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COMMERCIAL UNION INS. CO. v. SNEED

541 S.W.2d 943 (1976)

COMMERCIAL UNION INSURANCE COMPANY, Petitioner-Defendant, and Shelby Mutual Insurance Company, Defendant, v. Vernon SNEED et ux., Respondents-Plaintiffs.

Supreme Court of Tennessee.

October 11, 1976.

Attorney(s) appearing for the Case

Charles W. Dooley, Thomas, Leitner, Mann, Warner & Owens, Chattanooga, for petitioner-defendant.

Allen H. Carter, Carter & Reid, Athens, for respondents-plaintiffs.

OPINION

FONES, Chief Justice.

We granted certiorari in this case limited to the issue relating to the imposition of the bad faith penalty of twenty-five (25%) percent, as provided in T.C.A. § 56-1105(A).

I.

The issue that precipitated this litigation, as stated by the Court of Appeals is:

"When there is in force on the same property a valued insurance policy and an open policy,...

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