William A. Thorne, Receiver, Atlas Lumber & Door Co. v. Aetna Life Insurance Company

DUFFY, Senior Circuit Judge.

This is a suit by the Receiver of Atlas Lumber & Door Company (Atlas) to re cover $100,000 under a contract of interim insurance. The facts are largely-stipulated.

On December 10, 1964, Robert G. Reynolds, the President of Atlas, made an application to Aetna Life Insurance Company (Aetna) for insurance on his life in the sum of $100,000.00 payable to the corporation. He paid one month’s premium of $86.56. Reynolds received a receipt which used the words “Binding receipt” and stated it was on account of the first premium on the life of Robert Glenn Reynolds.

The…