. Caledonian Insurance) is published on Counsel Stack Legal Research, covering Baltimore City Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bakhaus v. Caledonian Insurance, 3 Balt. C. Rep. 1 (Md. Super. Ct. 1909).

Opinion

NILES, J.—

The questions now before the court in this case arise upon the pleadings.

The plaintiff's narr. contains the common counts, and a seventh count, as follows:

“(7) And for that the defendant, by its contract in writing, called an insurance policy, dated November 27, 1907, and herewith filed, in consideration of twelve dollars, paid by idaintiff to defendant, undertook and agreed to indemnify the plaintiff against loss or damage by fire to certain property therein described to an amount not exceeding $1,200, for the term of three years from said date; and afterwards, to wit, on January 19, 1908, and while said policy was in force, the said property described therein was totally destroyed by fire, and the plaintiff promptly notified the defendant thereof, and the defendant’s adjuster and agent visited said property, and saw that it was totally destroyed and the defendant waived the filing by plaintiff with defendant of the formal proofs of loss, and refused and still refuses to pay the amount of said loss, and denied and denies all liability under said policy, and the plaintiff complied with all the provisions of said policy on his part, except so far as compliance therewith was waived by the defendant, and the defendant unjustly refuses to pay said loss, and loss exceeded $1,20(1.

The defendant filed two general issue pleas to the whole declaration and ten special pleas to the seventh count thereof aforesaid, to which pleas an additional thirteenth plea was added by leave of the court.

Plaintiffs Replication to Defendant’s Third Plea.

To the defendant’s third plea, jfiaintiff filed a replication to which defendant demurred upon the ground that it was, in the language used by our Court of Appeals in Moses vs. Allen. 91 Md. 50, “prolix and argumentative” and “could not have been traversed except by a replication of like faulty character.”

It was stated at the argument that Judge Morris had sustained the demurrer to a similar replication to a similar plea in an action in the Federal Court, between these same parties, and this court will follow the rulings of that distinguished judge.

Irrespective of his authority, however, this court would reach the same conclusion. It would seem to this court that the gist of the seventh count of the declaration is that the defendant issued its policy of insurance, but failed [2]*2to pay the loss according to its provisions, although the plaintiff performed all of his undertakings and all conditions which it Was incumbent upon him to perform, except those which were waived by the defendant.

The gist of the third plea is that the plaintiff did not perform certain conditions set out'in said plea the performance of which was essential to his right of action, and that performance of these conditions was not waived by the defendant. The replication then sets out certain facts and considerations which seems to furnish evidence of a “waiver” of these conditions.

Inasmuch as the declaration alleged a waiver of all conditions not complied with, and the plea denied a waiver of certain conditions, which it stated had not been complied with no replication at all, would seem to be necessary except a joinder of issue.

At most, nothing more is necessary than the statement in plain terms that the conditions set forth in the plea were waived by the defendant.

“Matters in evidence, also, are not to be alleged. A violation of this simple rule would obviously give to the pleadings an inordinate and intolerable prolixity.” Poe’s Pleadings, Sec. 550, Code, Art. 75, See. 2.

Replication to Defendant’s Fowth Plea.

This plea sets out the condition in the policy, requiring, as essential to a right of action, a “Statement” from the insured, of a particular kind, and within a certain time limit specified in the condition; that the statement was not rendered according to the terms of the policy; and that the rendering of such statement was not waived.

To that plea plaintiff replied as follows, viz:

“And for replication to the fourth plea the plaintiff says that he was prevented from furnishing and filing the statements therein referred to, by the action of the defendant, and its adjuster, and that said statements manifestly are called for the purpose of determining the amount of the loss and have no application to a case when the defendant is tahimg the position that the policy was void before the fire.”

It seems to this court that, had the replication not contained the words in italics, it would have been good, amounting substantially to a statement that the condition was waived, but that the words “and its adjuster” are, at least, unnecessary, if not bad, as requiring the court to take judicial notice of the powers of an “adjuster” to bind the company; and that the words in italics following are either an argument in favor of a waiver or an attempt to demur to the plea.

The demurrer to this replication in its present form will be sustained.

Replication to Defendant’s Fifth Plea.

This plea sets up two conditions in the policy as follows, viz;

“This entire policy, unless otherwise provided by agreement, endorsed hereon or added hereto, shall be void * * * if the building herein described, . whether intended for occupancy by owner or tenant be or become vacant or unoccupied and so remain for ten days.” And, “warranted by the assured that this building shall be occupied by a family during the life of this policy, which shall not be construed as meaning the occupancy of an apartment or apartments by a man or men, and which, however, shall not prejudice assured’s right to the ten (10) days vacancy permitted by the conditions of this policy.”

The plea then alleges the breach of these conditions and denies any waiver thereof.

The plaintiff replied as follows:

“That the houses covered by the policy of insurance sued on in this case were in course of construction at the time the policy was issued; that the defendant’s agent saw them and knew it, and there was no misrepresentation in regard thereto, and the fire occurred before they were completed and ready for occupancy and the policy contained the following endorsement:
“Permission to make alterations, additions, completions and repairs, and this policy to cover materials on premises for making same.”

It seems to this court that when, in a pleading, .anything is said to have been done by an “agent” of a person, it is equivalent to saying that it was done by some one having- authority to act on behalf of the alleged principal in that particular matter, and, if such authority be denied, denial of such [3]*3“agency” must be pleaded by tlie alleged principal.

Taking, then, that construction of the word “agent,” the knowledge of the agent set up in this replication must be held, on demurrer, to be the knowledge of the company, and this court holds that when a policy is issued upon uncompleted houses, not ready for occupancy, by an insurance company which has full knowledge of their uncompleted condition, the clause in the policy above set out allowing “completions” to be made, must be held to suspend the operation of the other clause above set out, requiring occupancy, until the buildings are so far completed as to be ready for occupancy.

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Cite This Page — Counsel Stack

Bluebook (online)
3 Balt. C. Rep. 1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bakhaus-v-caledonian-insurance-mdcityctbalt-1909.