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Contracts Keyed to Calamari
General Credit Corp. v. Imperial Casualty and Indemnity Co.
Facts
The Plaintiff, General Credit Corp. (the "Plaintiff"), financed and subsequently had a lien (security interest) on two automobiles purchased by the Service Trucking Co. ("Service"). Service purchased an insurance policy from the Defendant, Imperial Casualty and Indemnity Co. (the "Defendant"). The insurance policy included the following provision: "In case the . . . owner shall neglect to pay any premium due . . . the lienholder shall, on demand, pay the same." The two automobiles were inured in a collision and the Plaintiff stipulated that the damage less the deductible was $1839.20. The Defendant alleged that Service failed to pay $1786.86 in premiums on the two policies, and as such, wanted those monies to be set off against any damages the Plaintiff could recover from the Defendant. The trial court awarded the Plaintiff $1786.86 in damages. The Defendant was denied recovery.
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