Southeastern Fidelity Insurance Co. v. Truck Insurance Exchange, Inc.

By its affirmance, the court has held that Southeastern Fidelity Insurance Co. cannot maintain an action for declaratory relief against Truck Insurance Exchange, Inc., after settling with the companies’ insured. Because in my view the court errs both as a matter of law and as a matter of public policy in reaching this result, I respectfully dissent.

Southeastern Fidelity Insurance Co. (Southeastern) and Truck Insurance Exchange, Inc. (Truck) issued consecutive general liability insurance policies to Volkswagen South, Inc. (Volkswagen).1

*79In August, 1978, Volkswagen South erroneously delivered to…