Glen's Trustees v. The Lancashire and Yorkshire Accident Insurance Co., Ltd [1906] ScotLR 43_684 (14 June 1906)

Glen's Trustees v. The Lancashire and Yorkshire Accident Insurance Co., Ltd [1906] ScotLR 43_684 (14 June 1906)

The word 'not' in the third exception of article 10 was a grammatical error that, if read literally, would defeat the substantive purpose of the clause. The court is entitled to correct such an error and read the clause as if 'not' were omitted. Thus, the claim is barred by the time limitation in the policy.

Citation
[1906] ScotLR 43_684
Parties
Pursuers and Reclaimers: Glen's Trustees; Defenders and Respondents: The Lancashire and Yorkshire Accident Insurance Company, Limited
Jurisdiction
Scotland
Judgment Date
14 June 1906
Procedural Posture
Civil Insurance Contract Dispute / Appeal (reclaiming Motion) From Lord Ordinary's Interlocutor
Outcome
Appeal dismissed; interlocutor adhered to.
Legal Topics
Interpretation of Insurance Policies, Grammatical Error in Contract, Time Bar/forfeiture Clauses
Contract Law Insurance Law Interpretation of Insurance Policies Grammatical Error in Contract Time Bar/forfeiture Clauses

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Parties

Glen's Trustees

Pursuers and Reclaimers

The Lancashire and Yorkshire Accident Insurance Company, Limited

Defenders and Respondents

Procedural Posture

Civil Insurance Contract Dispute / Appeal (reclaiming Motion) From Lord Ordinary's Interlocutor

Legal Issues

  1. 1 Whether the presence of the word 'not' in the proviso to article 10 of the insurance policy nullifies the time-bar intention of the clause
  2. 2 Whether the claim is barred by the terms of the policy

Ratio Decidendi

The word 'not' in the third exception of article 10 was a grammatical error that, if read literally, would defeat the substantive purpose of the clause. The court is entitled to correct such an error and read the clause as if 'not' were omitted. Thus, the claim is barred by the time limitation in the policy.

Court Disposition

Appeal dismissed; interlocutor adhered to.

Orders

  • Action dismissed.
  • Defenders entitled to expenses against pursuers.