Court Opinion

ID: 9588035
Source: CourtListenerOpinion
Date Created: 2023-08-21 23:29:06.568282+00
Date Added: 2024-06-11T18:00:56.769838
License: Public Domain

Bell, Chief Judge, Webb and Smith, Judges,
dissenting.
We believe the majority is mistaken in its *795construction of the language of the insurance contract in question and the application of the cases cited in the opinion, all of which are correct statements of the law, but inapplicable to this case.
The language in the insurance contract before us is: "No suit or action on this policy for the recovery of any claim shall be sustainable in any court of law or equity unless . . . commenced within twelve (12) months next after the happening of the loss, unless a longer period of time is provided by applicable statute.” (Emphasis supplied.) In each of the cases cited by the majority, there is a period after the word "loss.” Stated differently, the underscored language above did not appear.
It is well settled that an insurance policy is simply a contract between the insurer and the insured. It is equally well settled that contracts of insurance are to be construed against the maker. This rule is particularly applicable where the insurer is moving for summary judgment. Code Ann. § 3-705 provides for a six-year limitation on contract actions. This statute applies to all contracts. The cases cited by the majority well document the rule that parties to a contract may agree to further limit the period within which an action can be brought. However, the insurer in this case placed conditional language ("unless a longer period of time is provided by applicable statute”) on the twelve-month limitation period.
We believe the trial judge erred in granting the insurer’s motion for summary judgment. We would reverse.