Brown v. Stephens Buick Co.

• Citation: 139 So.2d 579
• Decision Date: 02 April 1962
• Docket Number: No. 341,341
• Parties: Louis E. B. BROWN v. STEPHENS BUICK COMPANY et al.
• Court: Court of Appeal of Louisiana (US)

Page 579

139 So.2d 579

Louis E. B. BROWN v. STEPHENS BUICK COMPANY et al.

No. 341.

Court of Appeal of Louisiana, Fourth Circuit.

April 2, 1962.

Henican, James & Cleveland, C. Ellis Henican, Jr., New Orleans, for plaintiff-appellant.

R. J. Weinmann, New Orleans, for Stephens Buick Co., defendants-appellees.

Porteous & Johnson, Wm. A. Porteous, Jr., New Orleans, for Wilton E. Bland, Raoul J. Vallon, Individually and d/b/a R. Vallon & Son, defendants-appellees.

Before REGAN, YARRUT and SAMUEL, JJ.

SAMUEL, Judge.

This is a suit for $3,203.32 against Stephens Buick Co., a partnership, Edward Lamare (whose name incorrectly appears in the petition as 'Lamar'), a Stephens employee, and Raoul J. Vallon and Wilton E. Bland, partners in an insurance agency. The amount sued for represents damages to, and loss of use of, plaintiff's automobile and damages to another car paid by plaintiff, all resulting from an accident involving the two automobiles. Plaintiff's claim is based on the alleged fact that the defendants led her to believe her automobile was covered by public liability, collision and comprehensive insurance when actually no coverage of any kind had ever been obtained, an absence of coverage unknown to plaintiff until after an accident had occurred, thus causing her loss due to the further alleged fact that otherwise she could have obtained the desired insurance from other sources prior to the accident.

The defendants filed exceptions of no right or cause of action and prescription, all of which were overruled. Defendants then answered and Stephens additionally reconvened for storage allegedly incurred after the accident. Plaintiff has appealed from a judgment dismissing her suit against all defendants and from a judgment against her, and in favor of Stephens, on the reconventional demand. During argument before this court counsel for plaintiff has informed us that the appeal as against Stephens and its employee, Lamare, has been abandoned, but only insofar as plaintiff's original demand is concerned and not as to the judgment on the reconventional demand.

Defendants state in their brief that they again urge the exceptions. But neither in brief nor in argument is any further mention made of the same. We find little or no substance to the exceptions and prefer to pass directly to the merits of the case.

On August 28, 1958, plaintiff, a business woman of many years experience and the administrator of a health and welfare insurance plan, purchased an M. G. Magnette automobile from Stephens for her son Robert, who was then 20 years of age. A portion of the purchase price was obtained from General Motors Acceptance Corporation and both plaintiff and her son testified that the Stephens salesman, Lamare, informed them that no car was allowed to leave Stephens unless it was insured. Lamare denied this and there is other testimony to the effect that, although the lending agency is ordinarily interested in collision and comprehensive insurance for the purpose of protecting itself to the extent of the loan, on some apparently rare occasions the agency has accepted the loan without such coverage. In the instant case G.M.A.C. did finance the car without insurance. Robert Brown, who had worked for Stephens before the purchase of the Magnette, preferred to have what is termed 'independent' coverage or individual insurance, that is insurance obtained independently of the lending agency, the same being cheaper due to the fact that the premiums would not be carried in the monthly note and thus would not be effected by interest or carrying charges. Lamare asked if they had an insurance agent in mind and, when they answered in the negative, put them in touch with Bland by telephone.

On that occasion Robert Brown talked to Bland and, according to Brown, informed Bland that he wanted $100.00 deductible on collision and '$5000.00/$10000.00/$5000.00' on property damage and personal liability. Bland's testimony is that Brown was interested in collision and comprehensive only and did not ask about liability insurance. Both witnesses agreed that Bland told Brown that the insurance would be difficult and expensive to place because of the fact that Brown was under 25 years of age. The next day, or in any event very shortly thereafter, the Browns removed the car from the lot and they testify that at that time they believed the car was covered by insurance. Lamare was under the same impression although he could only have obtained that impression from the Browns.

Both plaintiff and her son testified that Bland never informed them that he could not or would not place the insurance. Mrs. Brown testified that the only contact she ever had with Bland, and the only time she received any information from him prior to the accident, was on one occasion about a week after the purchase of the car when Bland called her by telephone at her office and inquired as to who was to be the principal driver, on which occasion he informed her that the insurance would be difficult to obtain and costly. Robert Brown, who testified by deposition, said that he had called...