Georgia Casualty Co. v. Waldman, 6138.

• Citation: 53 F.2d 24
• Decision Date: 30 October 1931
• Docket Number: No. 6138.,6138.
• Parties: GEORGIA CASUALTY CO. v. WALDMAN.
• Court: United States Courts of Appeals. United States Court of Appeals (5th Circuit)

53 F.2d 24 (1931)

GEORGIA CASUALTY CO. v. WALDMAN.

No. 6138.

Circuit Court of Appeals, Fifth Circuit.

October 30, 1931.

Marion Rushton, of Montgomery, Ala., for appellant.

Richard T. Rives, of Montgomery, Ala., for appellee.

Before BRYAN, SIBLEY, and WALKER, Circuit Judges.

SIBLEY, Circuit Judge.

J. Francis Waldman, a minor, recovered a judgment for $15,000 against Lorry Moore, also a minor, on account of personal injuries on him inflicted by Moore in the use of an Essex sedan automobile. Under a statute of Alabama, he brought a bill in equity against Lorry Moore and the Georgia Casualty Company to have applied to the satisfaction of his judgment insurance carried with the Georgia Casualty Company by Dagostin & Angelini Bros., Inc., a corporation, against liability for personal injury accidentally caused by the use of the Essex sedan; Waldman contending that the insurance by its terms operated also to protect Lorry Moore as an assured. The case was removed to the District Court of the United States, where a decree was rendered for Waldman, and the Georgia Casualty Company appeals. The contentions of the appellant company are that its policy did not protect Lorry Moore as an assured because he had not the permission of Dagostin & Angelini Bros., Inc., to use its car at the time of the injury, and that its use by Lorry Moore for his own pleasure was not a use covered by the policy. The policy insured Dagostin & Angelini Bros., Inc., among other things, against liability imposed on it by law for damages on account of bodily injuries to any person accidentally suffered while the policy is in force by reason of the use of the described Essex automobile. It continues: "B. Additional Assureds. The insurance provided by this policy is so extended as to be available in the same manner and under the same provisions as it is available to the named assured to any person or persons while riding in or legally operating any of the automobiles described in the declarations * * * provided such operation is with the permission of the named assured." It then provides that it does not cover "while any automobile insured hereunder is being used for any purpose other than specified in declaration No. 9." Declaration No. 9 fixes permitted uses for the Essex sedan in these words: "(a) Private passenger type automobiles — pleasure and business purposes."

Taking up first the question of use, appellant's contention that the business and the pleasure of the corporation alone is meant is untenable. The corporation could have no pleasure, and applied to the corporation only that term of the contract would be meaningless. If use in the corporate business alone is meant, the broad provision for the protection of all persons who use the automobile with the corporate permission would be largely useless and inoperative. The words are general, and not expressly restricted to the business and pleasure of the named assured, but may apply also to permittees who are agreed to be entitled to insurance "in the same manner and under the same provisions as it is available to the named assured." These words make it clear that reference is had to the business or pleasure also of any person using the car by its permission, excluding, of course, uses excepted in other provisions of the policy not quoted which have no application here. The case then narrows to the question whether Lorry Moore had the permission of the named assured. The evidence shows without substantial conflict that Mr. Angelini, the president of the corporation, had the...