Gray v. Major Rent-A-Car, Inc.
| Decision Date | 14 June 1990 |
| Docket Number | No. 89-1371,INC,RENT-A-CA,89-1371 |
| Parties | 15 Fla. L. Weekly D1600 Donald GRAY, Appellant, v. MAJOR, etc., Appellee. |
| Court | Florida District Court of Appeals |
Henry W. Jewett, II of Hannah, Marsee, Beik & Voght, P.A., Orlando, for appellant.
William B. Pringle, III, P.A., Altamonte Springs, for appellee.
Donald Gray appeals a final summary judgment in favor of Major Rent-A-Car, Inc. holding that Gray was obligated to provide primary insurance coverage for a vehicle leased from Major. Gray contends that Major failed to properly shift the burden of providing primary insurance coverage to him. We agree and accordingly reverse and remand for entry of judgment in favor of Gray on the issue of coverage.
On April 10, 1987, Major leased a motor vehicle to Donald Gray. Later that day, Gray was involved in an automobile accident with Jody Bass. Bass filed suit against Gray and Major. Gray cross-claimed against Major alleging that the rental agreement purporting to shift the burden of providing primary insurance coverage to Gray's insurer failed to comply with section 627.7263 and thus primary financial responsibility remained with Major. Both parties moved for summary judgment on the question of primary coverage. The trial court concluded that the rental agreement complied with the boldface type requirements of section 627.7263 and therefore Gray and his insurer had primary responsibility for coverage.
Section 627.7263, Florida Statutes (1987) provides as follows:
627.7263 Rental and leasing driver's insurance to be primary; exception.--
(1) The valid and collectible liability insurance or personal injury protection insurance providing coverage for the lessor of a motor vehicle for rent or lease shall be primary unless otherwise stated in bold type on the face of the rental or lease agreement. Such insurance shall be primary for the limits of liability and personal injury protection coverage as required by ss. 324.021(7) and 627.736.
(2) Each rental or lease agreement between the lessee and the lessor shall contain a provision on the face of the agreement, stated in bold type, informing the lessee of the provisions of subsection (1) and shall provide a space for the name of the lessee's insurance company if the lessor's insurance is not to be primary.
Section 627.7263 mandates that the insurance policy providing coverage for the lessor of a motor vehicle is primary unless otherwise stated in bold type on the face of the rental or lease agreement. Maryland Casualty Company v. Reliance Insurance Company, 478 So.2d 1068 (Fla.1985); International Bankers Insurance Company v. Snappy Car Rental, 553 So.2d 740 (Fla. 5th DCA 1989). The purpose of this statute is to protect unwary lessees of motor vehicles from the responsibility of providing insurance unless their liability was conspicuously designated in "bold type" under the requirements of section 627.7263. Sentry Indemnity Company v. Hartford Accident and Insurance Company, 425 So.2d 652 (Fla. 5th DCA 1983).
The rental agreement here provides as follows:
Rentee's Insurance Company providing Non-owned Coverage ____________
Rentee's Insurance Agent ____________
Insurance Policy Number ____________
In International Bankers Insurance Company v. Snappy Car Rental, the rental agreement provided, in bold type, that the "insurance ... for the rental or leasing driver ... shall be primary." This court held that the rental agreement...
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