Albuquerque Gravel Products Company, No Stockholders' Liability, a New Mexico Corporation v. American Employers Insurance Company, a Corporation

PICKETT, Circuit Judge.

The American Employers Insurance Company issued to plaintiff, Albuquerque Gravel Products Company, an insurance policy in which it agreed:

“To pay on behalf of the insured all sums which the insured shall become legally obligated to pay as damages because of injury to or destruction of property, including the loss of use thereof, caused by accident.”

Actions were brought against the insured in the New Mexico State courts by various persons, alleging that damages had resulted from insured’s negligent construction of a loading ramp across the natural water course of Hahn…