Clemmons v. Glens Falls Ins. Co., 6813SC371

• Decision Date: 09 October 1968
• Docket Number: No. 6813SC371,6813SC371
• Citation: 2 N.C.App. 479,163 S.E.2d 425
• Parties: Johnny Thomas CLEMMONS, d/b/a Clem's Texaco v. GLENS FALLS INSURANCE COMPANY.
• Court: North Carolina Court of Appeals

Page 425

163 S.E.2d 425

2 N.C.App. 479

Johnny Thomas CLEMMONS, d/b/a Clem's Texaco v. GLENS FALLS INSURANCE COMPANY.

No. 6813SC371.

Court of Appeals of North Carolina.

Oct. 9, 1968.

Herring, Walton, Parker & Powell, by William A. Powell, Southport, for plaintiff appellee.

Marshall & Williams, by A. Dumay Gorham, Jr., Wilmington, for defendant appellant.

BROCK, Judge.

Plaintiff's theory of trial and argument in his brief is that someone unlatched the window from the inside of the building while the store was open for business, and came back later to gain entry and exit through the unlatched window. Defendant argues that plaintiff has failed to prove a loss coming within the terms of the policy. Therefore, the only question presented by this appeal is whether plaintiff's evidence, considered in the light most favorable to him, is sufficient to support a finding that his loss was covered by the insurance contract.

'Insurance policies must be given a reasonable interpretation and where there is no ambiguity they are to be construed according to their terms.' Jamestown Mutual Insurance Co. v. Nationwide Mutual Insurance Co., 266 N.C. 430, 146 S.E.2d 410.

The only portions of the policy which are germane to this controversy are as follows:

'Glens Falls Insurance Company, Glens Falls, New York, agrees with the insured, Johnny Thomas Clemmons, D/B/A Clem's Texaco, P.O. Box 38, Brunswick, North Carolina, * * * subject to the * * * exclusions, conditions and other terms of this policy:

'INSURING AGREEMENTS

'To pay for loss by burglary, * * * while the premises are not open for business, of merchandise, * * * whthin the premises * * * To pay for damage to the premises * * *, and to the insured property within the premises * * * by such burglary * * *.

'SPECIAL PROVISIONS

Applicable to this Insurance

'2. Definitions:

'(a) * * *

'(b) 'Burglary' means the felonious abstraction of insured property (1) * * *, or (2) * * *, or (3) from within the premises by a person making felonious exit therefrom by actual force and violence as evidenced by visible marks made by tools, explosives, electricity or chemicals upon, or physical damage to, the interior of the premises at the place of such sxit.' (Emphasis in printed policy.)

It is not uncommon for insurance companies to include in their burglary or theft policies a provision that there must exist visible marks or visible evidence of force and violence in effecting felonious entry. Such a provision is inserted for the protection of the insurer against fraud and false claims, and clearly favors the insurer over the insured. However, since such provisions are not ambiguous, the rule requiring construction in favor of the insured does not apply. Annot. 99 A.L.R.2d 129, at 131; Annot. 169 A.L.R. 224; 10 Couch, Cyclopedia of Insurance Law 2d, Sec. 42:129, p. 762; 5 Appleman, Insurance Law and Practice, Sec. 3176, p. 311. And, although the policy in suit concerns a provision relative to an exit by force and violence, the same general principles apply, and the words of the provision being unambiguous, should be accorded their ordinary meaning.

We hold that clause 2(b)(3) quoted above reasonably means that the plaintiff must show exit by force and violence either by Visible marks made by tools, etc., or by Physical damage to the interior of the premises. Obviously the plaintiff's evidence does not tend to show visible marks made by tools, or explosives, or electricity or chemicals; and therefore he proceeds upon the theory of physical damage to the interior of the premises at the place of such exit.

The testimony of the deputy sheriff with respect to the condition of the inside of the window has been set out in the statement of facts. The only other evidence in the record concerning the condition of the inside of the window is the testimony of the plaintiff. On three occasions during his testimony he described the inside of the window as he observed it after discovering the burglary. On direct examination he testified as follows:

'Q. What, if anything, did you notice on that part of the window over which this latch fits?

'A. The paint was off. Certainly scarred off of it, right down to the metal.'

Then on cross-examination he testified as follows:

'Q. Am I correct, Mr. Clemmons, there was no damage with respect to the window itself that you had to...