Royal-Globe Insurance Co. v. Craven
Supreme Judicial Court of Massachusetts
585 N.E.2d 315 (Mass. 1992)
Theresa Craven (defendant) was injured in a hit and run car accident and was in the hospital for 23 days. She stopped taking medication one week after being released and thereafter was able to leave her house and successfully communicate with friends and family as she normally would. She returned to work about three months after the accident. Craven eventually gave her insurance company, Royal-Globe Insurance Co. (Royal) (plaintiff), notice of her claim about four months after the accident. Her contract with Royal stated that policyholders had to give notice to the police and Royal within 24 hours of a hit and run accident. The contract also provided that policyholders must give “prompt” notice to Royal for other claims. Globe denied her claim and Craven filed a demand for arbitration under the claim. Royal filed suit for a declaratory judgment that it was not liable. The trial court granted summary judgment to Craven. Royal appealed.
Rule of Law
Holding and Reasoning (Abrams, J.)
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