Canadian Indemnity Company v. Leo Tacke

The appellant, hereafter the Insurer, appeals from a declaratory judgment of the District Court of Montana in a diversity suit holding valid a predated policy of insurance issued by it, insuring Leo Tacke against his liability for personal injury not exceeding $10,000 and property damage not exceeding $5,000. The judgment v/as solely as to the validity of the policy.

There was a collision between Tacke’s Chevrolet and a car containing a Mr. and Mrs. Kissee in which Mrs. Kissee claimed she was injured and for which she brought suit which is pending and not yet tried. Insurer claimed the predated policy was invalid and denied any liability under it for damages recoverable from Tacke by Mrs. Kissee as a result of the collision, thus making an “actual controversy” for the declaratory relief under 28 U.S.C. § 2201 .

The collision in which Tacke was involved occurred at about 8:30 or 8:40 a. m. on September 20, 1952. He was unconscious for some time thereafter. There had been prior discussions with Insurer’s agent for an auto liability policy but the terms were not fixed until 9 a. m. that day when a verbal agreement with the Insurer’s agent was made over the telephone by Mrs. Tacke…