New York Life Insurance v. Sumner

Before a person who has paid money to another, with the intention that it be applied to a particular purpose, ean insist upon its application to that purpose, unless the law would so apply it, he must have communicated his intention to the person to whom the money was paid. Thus if a person carrying a policy of life insurance on which he has paid quarterly premiums makes a payment to the insurance company of an amount equal to a quarterly premium, with the intention that the money be applied as a payment of the premium in advance for the ensuing quarter, the money is not thereby applied for…