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COLLINS & AIKMAN CORP. v. HARTFORD ACC. & INDEM. CO.

No. 252PA92.

436 S.E.2d 243 (1993)

335 N.C. 91

COLLINS & AIKMAN CORPORATION v. The HARTFORD ACCIDENT & INDEMNITY COMPANY, and Aetna Casualty & Surety Company.

Supreme Court of North Carolina.

November 5, 1993.

Attorney(s) appearing for the Case

Parker, Poe, Adams & Bernstein by Irvin W. Hankins, III and Josephine H. Hicks, Charlotte, for plaintiff-appellee.

Patterson, Dilthey, Clay & Bryson by Ronald C. Dilthey and Cranfill, Sumner & Hartzog by Susan K. Burkhart, Raleigh, for defendant-appellant The Hartford Acc. and Indem. Co.

LeBoeuf, Lamb, Leiby & MacRae by Stephanie Hutchins Autry and Peter M. Foley, Raleigh, for amicus curiae Nationwide.

WEBB, Justice.

The first issue raised by this appeal involves the choice of law to be applied. Hartford contends that California law should be used in interpreting the insurance policy and that punitive damages are not covered by the policy under the law of California. We agree with the Court of Appeals that this case is governed by N.C.G.S. § 58-3-1 which provides:

All contracts of insurance on property,...

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