Fireman's Fund Insurance Co. v. Allstate Insurance Co.

234 Cal. App. 3d 1154 (1991)

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Fireman’s Fund Insurance Co. v. Allstate Insurance Co.

California Court of Appeal
234 Cal. App. 3d 1154 (1991)

RW

Facts

A tractor-trailer rig collided with an automobile, injuring the automobile’s driver and her passenger. The tractor was owned by Richardson Trucking Company (Richardson), and at the time it was hauling goods under a nonexclusive contract with Leaseway Transportation Corporation (Leaseway). California’s Public Utilities Commission (PUC) licensed the tractor for operation. Richardson’s insurer, Fireman’s Fund Insurance Company (Fireman’s) (plaintiff), sued for a declaratory judgment that Leaseway’s insurer, Allstate Insurance Company (Allstate) (defendant), was primarily liable for paying the victims’ insurance claims. Allstate’s policy provided that it covered, as an additional insured, the owner of any nontrailer vehicle while that vehicle was being used exclusively in Leaseway’s business as a trucker and being used pursuant to operating rights granted to Leaseway by a public authority. The trial court found that Allstate’s policy did not cover Richardson. Fireman’s appealed to the California Court of Appeal.

Rule of Law

Issue

Holding and Reasoning (Nicholson, J.)

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