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MALAND v. HOUSTON FIRE & CAS. INS. CO. OF FORT WORTH, TEX.

No. 16402.

274 F.2d 299 (1960)

Robert D. MALAND and Bonnie J. Maland, Appellants, v. HOUSTON FIRE AND CASUALTY INSURANCE COMPANY OF FORT WORTH, TEXAS, a Corporation, and Patricia Royston, Appellees.

United States Court of Appeals Ninth Circuit.

Rehearing Denied March 9, 1960.

Attorney(s) appearing for the Case

Hamblen, Gilbert & Brooke, Robert E. Brooke, Spokane, Wash., for appellants.

Paul F. Schedler, Nappi & Triesch, Del Cary Smith, Jr., Spokane, Wash., for appellees.

Before BONE, POPE and HAMLEY, Circuit Judges.

BONE, Circuit Judge.

Appellant Robert Maland is a partner in a business firm known as City Motors, which buys and sells used cars in Spokane, Washington. In ordering automobile liability insurance for City Motors, Maland and J. Tom Clinton, an agent for appellee insurance company, came to a mutual understanding that the policy would cover all cars owned by the partnership and held for purposes of resale — insurance providing "Division I" coverage. Inadvertently...

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