Canal Insurance v. Hall

Frank Holt, Justice.

In 1972 appellee suffered injuries when she was involved in an automobile accident with a vehicle driven by William Clark. Clark’s vehicle, owned by him, was leased to Southern Trucking Corporation. Appellant Canal Insurance Company insured all trucks used by Southern. Appellee was awarded a $30,000 default judgment against Clark. Appellee’s attorneys then notified the appellant-insurer of the default judgment and demanded payment. Upon refusal, appellee filed a direct action against appellant for the $30,000 judgment together with 12% penalty and attorney’s fee. Appellant…