FILED

March 6, 1996

Cecil Crowson, Jr.

Appellate Court Clerk

 I N THE COURT OF APPEALS OF TENNESSEE

EASTERN SECTI ON

GEI CO GENERAL I NSURANCE ) C/ A NO. 03A01- 9511- CH- 00408

COMPANY, )

) ANDERSON CHANCERY

Pl a i ntif f - Appe lle e , )

) HON. WI LLI AM E. LANTRI P,

v. ) CHANCELLOR

)

DUSTI DAWN HOWARD, PAT HOWARD )

a nd wi f e PENNE HOWARD, RAY )

GABRI ELLE COX, a nd J OHN P. )

HOWARD a nd wi f e MARI A S. )

HOWARD, ) VACATED

) AND

De f e nda nt s - Appe l l a nt s . ) REMANDED

______________________________________

THE FARMERS AUTOMOBI LE ) C/ A NO. 03A01- 9511- CH- 00407

I NSURANCE ASSOCI ATI ON, AN )

I LLI NOI S CORPORATI ON, ) 

)

Pl a i ntif f - Appe lle e , )

)

v. )

)

DUSTI DAWN HOWARD, PAT HOWARD )

a nd wi f e , PENNE HOWARD, RAY )

GABRI ELLE COX, a nd J OHN P. )

HOWARD a nd wi f e , MARI A S. )

HOWARD, ) VACATED

) AND

De f e nda nt s - Appe l l a nt s . ) REMANDED

J . WI LLI AM COLEY, HODGES DOUGHTY & CARSON, Knoxvi l l e , f or

Pl a i nt i f f - Appe l l e e , GEI CO Ge ne r a l I ns ur a nc e Compa ny of

Ame r i ca.

ROGER L. RI DENOUR, Cl i nt on, f or De f e nda nt - Appe l l a nt, Ra y

Ga br i e lle Cox.

W. CLARK MEREDI TH, J OYCE, MEREDI TH, FLI TCROFT & NORMAND, Oa k

Ri dge , f or De f e nda nt s - Appe l l a nt s , Dus t i Da wn Howa r d, Pa t

Howa r d, a nd Pe nne Howa r d.
2

ROBERT M. CHEMERS a nd J OHN M. Mc GREGOR, PRETZEL & STOUFFER,

CHARTERED, Chi c a go, I l l i noi s, 

a nd

ROCKFORDE D. KI NG, EGERTON, Mc AFEE, ARMI STEAD & DAVI S,

Knoxville , for Pl a i ntif f - Appe lle e , The Fa r me r s Aut omobile

I ns ur a nc e As s oc i a t i on.

O P I N I O N

Fr a nks . J .

The s e decl a r a t or y j udgme nt act i ons ar os e as a r e s ul t

of a s i ngl e car acci de nt .

GEI CO Ge neral I ns ur a nc e Compa ny of Ameri c a ( " GEI CO" )

ha d i s s ue d a f a mi l y a ut omobi l e i ns ur a nc e pol i c y t o Er ne s t P.

Howa r d, a nd t he Fa r me r s Aut omobi l e I ns ur a nc e Compa ny

As s oc i a t i on ( " Fa r me r s " ) ha d i s s ue d a pol i c y of i ns ur a nce t o

J ohn P. Howa r d. Bot h pol i c i e s we r e i n f or c e a t t he t i me of

t he acci de nt .

The i ns ur a nc e c ompa ni e s s ought a de c l a r a t i on t ha t

ne i t he r pol i c y pr ovi de d c ove r a ge t o Dus t i Da wn Howa r d f or t he

a c c i de nt . The Tr i a l Cour t de t e r mi ne d t he r e we r e no di s put e d

i s s ue s of ma t e r i a l f a c t a nd gr a nt e d bot h i ns ur a nc e c ompa ni e s

s umma r y j udgme nt , on t he ba s i s t ha t Dus t i , da ught e r of Er ne s t

P. a nd Pe nne Howa r d, ha d not be e n gi ve n pe r mi s s i on t o ope r a t e
1

Th i s accou n t i s di spu t e d b y Ma r i a .

3

t he 1992 For d Ae r os t a r . 

The undi s put e d f a c t s a r e t ha t on Augus t 16, 1993,

Dus t i wa s dr i vi ng t he 1992 For d Ae r os t a r owne d by he r Aunt a nd

Unc l e , J ohn P. a nd Ma r i a S. Howa r d, whe n s he wa s i nvol ve d i n a

s i ngl e mot or ve hi c l e a c c i de nt . J ohn a nd Ma r i a we r e vi s i t i ng

t he Er ne s t Howa r ds ( hi s br ot he r ) i n Te nne s s e e , a t t he t i me of

t he a c c i de nt . J ohn a nd Ma r i a a nd Er ne s t a nd hi s wi f e Pe nne

ha d gone t o Ga t l i nbur g, Te nne s s e e on a n out i ng t ha t a f t e r noon,

a nd J ohn l e f t hi s ve hi c l e a t Er ne s t ' s home , a l ong wi t h t he i r

t wo s ma l l c hi l dr e n, whe r e Dus t i wa s r e s pons i bl e f or t he c a r e

of t he c hi l dr e n. 

On t he mor ni ng of Augus t 16, Dus t i ha d a c c ompa ni e d

Ma r i a t o a s hoppi ng ma l l wi t h Ma r i a ope r a t i ng t he va n. As t o

t hi s tr i p, Dus ti te s tif i e d thus :

Q. Dus t i , di d you ha ve a c onve r s a t i on wi t h your

Aunt Ma r i a on t he oc c a s i on of goi ng t o t he ma l l

t ha t da y?

A. Ye s .

Q. And woul d you t e l l us wha t t ha t c onve r s a t i on

wa s r e ga r di ng t he ve hi c l e you we r e i n?

A. She t ol d - - s he as ke d me - - we we r e at

Mc Dona l d' s a nd we we r e goi ng t o be on our wa y

ba c k home , s he a s ke d me i f I ' d l i ke t o dr i ve

t he va n. 1

Q. And wha t wa s your r e s pons e a t t ha t t i me ?

A. I t ol d he r t ha t , no, I di d not .

Q. And ha d your pa r e nt s a t a ny t i me or your a unt

a nd unc l e put a ny r e s t r i c t i ons on you a t a ny

t i me t ha t you' r e awa r e of i n t he ge ne r a l us e of

ve hi c l e s ?
4

A. No.

Dus ti, in he r a f f i da vit, fur t he r e xpl a i ne d:

La t e r t ha t da y, my pa r e nt s , a unt a nd unc l e

de c i de d t o s pe nd t he r e ma i nde r of t he da y i n

Ga tlinbur g. It wa s a l s o de t e r mi ne d tha t I wa s to

ba bys i t my younge r c ous i ns whi l e t he y we r e gone . No

di s c us s i ons c onc e r ni ng wha t t he c hi l dr e n a nd I c oul d

or c oul d not do oc c ur r e d. I wa s not t ol d wha t t i me

t he y woul d r e t ur n home .

As my pa r e nt s , a unt a nd unc l e we r e l e a vi ng, my

unc l e t os s e d t he ke ys t o hi s va n t o me , a s ki ng t ha t

I c l os e t he wi ndows i f r a i n be ga n. No ot he r

i ns t r uc t i ons c onc e r ni ng t he va n we r e gi ve n. I

be lie ve d a t tha t time a nd la t e r , I ha d pe r mi s s i on to

dr i ve t he va n.

The Fa r me r s pol i c y i ns ur i ng J ohn Howa r d' s va n,

c ont a i ns t he f ol l owi ng e xc l us i on:

( a ) We do not pr ovi de l i a bi l i t y c ove r a ge f or a ny

pe r s on: . . . 

( b) Us i ng a ve hi c l e wi t hout a r e a s ona bl e be l i e f

t ha t t ha t pe r s on i s e nt i t l e d t o do s o.

The GEI CO pol i c y i s s ue d t o Er ne s t wi t h r e ga r d t o a

non- owne d ve hi c l e pr ovi de s c ove r a ge t o:

You a nd your r e l a t i ve s whe n us i ng a pr i va t e

pa s s e nge r a ut o or t r a i l e r . Suc h us e mus t be wi t h

t he pe r mi s s i on, or r e a s ona bl e be l i e f t o be wi t h t he

pe r mi s s i on, of t he owne r a nd wi t hi n t he s c ope of

t ha t pe r mi s s i on;

a nd GEI CO' s uni ns ur e d mot or i s t c ove r a ge pol i c y pr ovi s i on,

pr ovi de s :

But t he t e r m " i ns ur e d a ut o" doe s not i nc l ude :

. . . ( i i ) a n a ut o be i ng us e d wi t hout t he owne r ' s

pe r mi s s i on; .

A s umma r y j udgme nt pr oc e e di ng i s " not i n a ny s e ns e

t o be vi e we d a s a s ubs t i t ut e f or a t r i a l of di s put e d f a c t ua l

i ssu es". Ev c o Cor por at i on v . Ros s , 528 S. W. 2d 20, 25 ( Te nn.
5

1975) . Whe r e t he r e i s a di s put e as t o any ma t e r i a l f act , or

doubt a s t o t he c onc l us i ons t o be dr a wn f r om t ha t f a c t , a

mot i on f or s umma r y j udgme nt i s not a ppr opr i a t e . By r d v. Hal l ,

847 S. W. 2d 208 ( Te nn. 1993) . 

I n t hi s a c t i on, t he r e a r e di s put e d i s s ue s of

ma t e r i a l f act and t he i nf e r e nces whi c h ma y be dr a wn f r om

e vi de nc e . None of t he r e por t e d c a s e s i n t hi s j ur i s di c t i on

c i t e d by t he pa r t i e s i s c ont r ol l i ng, s i nc e t hos e c a s e s do not

c ons i de r t he l a ngua ge c ont a i ne d i n t he s e pol i c i e s . The

e vi de nc e i n t hi s r e c or d, whi c h mus t be t a ke n i n t he l i ght mos t

f a vor a bl e t o t he oppone nt s of t he mot i on, i s t ha t Dus t i wa s

of f e r e d t he oppor t uni t y t o dr i ve t he va n i n t he mor ni ng, a nd

wa s l e f t wi t h t he pos s e s s i on of i gni t i on ke ys t ha t a f t e r noon

wi t hout a ny e xpr e s s pr ohi bi t i on on he r ope r a t i ng t he va n. A

di s put e d f a c t ua l i s s ue i s e s t a bl i s he d a s t o whe t he r Dus t i ,

unde r al l t he ci r c ums t a nces , r eas ona bl y be l i e ve d t ha t s he wa s

e nt i t l e d t o ope r a t e t he ve hi c l e at t he t i me and pl ace of t he

acci de nt .

For t he f or e goi ng r e a s ons , we va c a t e t he s umma r y

j udgme nt s a nd r e ma nd f or f ur t he r pr oc e e di ngs c ons i s t e nt wi t h

t hi s opi ni on. 

The cos t of t he appeal i s as s e s s e d one - ha l f t o each

pl a i ntif f .
6

________________________

He r s c he l P. Fr a nks , J .

CONCUR:

___________________________

Hous t on M. Godda r d, P. J .

___________________________

Wi l l i a m H. I nma n, Sr . J .