FRANKENMUTH MUT. INS. CO. v. MASTERS

Docket Nos. 110452, 110881, Calendar No. 9.

595 N.W.2d 832 (1999)

460 Mich. 105

FRANKENMUTH MUTUAL INSURANCE COMPANY, Plaintiff/Counter-Defendant-Appellant, v. George Edwin MASTERS and George Enger Masters, doing business as Masters Men's Shop, Defendant/Cross-Defendant, and Beverly Masters, Auto Owners Insurance Company, City of Alpena, and Citizens Insurance Company of America, Defendants, and Lake States Insurance Company, Larry D. Sanderson, Barbara A. Sanderson, G & L Ventures, Inc., doing business as Owl Café, Richard J. Ritzler, Suzette E. Ritzler, and Shirley J. Ritzler, Defendants-Appellees, and Meridian Mutual Insurance Company and State Mutual Insurance Company, Defendants/Counter-Plaintiffs-Appellees, National Fire & Indemnity Exchange, Defendant/Cross-Plaintiff. Frankenmuth Mutual Insurance Company, Plaintiff/Counter-Defendant-Appellee, v. George Edwin Masters and George Enger Masters, doing business as Masters Men's Shop, Defendant/Cross-Defendant, and Beverly Masters, Auto Owners Insurance Company, City of Alpena, and Citizens Insurance Company of America, Defendants, and Lake States Insurance Company, Larry D. Sanderson, Barbara A. Sanderson, G & L Ventures, Inc., doing business as Owl Café, Richard J. Ritzler, Suzette E. Ritzler, and Shirley J. Ritzler, Defendants-Appellees, and Meridian Mutual Insurance Company and State Mutual Insurance Company, Defendants/Counter-Plaintiffs-Appellants, National Fire & Indemnity Exchange, Defendant/Cross-Plaintiff.

Supreme Court of Michigan.

Decided June 15, 1999.


Attorney(s) appearing for the Case

Braun, Kendrick, Finkbeiner, P.L.C. (by Scott C. Strattard and Jeffrey C. Wilson), Saginaw, for plaintiff-appellee Frankenmuth Mutual Insurance Company.

Freel & Freel, P.C. (by Timothy R. Freel and Renee E. Nesbit), East Tawas, for defendants-appellees Lake States Insurance Company.

Klemanski & Honeyman, P.C. (by James C. Klemanski and Edward J. Everhart), Troy, for defendants counter-plaintiffs-appellees Meridian and State Mutual Insurance Companies.


Opinion

MARILYN J. KELLY, J.

This is an action for declaratory judgment. Frankenmuth Mutual Insurance Company seeks a determination of its obligation to indemnify its insureds for collateral property damage resulting from the insureds' intentional destruction of their inventory by fire.

We hold that the collateral damage was not "accidental" as defined in the insurance policies at issue. Consequently,...

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