I N THE COURT OF APPEALS OF TENNESSEE EASTERN SECTI ON FILED March 6, 1996 Cecil Crowson, Jr. Appellate C ourt Clerk GEI CO GENERAL I NSURANCE ) C/ A NO. 03A01- 9511- CH- 0040 8 COM PANY, ) ) ANDERSON CHANCERY Pl a i nt i f f - Appe l l e e , ) ) HON. W LLI AM E. LANTRI P, I v. ) CHANCELLOR ) DUSTI DAW HOW N ARD, PAT HOW ARD ) a n d wi f e PENNE HOW ARD, RAY ) GABRI ELLE COX, a nd J OHN P. ) HOW ARD a nd wi f e M ARI A S. ) HOW ARD, ) VACATED ) AND De f e nda nt s - Appe l l a nt s . ) REMANDED _ _ _ _ _ _ __________________ ______________ THE FARM ERS AUTOMOBI LE ) C/ A NO. 03A01- 9511- CH- 0040 7 I NSURANCE ASSOCI ATI ON, AN ) I LLI NOI S CORPORATI ON, ) ) Pl a i nt i f f - Appe l l e e , ) ) v. ) ) DUSTI DAW HOW N ARD, PAT HOW ARD ) a n d wi f e , PENNE HOW ARD, RAY ) GABRI ELLE COX, a nd J OHN P. ) HOW ARD a nd wi f e , M ARI A S. ) HOW ARD, ) VACATED ) AND De f e nda nt s - Appe l l a nt s . ) REMANDED

J . W LLI AM COLEY, HODGES DOUGHTY & CARSON, Knoxvi l l e , f or I Pl a i n t 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 c a .

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

W CLARK M . EREDI TH, J OYCE, M EREDI TH, FLI TCROFT & NORM AND, Oa k Ri d g e , f or De f e nda nt s - Ap pe l l a nt s , Dus t i Da wn Howa r d, Pa t Ho wa r d , a nd Pe nne Howa r d.

ROBERT M . CHEM ERS a nd J OHN M M GREGOR, PRETZEL & STOUFFER, . c CHARTERED, Chi c a go, I l l i noi s , a nd ROCKFORDE D. KI NG, EGERTON, M AFEE, ARM STEAD & DAVI S, c I Kn o x v i l l e , f or Pl a i nt i f f - Appe l l e e , The Fa r me r s Aut omobi l e I n s u r 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 de c l a r a t or y j udgme nt a c t i ons a r os e a s a r e s u l t o f a s i ngl e c a r a c c i de nt .

GEI CO Ge ne r a l I ns u r a nc e Compa ny of Ame r i c a ( " GEI CO" ) h a d i s s ue d a f a mi l y a ut o mobi l e i ns ur a nc e pol i c y t o Er ne s t P. Ho wa 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 o c 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 nc e t o J o h n P. Howa r d. Bot h po l i c i e s we r e i n f or c e a t t he t i me of t h e a c c i 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 n e i t h e 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 h e a c c i d e 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 u e 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 u mma 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 n d 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 t h e 1 992 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, Du s 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 n d Un c l e , J ohn P. a nd M r i a S. Howa r d, whe n s he wa s i nvol ve d i n a a s i n g l e mot or ve hi c l e a c c i de nt . J ohn a nd M r i a we r e vi s i t i n g a t h e 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 o f t h e a c c i de nt . J ohn a nd M r i a a nd Er ne s t a nd hi s wi f e Pe nne a h a d g o ne 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 no o n , a n d 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 o f t h e 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 M r i a t o a s hoppi ng ma l l wi t h M r i a ope r a t i ng t he va n. a a As t o t hi s t r i p, Dus t i t e s t i f i e d t hus : Q. Dus t i , di d you ha ve a c onve r s a t i on wi t h your Aunt M r i a on t he oc c a s i on of goi ng t o t he ma l l a 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 a s ke d me - - we we r e a t M Dona l d' s a nd we we r e goi ng t o be on our wa y c 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 un t 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 a wa r e of i n t he ge ne r a l us e of ve hi c l e s ?

Th i s a c c o u n t i s d i s p ut e d by M r i a . a

A. No. Dus t i , i n h e r a f f i da vi t , f ur 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 t l i nbur g. I t wa s a l s o de t e r mi ne d t ha t I wa s t o 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 o u l d or c oul d not d o 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 h a 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 l i e ve d a t t ha t t i me a nd l a t e r , I ha d pe r mi s s i on t o 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 o n t a i ns t he f ol l owi ng e xc l us i on: ( a) W do not pr ovi de l i a bi l i t y c ove r a ge f or a ny e 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 n o n - o wne 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 ai l er . 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 h e 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 n d 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, p r o v i 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 ud gme nt pr oc e e di ng i s " not i n a ny s e ns e t o b e 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 s s ue s " . Ev c o Cor por at i on v . Ros s , 528 S. W 2d 20, 25 ( Te nn . .

1975) . W r e t he r e i s a di s put e a s t o a ny ma t e r i a l f a c t , o r he d o u b t 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 mo t i o n 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 , 4 7 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 a c t a nd t he i n f e r e nc e s 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 n o t c o n s i d e 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 v i d e n c 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 mo s t f a v o r a bl e t o t he oppone n t s of t he mot i on, i s t ha t Dus t i wa s o f 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 n d 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 h o u t 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 d i s p u t 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 , u n d e r a l l t he c i r c ums t a nc e s , r e a s 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 o pe r a t e t he ve hi c l e a t t he t i me a nd pl a c e of t he a c c i d e 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 u d g me 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 h i s o pi ni on.

The c os t o f t he a ppe a l i s a s s e s s e d one - ha l f t o e a c h p l a i nt i f f .

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

CONCUR:

_ _ _ _ _ ___________________ ___ Ho u s t o n M Godda r d, P. J . .

_ _ _ _ _ _ __________________ ___ W l l i a m H. I nma n, Sr . J . i