United States v. Great American Indemnity Co. of NY

• Decision Date: 18 June 1954
• Docket Number: No. 13568.,13568.
• Citation: United States v. Great American Indemnity Co. of NY, 214 F.2d 17 (9th Cir. 1954)
• Parties: UNITED STATES v. GREAT AMERICAN INDEMNITY CO. OF NEW YORK et al.
• Court: U.S. Court of Appeals — Ninth Circuit

214 F.2d 17 (1954)

UNITED STATES v. GREAT AMERICAN INDEMNITY CO. OF NEW YORK et al.

No. 13568.

United States Court of Appeals Ninth Circuit.

June 18, 1954.

William B. Bantz, U. S. Atty., Frank H. Freeman, Asst. U. S. Atty., Spokane, Wash., for appellant.

Witherspoon, Witherspoon & Kelley, Edge, Davenport, Edge & Daly, Harry T. Davenport, Spokane, Wash., for appellees.

Before HEALY, BONE and ORR, Circuit Judges.

ORR, Circuit Judge.

The United States of America owns a building in a place known as Coulee Dam, Washington. This building is occupied in part by agencies of the United States and the remaining part is leased to various tenants. The United States did not undertake to procure public liability insurance on the entire building but instead required each individual tenant to secure insurance for the particular space occupied. The United States was named as an assured in the various policies.

The building is divided into two separate parts by a solid brick wall. On the east side of the wall is a grocery store insured by appellee Great American Indemnity Company of New York, hereafter Great American. Located in the west portion of the building on a mezzanine floor entirely separate from the stores occupying the street floor is a beauty shop insured by appellee General Accident Fire and Life Assurance Corporation, hereafter General Accident. Also located on the mezzanine floor were offices occupied by the United States Park Service and a lodge hall.

Roosevelt Avenue is situated on the north side of the building and the sidewalks thereon are used by the general public and patrons and occupants of the stores and offices in the building, including persons using the mezzanine floor. The sidewalk and stairway to the mezzanine were under the control of the United States.

A Mrs. Phillips, after patronizing the beauty shop, left the building and fell on the sidewalk at a point two or three feet in front of the entrance to the mezzanine stairway. She brought suit against the United States and recovered a judgment. The United States in the instant action is seeking indemnity from appellees.

Appellees disclaim liability on the ground that the policies of insurance issued by them do not cover the place where the accident occurred. The District Court agreed with appellees' contention and entered a summary judgment in their favor. We think the trial court correctly determined the issue.

Both insurance policies contain almost identical provisions defining the area insured. The Great American policy covering the grocery store defines the insured premises as follows:

"The unqualified word `premises\' wherever used in this Policy shall mean: (1) the premises designated in the Declarations including buildings and structures thereon and the ways immediately adjoining and (2) any premises alienated by the Named Assured." (Emphasis added.)

The General Accident policy on the beauty shop provides as follows:

"Premises — The unqualified word `premises\' wherever used in this policy shall mean the premises designated in Item 4 of

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