Reserve Insurance Company v. Joseph Y. Gayle

WINTER, Circuit Judge:

Reserve Insurance Company (“Re-jerve”) sued Joseph Y. Gayle (“Gayle”) on two guaranties wherein Gayle guaranteed the remittance by Joseph Y. Gayle, Inc. (now known as Mid-Altantic Underwriters, Incorporated, and hereafter called “Mid-Atlantic”) of Reserve’s premiums on insurance placed by Mid-Atlantic under the terms and conditions of two agency agreements by and between Reserve and Mid-Atlantic. The district judge submitted to a jury the question of whether Gayle had been released from his guaranties by Reserve in the spring of 1961; and the district judge ruled that if…