BEARD v. AMERICAN AGENCY

No. 9, September Term, 1988.

314 Md. 235 (1988)

550 A.2d 677

L. NEAL BEARD, ET AL. v. THE AMERICAN AGENCY LIFE INSURANCE COMPANY, ET AL.

Court of Appeals of Maryland.

December 1, 1988.


Attorney(s) appearing for the Case

Kenneth J. Mackley (Mackley, Gilbert & Marks, both on brief), Hagerstown (George W. Liebmann, George W. Liebmann, P.A., on brief), Baltimore, for petitioners.

William McClure Schildt (Strite, Schildt & Varner, on brief), Hagerstown, for respondents.

Argued before MURPHY, C.J., and ELDRIDGE, COLE, RODOWSKY, McAULIFFE, ADKINS and BLACKWELL, JJ.


MURPHY, Chief Judge.

Maryland Code (1957, 1986 Repl.Vol.) Art. 48A, § 366(a) requires that a person, who procures an insurance contract upon the life of another, have an "insurable interest" in the insured individual. This case focuses upon whether a tenant farmer, who leased his landlord's farm, and who possessed an oral option to purchase the farm, had an insurable interest in the life of the landlord under § 366(a).

I.

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