Opinion ID: 391025
Heading Depth: 1
Heading Rank: 3

Heading: the deductible and betterment figures

Text: 14 Tidewater claims the district judge erred by holding that Reliance was not liable for the deductible amount and the betterment figure, and the miscellaneous charges. We affirm the district judge's conclusion on this issue. 15 The district judge found, and we agree, that Tidewater's only contract was with Keystone. Tidewater leased the crane to Keystone and, as part of that contract, Keystone was obligated to provide insurance for the equipment. It did so by asking its carrier, Reliance, to list Tidewater as an insured on the Keystone policy. As a result of this request, Reliance mailed the certificates to Tidewater. 16 William Bozman, Tidewater's executive vice-president, received the first certificate and contacted Keystone because the serial number of the crane had been left off of the certificate. He also attempted to determine from Keystone whether the policy contained full coverage for both the crane and the boom in the amount of $675,000. He made this inquiry, according to his testimony, because from past experience he knew that the term All Risks the term which was used on the certificate to describe the type of insurance provided did not necessarily mean there was no deductible and that no exclusions could be claimed. A new certificate was sent at Keystone's request of Reliance which listed coverage for the boom and corrected the serial number. 17 At no time before the accident did anyone from Tidewater communicate with representatives of Reliance. 18 From these facts it is clear that Tidewater contracted with Keystone for insurance, and to fulfill its obligation; Keystone had Reliance list Tidewater as an insured. To the extent that Keystone failed to insure the crane, it became the insurer. 1 4 Appleman, Insurance Law and Practice § 2261 at 179 (Rev. Ed. 1969). See also, Midwest Lumber Co. v. Dwight E. Nelson Constr. Co., 188 Neb. 308, 196 N.W.2d 377 (1972); Smith v. Ryan, 142 So.2d 139 (Fla.App.1962). 19 Tidewater's right against Reliance is as an additional insured under the insurance contract between Keystone and Reliance, and as such is limited by the terms and conditions of that contract. See 12 Couch on Insurance 2d, § 45:307 at p. 321 (1964). 20 Tidewater, as the plaintiff, bore the burden of proving the contract, its terms, a breach, and its entitlement to recover. It failed to carry that burden. The written contract of insurance was never placed into evidence, but only the certificates. The certificate first issued said at the top that it was subject to the provisions, conditions and limitations contained in the policy with Keystone. The second certificate contained the following language: This Certificate is issued as a matter of information only and confers no rights upon the certificate holder. This Certificate does not amend, extend or alter the coverage afforded by the policies listed below. 21 The only evidence of what the terms and conditions of the policy were came in the form of oral testimony from Robert Durbin, manager of Material Damage for Reliance, who testified that the amounts paid by Reliance for the damage to the crane were based on the policy terms. This being the only evidence, the trial judge had no choice but to rule that Tidewater had not borne the burden of proving that it was entitled to the amounts sued for. 22 Tidewater further claims that Reliance is estopped from denying Tidewater's right to the deductible, the betterment and the miscellaneous figures since it never explicitly told Tidewater of those provisions in the policy. This argument must fail, however, because a necessary element of any estoppel is reliance by the party claiming the estoppel. Travelers Indemnity Co. v. Rosedale Passenger Lines, Inc., 450 F.2d 975 (4th Cir. 1971); General Cigar Co. v. Lancaster Leaf Tobacco Co., 323 F.Supp. 931 (D.Md.1971); Chertkof v. Philadelphia, Baltimore & Washington R.R. Co., 254 Md. 557, 255 A.2d 14 (1969); Savonis v. Burke, 241 Md. 316, 216 A.2d 521 (1966). 23 An estoppel cannot arise in the absence of proof that the party claiming the benefit thereof had relied on the statements or conduct claimed to give rise to the estoppel, the theory being that in the absence of such reliance, no harm will be caused by proving the truth. 24 Couch on Insurance 2d § 71.17 at p. 17 (1968). 25 Whether or not an estoppel arises in any case is ordinarily a question for the trier of fact to determine. Addressograph-Multigraph Corp. v. Zink, 273 Md. 277, 329 A.2d 28 (1974); Travelers Indemnity Co. v. Nationwide Constr. Corp., 244 Md. 401, 224 A.2d 285 (1965); Bean v. Steuart Petroleum Co., 244 Md. 459, 224 A.2d 295 (1966). The district judge made a factual finding that Tidewater had not relied upon the certificates for specifics of the coverage, but relied instead on representations from Keystone. This conclusion, from the record, is not clearly erroneous. Rule 52(a), Fed.R.Civ.P. There having been no reliance, there can be no estoppel. 26 For these reasons, we affirm the district court on its judgment that the plaintiff is not entitled to the amounts which represent the deductible, the betterment and the miscellaneous figures.