Valley National Bank v. Insurance Co. of North America

OPINION

CLABORNE, Presiding Judge.

The issue in this case is whether there was an effective cancellation of a property casualty insurance policy issued by Insurance Company of North America (“INA”) involving the interest of Valley National Bank of Arizona (“VNB”) as mortgagee payee. We hold there was not, and reverse.

VNB filed a declaratory judgment action claiming that it was entitled to payment from INA for losses to VNB’s interest as the mortgagee of property of Wholesale Building Materials, Inc. (“WBM”) which was damaged by a fire. INA’s defense was that it had canceled the policy because…