Noshey v. American Automobile Ins. Co.

SIMONS, Circuit Judge.

Decision necessitates a consideration of principles governing the liability of an insurer obligated to indemnify who undertakes to compromise or defend a claim against the assured, and the application of such principles to facts, which must be accepted as proved.

The appellants were plaintiffs below. They were indemnified against loss which might result from their operation of an automobile truck under a general liability insurance policy issued to them by the appel-lee in an amount not exceeding $10,000, for injury to any one person. The policy was the usual indemnity…