Duffield v. Equitable Life Assurance Society of the United States

Sloane, J.,

Edward P. Sautter had a $7,000 life insurance policy with defendant company. By its terms it was fully paid on October 17, 1936. He died on January 30, 1942. His beneficiary brought this suit for the face amount of the policy.

The company filed an affidavit of defense with new matter alleging cancellation of the policy. It averred in brief substance: Sautter had borrowed $4,090.23 on January 17, 1940; on December 9, 1941, the outstanding indebtedness with accrued interest was more than the cash value of the policy; on December 2, 1941, the company mailed to the insured a notice that…