American Indemnity Co. v. Higgenbotham

Higgenbotham sued the indemnity company upon a policy insuring against loss of an automobile by theft. Prom a judgment upon a special issue verdict in favor of the former, the latter has appealed.

Higgenbotham was in the auto livery business. The car was rented to two boys “to ride into the country,” and “they didn’t return it.”

The controlling questions in the case are whether the loss sustained falls within the risks covered by the terms of the policy; and, if not, whether verbal negotiations between Higgenbotham and Ray (local agent of the indemnity company who wrote the policy) legally…