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Grenall v. United of Omaha Life Insurance Company

Court of Appeals of California, First District
165 Cal.App.4th 188, 80 Cal.Rptr.3d 609 (2008)


Facts

Jean Simes purchased a life annuity with United of Omaha Life Insurance Company (United) (defendant) only months before dying of cancer. Under the contract, the annuity would pay her benefits for the duration of her life. However, because she died shortly after she entered the contract, the one-time premium she paid was much larger than the amount she received in benefits before dying. Her estate (Estate) (plaintiff) brought an action to rescind the annuity contract with United. In its suit, the Estate alleged that the contract was based on mistake—namely, the mistake Simes made in believing she was healthy—and therefore should be invalidated. The trial court granted summary judgment in favor of United. The Estate appealed.

Rule of Law

Issue

Holding and Reasoning (Stein, J.)

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