Van Slyke v. Bumgarner

Geraghty, J. —

Appellants were living on an orchard tract in the Mans on district, Chelan county. In December, 1932, their home, with its contents, was destroyed by fire. The property was insured in the Fireman’s Fund Insurance Company, of San Francisco. The fire loss was later adjusted at $8,898.11.

Respondent held an overdue note of appellants for two thousand dollars, and, after the fire, pressed them for payment. Their home had been encumbered by a mortgage for three thousand dollars, and this sum, with some outstanding taxes, was a first charge upon the proceeds of the insurance policy.…