Maryland C. Co. v. Industrial Acc. Com.

An award was made by the Industrial Accident Commission against the petitioner as insurance carrier of respondents Bornstein and Le Blanc, employers of Frank T. Sharon, a minor -of the age of fifteen years and two months, in favor of the mother and sister of the employee, to compensate them for his death resulting from an elevator accident in the course of his employment. The petitioner claims that the loss is not covered by the terms of its policy of insurance for the reason that said employee was not legally employed, because such employment was in violation of the child labor law in force at the time the policy was issued. The respondents claim that the employment was legal, but, if not, that the provision of the policy excluding liability in cases of illegal employment was waived by the petitioner.

Prior to the accident and on the day that the employee was killed an insurance solicitor, who placed insurance in a number of different companies, for a commission, secured from the employers an agreement to take an insurance policy from the petitioner, covering liability under the workmen’s compensation law. The solicitor observed Frank T. Sharon at work and called the attention…