INSURANCE - WHEN CONTRACTS FOR CONTINGENT PERFORMANCE OF ACTS OTHER THAN PAYMENT OF MONEY CONSTITUTE INSURANCE

A recent case presents the many difficulties that confront the courts in determining whether a given contract is one of insurance. Plaintiff was a glazier. For a fixed payment he agreed with his customers that during a certain period he would repair and replace, if broken, their store-front glass. Penal proceedings were instituted against plaintiff for failure to comply with the insurance laws.

He brought an action to enjoin prosecution of the proceedings. It was held that the contracts were not insurance contracts and that plaintiff was entitled to the injunction.