Utica Mutual Insurance v. Monarch Insurance

Utica Mutual Insurance Company (“Utica”) filed a complaint against Monarch Insurance Company of Ohio (“Monarch”), George Woelke, George Woelke, Jr., and Angus McDonald, seeking a judgment declaring that Monarch’s policy of insurance upon Woelke’s Ford automobile, which Utica also insured, was in effect on July 8, 1962, the date of an accident out of which grew a pending action by McDonald against the Woelkes, and declaring that Monarch contribute to Utica half of Utica’s litigation expenses and half of the amount of any judgment or settlement for which Utica may become liable in the McDonald action.

Monarch answered, denying any liability, and filed a cross-complaint against the Woelkes, Utica and McDonald for reformation of its contract of insurance with George Woelke. Monarch’s cross-complaint averred that Monarch and George Woelke orally agreed that that portion of its policy with George Woelke covering his Ford automobile would take effect upon the expiration of Utica’s policy on the Ford. Due to a mistake in reducing the agreement to writing, the Ford automobile was included for the policy period commencing April 22, 1962, and not upon the expiration date of the Utica…