Hartford Acc. & Indem. Co. v. Delta & Pine Land Co., 292 U.S. 143 (1934)

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Hartford Accident & Indemnity Co. v. Delta & Pine Land Co.


No. 650


Argued March 15, 1934
Decided April 9, 1934
292 U.S. 143

APPEAL FROM THE SUPREME COURT OF MISSISSIPPI

Syllabus

1. A contract between a Connecticut and a Mississippi corporation, whereby the former insured the latter against loss through dishonesty of one of its employees "in any position anywhere," was made in Tennessee, where both parties and the employee were present, and contained a condition that any claim under the contract must be made within 15 months from the termination of the suretyship. In an action for defalcations committed in Mississippi, where also both corporations did business, the courts of Mississippi held that the condition was contrary to the policy and law of that State, and awarded judgment against the insurer, although the condition had not been complied with. Held that such extension of the Mississippi law was beyond the jurisdiction of the State and void under the due process clause of the Fourteenth Amendment. P. 149.

2. Obligations of a contract lawfully made in another jurisdiction may not be enlarged by a State to accord with all its own statutory policies upon the ground that one of the parties is its own citizen. P. 149.

3. A legislative policy which attempts to draw to the the forum control over the obligations of contracts elsewhere validly consummated and to convert them for all purposes into contracts of the forum, regardless of the relative importance of the interests of the forum as contrasted with those created at the place of the contract, conflicts with the guaranties of the Fourteenth Amendment. P. 150.

169 Miss. 196 reversed.

Appeal from a judgment sustaining a recovery from the Indemnity Company in an action on an indemnity bond.