Lee v. United States Fire Insurance

Judgment was rendered requiring the defendant United States Fire Insurance Company to convey certain real property to plaintiff C. W. Carey upon payment by the latter of the indebtedness found to be due the company from Carey.

The company issued its policy to Carey insuring the dwelling-house on the property against loss by fire in the sum of $2,000. At that time the property was encumbered by a trust deed securing the payment to Charlotte E. Miot of an indebtedness due her from Carey of $2,500. The policy made the loss, if any, payable to Mrs. Miot as her interest might appear and provided that, as to her, the insurance should not be invalidated by any act or neglect of Carey. After the issuance of the policy Carey and his wife deeded the property to plaintiff J. F. Lee. Thereafter the dwelling-house was totally destroyed by fire. Mrs. Miot made proof of loss and the company paid her the full amount of the insurance and, took an assignment from her of the trust deed and the indebtedness secured thereby to the extent of $2,000, and later paid her the remainder due her from Carey and took an assignment of the whole indebtedness. The company then demanded of Carey the payment of…