Founders' Insurance Company, a Corporation v. H. J. Rogers and R. G. Rogers

This appeal is from a final decree in admiralty of the district court which adjudged that appellees recover from the appellant, which had issued a policy of marine insurance covering a small boat called the Adequate, and owned by appel-lees, the sum of $3,500 for damages sustained to the boat when it sank at its slip.

Jurisdiction of the district court was invoked under the provisions of the constitutional grant of admiralty and maritime jurisdiction (Article 3, Section 2 of the Constitution of the United States), and Title 28 U.S.C.A, § 1333(1). This Court’s jurisdiction to review said decree rests upon Title 28 U.S.C.A. §§ 1291 and 1294.

In their libel in personam filed by the appellees against the appellant the right to recover was predicated upon either of two provisions of the insurance contract covering the boat. One of these provisions, referred to as the “perils” clause provides for coverage in the event of a loss caused by certain specified perils, including the “perils of the seas”. The pertinent portion of this provision is as follows:

The policy issued has an “English Law” clause, which provides “This insurance is subject to English Law and Usage.”

The other…