Williams v. Travelers Insurance

In January 1972 Nolan Williams sued the Travelers Insurance Company for $1,725,000 for its failure to pay a $25,000 policy of insurance on the life of his deceased infant son. By subsequent amendment the amount of his claim was reduced to $25,000. Travelers cross-complained against Williams for damages for fraud in his application for insurance on the life of his son. In May 1974, the trial court struck Williams’ complaint and entered his default on Travelers’ cross-complaint for his failure to comply with pretrial discovery orders. Williams appeals.

Background

In its answer and cross-complaint, Travelers asserted that in February 1971 Williams, a medical doctor specializing in radiology, applied for insurance on the life of his two-month-old son, and knew, but fraudulently failed to disclose, that his son suffered from a genetically transmitted disease known as Werdnig-Hoffman disease from which a previous son had died a year earlier at the age of five months. Williams’ second son died in Denmark two months after the application for a policy of insurance on his life.

In October 1973 Travelers served Williams with requests for admissions about the nature of…