Pagliero

This is a suit to recover from appellee loss sustained by appellants as the result of fire which destroyed property alleged to have been covered by an insurance policy issued by appellee. Payment was refused on two grounds: First, that the insurance policy in suit was cancelled by agreement of the parties prior to the fire; second, that the acts of appellants’ insurance brokers in purporting to cancel the insurance policy issued by appellee were ratified by appellants.

In 1945 Otis & Browne became appellants’ insurance brokers. They secured new insurance for the Paglieroes in companies in which the Paglieroes had not been previously insured and had the coverage of polices in effect at the time they took over modified. The policy in suit was in the sum of $15,000 and contained a cancellation clause providing that the insurer might cancel the policy by giving five days notice of cancellation to the insured. On April 10, 1946 appellee wrote to Otis & Browne requesting them to cancel the policy, indicating to them that the insurer was no longer willing to assume the risk contracted for.

No immediate response to this letter was made by Otis & Browne. A follow-up letter was sent by…