Piedmont Fire Ins. Co. v. Fidelity Mtg. Co. of Ala.

STAKELY, Justice.

This is a suit upon a policy of automobile collision insurance. On June 11, 1943, a policy of automobile collision insurance was issued by Piedmont Fire Insurance Company to W. H. Ezell. On that date Fidelity Mortgage Company of Alabama held a chattel mortgage on the automobile described in the policy which secured an indebtedness of $600.05. This indebtedness at the time of the trial was $411.85.

Fidelity Mortgage Company of Alabama is named as loss payee in the policy under what is termed a “loss payable clause”. This clause contains the following:

“This insurance as to the…