State Farm Mutual Automobile Insurance Company v. Nationwide Mutual Insurance Company

ALBERT V. BRYAN, Senior Circuit Judge:

Appellant, State Farm Mutual Automobile Insurance Company, sought in the District Court a declaration by summary judgment that three automobile liability policies issued by it to the named insureds, John Sam Johnson and Nina Johnson, his wife, did not extend coverage to their daughter, Dorothy Jean Johnson, while driving a “non-owned automobile”. The District Court, 349 F.Supp. 158, found this feature of the policies so ambiguous in meaning as to be of no effect. In consequence, the Court resolved the alleged lack of clarity against the insurer, thus…