State Farm Mut. Auto. Ins. Co. v. Dorough
| Decision Date | 15 April 1965 |
| Docket Number | 7 Div. 660 |
| Citation | 174 So.2d 303,277 Ala. 662 |
| Parties | STATE FARM MUTUAL AUTOMOBILE INSURANCE COMPANY et al. v. James Alton DOROUGH. |
| Court | Alabama Supreme Court |
Rives, Peterson, Pettus & Conway, Birmingham, for appellants.
John H. Martin, Pell City, for appellee.
Appeal by the defendant insurance company from a decree of the Saint Clair County Circuit Court, in Equity, in an equitable garnishment action commenced pursuant to Title 28, § 12, Code of Alabama 1940, as Amended.
Appellee has failed to file a brief in this Court, so the statements made by appellant under the headings 'Statement of the Case' and 'Statement of the Facts' will be taken to be accurate and sufficient for decision, pursuant to Rule 9, Supreme Court Rules of Practice, Appendix, Title 7, Code of Alabama 1940, as Amended.
This action in equity grew out of a suit filed at law for damages for the destruction of a boat and trailer which, at the time, was being towed by a truck operated by Gregory Houston Jones, son of the named insured in the policy of liability insurance issued by appellant; also riding in the truck was the named insured, John A. Jones, and the appellee in this suit, James A. Dorough, the owner of the boat and trailer. All three men had been on a fishing trip together. Appellee obtained a judgment against Gregory Houston Jones in the suit at law.
Appellant had refused to defend Gregory Houston Jones, based on the following provisions of the policy:
'INSURING AGREEMENT I--THE OWNED AUTOMOBILE COVERAGES * * * (B) Property damage liability.
'(1) To pay all damages which the insured shall become legally obligated to pay because of * * * (B) injury to or destruction of property of others, caused by accident arising out of the ownership, maintenance or use, including loading or unloading of the owned automobile.'
The exclusions here under consideration as to the Insuring Agreement I read as follows:
'This insurance does not apply under:
'* * * (h) coverage B, to injury to or destruction of property owned or transported by the insured, or property rented to or in charge of the insured other than a residence or private garage;'
The instant suit was filed in the equity division of the Circuit Court of Saint Clair County by appellee against appellant and Gregory Houston Jones, a minor, seeking to apply the proceeds of the afore-mentioned insurance policy to the judgment in the suit at law. It alleged that the appellant had in effect a policy of liability insurance issued to John A. Jones which afforded protection to his son, Gregory Houston Jones, for said accident and that despite having notice of the accident and the law-suit appellant had failed and refused to defend its insured and to pay the judgment.
Appellant's answer alleged that its policy did not apply because at the time of the accident, made the basis of said judgment, the defendant (insured) at law was transporting the property involved or said property was in charge of the defendant.
The lower court ruled that the exclusions relied upon were inapplicable because the boat and trailer involved were being 'towed' or 'pulled' which the court distinguished from being transported or carried and secondly that the boat and trailer were not 'in charge of the insured' because the word 'property' used in the exclusion means 'real estate and buildings'.
It is noted that the quoted exclusions of the policy are couched in language in the alternative, i. e., if the property injured or destroyed was...
To continue reading
Request your trial
-
Farmland Mut. Ins. Co. v. Farmers Elevator, Inc. of Grace City
...defend are still excluded because the borrowed truck was "in charge of" the insured. State Farm relies on State Farm Mutual Ins. Co. v. Dorough, 277 Ala. 662, 174 So.2d 303 (1965); Farm Bureau Ins. Co. v. Lubin, 265 Ark. 536, 580 S.W.2d 447 (1979); Matheney v. Farmers Ins. Co., 266 Ark. 773......
-
National Sur. Co. v. Allstate Ins. Co.
...not covered by the policy. (139 P.2d at 572; citations omitted.) The same result was reached in State Farm Mutual Auto. Ins. Co. v. Dorough, 277 Ala. 662, 174 So.2d 303 (Sup.Ct.1965). There a boat and trailer belonging to others were being towed by the insured's truck when an accident occur......
-
Security Mut. Cas. Co. v. Johnson
...the term unambiguous and applicable to "property" in charge of the insured, including motor vehicles. See State Farm Mut. Ins. Co. v. Dorough, 277 Ala. 662, 174 So.2d 303 (1965); Herrman v. Folkerts, 202 Kan. 116, 446 P.2d 834 (1968); Wyatt v. Wyatt, 239 Minn. 434, 58 N.W.2d 873 (1953); Wys......
-
Torrington Co. v. Aetna Cas. & Sur. Co., 20048
...was beyond question 'in charge of the Insured' and accordingly the damage is not covered by the policy. State Farm Mut. Auto. Ins. Co. v. Dorough, 277 Ala. 662, 174 So.2d 303 (1965); MacDonald v. Hardware Mut. Cas. Co., 105 N.H. 458, 202 A.2d 489 (1964); also see cases collected in 10 A.L.R......