25. At the time of the execution of the Change Application in 1955 to change the $40,000.00 term policy to a $40,000.00 20-pay life policy, no discussion was had by the then owners of the policy, the son and daughter of the Insured, with anyone concerning any change in any of their rights under the policy and particularly there was no discussion by them with anyone concerning their right to change the beneficiary, to borrow on the policy, surrender the policy, elect optional settlements, or any other of their rights under the policy.
26. At the time of the execution of the Change Application in 1955, the insured's children gave no oral or written direction to any person, including the Insurance Company and its agents, to retransfer to the insured the right to change the beneficiary or any other ownership right.
27. The decedent's children, Howard J. Lamade, Jr. and Clara Anne Robison, never reassigned the policy in question to the insured decedent.
28. The insured from September, 1937 to the date of his death in 1958 never exercised or attempted to exercise any incidents of ownership in any of the four policies above mentioned.
29. From 1938, if the decedent had attempted to change the beneficiary, borrow on the policy, cash the policy, or exercise any other incidents of ownership in the policy, the insurance company would have disregarded the attempt.
30. The insured and his children paid the 1955 annual premium on the $40,000.00 20-pay life policy, the insured paying $1,377.60 in cash and the children paying $2,175.20 by way of credit arising out of the reserve on the $40,000.00 term policy.
31. The insured paid the premiums on the $40,000.00 20-pay life policy for 1956 and 1957.
32. The insured's children paid the premiums on the $40,000.00 term policy for the years 1949 through 1954.
33. The premium to have converted the term policy to the original date of issue in 1937 would have been approximately $25,000.00.
34. The Metropolitan Life Insurance Company had in 1955 a practice, upon the conversion of a term policy, of using the standard policy form and by reference to provisions therein, attachments to prior policies in the chain, and absolute assignments of the policies, to define the rights of all persons interested in the converted policy.
35. The above practice of the Metropolitan Life Insurance Company is one which prevails generally in the insurance industry and is based upon (a) the need for reducing costs and (b) the desire to eliminate human error as to substantive rights of parties upon the conversion of policies.
36. There was no intent upon the part of the Metropolitan Life Insurance Company or any of its agents to grant to the insured in the converted $40,000.00 20-pay life policy any right to change the beneficiary.
37. The insurance company and the insured's children, the owners of the $40,000.00 20-pay life policy, understood that the insured had no right to change the beneficiary under said policy.
38. The Metropolitan Life Insurance Company and the insured's children, the owners of the $40,000.00 20-pay life policy understood that the insured had no ownership rights whatsoever in said policy.
In 1937, twenty-one years prior to his death, decedent purchased from Metropolitan Life Insurance Company policy No. 11,651,016A in the sum of $50,000.00. Approximately one month later insured assigned absolutely the said policy to his wife, Muriel B. Lamade. On August 18, 1939 the assignee wife applied to the insurance company to change the above mentioned policy from one $50,000.00 policy to two policies, one a $10,000.00 whole-life-paid-up-at-85 and the other a $40,000.00 convertible term policy. Accordingly, Metropolitan then (in 1939) issued the second policy, No. 12,652,575A, bearing same issue date as first policy, 1937, $10,000.00 whole-life-paid-up-at-85 and in which the wife was shown as assignee. This policy is not here in issue. Also in 1939 Metropolitan issued a third policy, No. 12,652,576A, bearing issue date as first policy, 1937, $40,000.00 renewal convertible term, in which the wife was shown as assignee. On April 20, 1949, this policy was assigned by the wife to Howard J. Lamade, Jr. and Clara Anne Lamade, now Clara Anne Lamade Robison, children of insured in equal shares. On August 11, 1955, decedent's children converted the term policy to a 20-pay life policy (No. 21,851,253A), the reissued policy being dated July 14, 1955.
The last or fourth policy contained these provisions on page 3 thereof:
"1. Rights Under Policy - If the right to change both the Beneficiary and contingent Beneficiary, if any, has been reserved, the Insured alone may exercise all rights, privileges, or options granted by this Policy. * * * If this Policy is assigned, the rights the Insured and the Beneficiary and any contingent Beneficiary would otherwise have are subject to the rights of the assignee of record.
"2. Change of Beneficiary or Contingent Beneficiary - A new designation of Beneficiary or a new designation of contingent Beneficiary may be made by the person or persons entitled to do so (see Provision 1), with or without reserving the right of change thereafter, * * *."