Aei Life LLC v. Lincoln Benefit Life Co.

Sack, Circuit Judge:

Lincoln Benefit Life Company ("Lincoln") is an insurance company with its principal place of business in Lincoln, Nebraska. In 2008, it approved and issued a life insurance policy for Gabriela Fischer, the insured. The policy application, amongst other misstatements, fraudulently exaggerated Fischer's wealth. The policy was paid for by a stranger to the transaction, which rendered the policy voidable. (The parties dispute on appeal whether it was void ab initio .) Lincoln failed to contest the validity of the policy until after the policy's two-year contestability period…