Allied American Mutual Fire Insurance v. Commissioner of Motor Vehicles

The appellants, two mutual insurance companies that write automobile liability insurance, and an insured of each, brought a bill for a declaration that Ch. 836 of the Acts of 1957-—the Unsatisfied Claim and Judgment Fund Law—was unconstitutional and void and for an injunction against the officials named in the Act to prevent its enforcement and administration. The chancellor found the law constitutional and denied the relief sought, and this appeal followed.

The Act was passed to meet what the Legislative Council’s Committee on Motor Vehicle Insurance called the “growing and serious social…