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Contracts Keyed to Summers
E.M.M.I. Inc. v. Zurich American Insurance Company
Citation:32 Cal.4th 465, 84 P.3d 385
Salesman Brian Callahan left home with jewelry, some of which belonged to E.M.M.I. Inc. (plaintiff), in the trunk of his car. Shortly after leaving his home, Callahan heard a noise emanating from the rear of his car. He stopped at the side of the road to check the source of the noise. While examining his exhaust pipes, a stranger quickly got into Callahan’s car and drove away. The police later recovered the car, but the jewelry inside was missing. E.M.M.I. submitted a claim to its insurer, Zurich American Insurance Company (“Zurich”) (defendant). Zurich denied the claim. E.M.M.I.’s insurance policy contained a provision that exempted from coverage jewelry stolen from a car unless the insured was “actually in or upon such vehicle at the time of the theft.” Zurich alleged that it could not ascertain whether Callahan was physically touching the car when the theft occurred. Thus, it could not ascertain whether Callahan was “in or upon” the car. E.M.M.I. sued Zurich following the denial of its claim.
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