Webster

A controversy is alleged to have arisen between the parties hereto in the matter of a request for a loan upon two insurance policies. Jurisdiction of the federal court is based upon diversity of citizenship, the plaintiffs being citizens of California, the issuing insurance company being a Massachusetts corporation, and the value of the subject in controversy exceeding $3,000. The insurance company, defendant below, appeals from the judgment entered.

The evidence in the case consists mainly of documents attached as exhibits to pleadings; their genuineness' is not disputed. No testimony of witnesses is in the transcript of record, and the trial court’s findings upon material allegations of fact are not attacked.

The complaint contains two causes of action. Appellee Henry .M. Webster, hereinafter sometimes called the insured, is the sole plaintiff in the first. He alleges that two policies of insurance on his own life were delivered to him by the appellant -insurance company, that under the terms of the policies he was entitled to borrow thereon an amount proportionate to the total premium payments made -thereon in accordance with schedules therein contained, that on December 17,…