Otsego Aviation Service, Inc. v. Glens Falls Insurance

The plaintiff, Otsego Aviation Service, Inc., was the owner of a Luscombe airplane on which a policy of aircraft hull insurance was issued by the Glens Falls Insurance Company September 9, 1946. This type of coverage roughly corresponds to motor vehicle collision insurance.

The issuance of the policy was negotiated for the insurance company by Alton G. Dunn who had a general insurance business in Cooperstown and who had represented the company for over twenty years. Mr. Dunn, however, was also a director of the plaintiff corporation and its vice-president. He owned one share of its stock.

There…