Martha H. Heake v. Atlantic Casualty…

Summary

The Supreme Court of New Jersey affirmed the lower courts' judgments granting reformation of Atlantic Casualty's automobile policy and holding the insurer liable for the $10,000 judgment. The Court found the insurer responsible for its agent's fraudulent misrepresentations, rejected the insurer's reliance on the insured's negligence in reading the policy, and resolved ambiguities in the endorsements against the insurer.