1st CHOICE ADVANTAGE INSURANCE COMPANY v. Sneed

CourtDistrict Court, E.D. Texas
DecidedJuly 11, 2025
Docket4:23-cv-01130
StatusUnknown

This text of 1st CHOICE ADVANTAGE INSURANCE COMPANY v. Sneed (1st CHOICE ADVANTAGE INSURANCE COMPANY v. Sneed) is published on Counsel Stack Legal Research, covering District Court, E.D. Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
1st CHOICE ADVANTAGE INSURANCE COMPANY v. Sneed, (E.D. Tex. 2025).

Opinion

United States District Court EASTERN DISTRICT OF TEXAS SHERMAN DIVISION

1ST CHOICE ADVANTAGE § INSURANCE COMPANY, INC., § § Plaintiff, § Civil Action No. 4:23-cv-1130 v. § Judge Mazzant § KATHRYN SNEED, et al., § § Defendants. § MEMORANDUM OPINION AND ORDER Pending before the Court is 1st Choice Advantage Insurance Company, Inc.’s Motion for Summary Judgment (Dkt. #21) and Defendants Black Bird Ranch’s, the Bonaparte Family Living Trust’s, Frank Bonaparte’s, and Patricia Bonaparte’s Motion for Summary Judgment (Dkt. #22). Having considered the Motions and the relevant pleadings, the Court finds that they should be GRANTED in part and DENIED in part. BACKGROUND This is an insurance case. The issue before the Court is whether Plaintiff owes a duty to defend or indemnify Defendants in an underlying lawsuit.1 Plaintiff contends that it has no obligation to do either for its insureds—Black Bird Ranch, the Bonaparte Family Living Trust, and its co-trustees Frank and Patricia Bonaparte (collectively, the “Bonaparte Defendants”)—against claims brought in the underlying lawsuit alleging injuries to horses boarded at the Bonaparte Defendants’ property (Dkt. #21 at pp. 4–5). The Bonaparte Defendants’ argue, conversely, that

1 See Sneed v. Gibbs, No. 4:23-cv-817-ALM, ECF No. 1 (E.D. Tex. Sept. 29, 2023). Plaintiff does indeed owe a duty to defend, and assuming ripeness does not stand in the way, a duty to indemnify too. Plaintiff issued two policies to the Bonaparte Defendants that are relevant to this dispute: a

primary Agri-Business Farm and Ranch Policy (“the Primary Policy”) and an “Umbrella/Excess” liability policy (the “Excess Policy”), effective from December 7, 2022 to December 7, 2023 (Dkt. #21 at pp. 3– 4; Dkt. #21-2 at p. 1; Dkt. #22-2 at p. 1). The Bonaparte Defendants are also named defendants in the underlying lawsuit brought by Kathryn Sneed and Sneed Equestrian Estates, LLC (Dkt. #21 at p. 3; see Dkt. #22-4). That underlying suit further names as defendants persons who were contracted to train and care for Defendant Sneed’s horses (the “Gibbs Defendants”) and

the owners of the first boarding property to which Defendant Sneed entrusted her horses (the “Schmidt Defendants”) (Dkt. #22-4 at p. 6; Dkt. #23 at pp. 5–6). The events giving rise to the underlying lawsuit began when Defendant Sneed retained the Gibbs Defendants to care for and train five horses initially boarded on the Schmidt Defendants’ property (Dkt. #21 at pp. 3–4). Defendant Sneed ultimately transferred her horses from the Schmidt Defendants’ property because they allegedly contracted “strangles,” a contagious equine respiratory disease (Dkt. #21 at p. 4; Dkt. #23 at p. 6). On December 9, 2022, the Gibbs Defendants

transported the horses to the Bonaparte Defendants’ Black Bird Ranch (Dkt. #21 at p. 4; Dkt. #23 at p. 6). The petition in the underlying suit alleges that, while at Black Bird Ranch, one horse required euthanasia due to trauma and others suffered additional injuries and neglect (Dkt. #23 at pp. 6–7; Dkt. #22-4 at p. 9). The petition additionally alleges that the Bonaparte Defendants’ did not inform Defendant Sneed of the disease outbreak or meet their standard of care, causing Defendant Sneed’s alleged losses (Dkt. #21 at pp. 8–9; Dkt. #23 at pp. 6–7). In this declaratory judgment action, Plaintiff seeks a ruling that it owes no duty to defend or indemnify the Bonaparte Defendants and Sneed Defendants under either policy (Dkt. #21 at p. 3).2 Plaintiff argues that the policies limit “bodily injury” coverage to harm to persons and

exclude “property damage” to personal property in the insured’s “care, custody, or control” (Dkt. #21 at pp. 4–5). Plaintiff further alleges that the care, custody, or control exclusion encompasses the injuries alleged by Defendant Sneed in the underlying suit (Dkt. #21 at pp. 4–5). The Bonaparte Defendants oppose this reading, maintaining that the underlying pleadings allege property damage that at least potentially triggers coverage (Dkt. #23 at p. 13). They further allege that the exclusions do not categorically preclude Plaintiff’s duty to defend (Dkt. #23 at p. 13).

On September 13, 2024, Plaintiff filed its Motion for Summary Judgment, asserting that it owes no duty to defend or indemnify because the claims exclusively involve damage to horses— (i.e., non-covered bodily injury) and fall squarely within the policies’ care, custody, or control exclusions (Dkt. #21 at pp. 4–5). On September 15, 2024, the Bonaparte Defendants filed their own Motion for Summary Judgment petitioning the Court to determine (1) whether Plaintiff owes a duty to defend, (2) whether the duty to indemnify is ripe, and (3) if so, whether Plaintiff owes a duty to indemnify (Dkt. #22 at pp. 1–2). On September 27, 2024, the Bonaparte Defendants

filed their Response to Plaintiff’s Motion for Summary Judgment, arguing that the pleadings trigger the property damage coverage provision and that factual questions preclude summary judgment on the care, custody, and control exclusions (Dkt. #23 at pp. 13–15). On October 4, 2024, the Sneed Defendants filed their Response, joining the Bonaparte Defendants “in all parts of their

2 Despite this position, Plaintiff is currently defending the Bonaparte Defendants in the underlying lawsuit pursuant to a “reservation of rights” preserving the option to later deny coverage and avoid paying for any judgment or settlement (Dkt. #21 at p. 3). Motion for Summary Judgment and Response in Opposition to Plaintiff’s Motion for Summary Judgment” (Dkt. #25 at pp. 1–2).3 The Motions are now ripe for adjudication. LEGAL STANDARD

The purpose of summary judgment is to isolate and dispose of factually unsupported claims or defenses. Celotex Corp. v. Catrett, 477 U.S. 317, 323–24 (1986). Summary judgment is proper under Rule 56(a) of the Federal Rules of Civil Procedure “if the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” FED. R. CIV. P. 56(a). A dispute about a material fact is genuine when “the evidence is such that a reasonable jury could return a verdict for the nonmoving party.” Anderson v. Liberty Lobby, Inc., 477

U.S. 242, 248 (1986). Substantive law identifies which facts are material. Id. The trial court “must resolve all reasonable doubts in favor of the party opposing the motion [for summary judgment].” Casey Enters., Inc. v. Am. Hardware Mut. Ins. Co., 655 F.2d 598, 602 (5th Cir. 1981). The party seeking summary judgment bears the initial burden of informing the court of its motion and identifying “depositions, documents, electronically stored information, affidavits or declarations, stipulations (including those made for purposes of the motion only), admissions, interrogatory answers, or other materials” that demonstrate the absence of a genuine issue of

material fact. FED. R. CIV. P. 56(c)(1)(A); Celotex, 477 U.S. at 323. If the movant bears the burden of proof on a claim or defense for which it is moving for summary judgment, it must come forward with evidence that establishes “beyond peradventure all of the essential elements of the claim or defense.” Fontenot v. Upjohn Co., 780 F.2d 1190, 1194 (5th Cir. 1986). Where the nonmovant bears

3 For concision’s sake, the Court will analyze each issue as it relates only to the Bonaparte Defendants but extend the results of the analysis to the Sneed Defendants.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Byers v. Dallas Morning News, Inc.
209 F.3d 419 (Fifth Circuit, 2000)
Turner v. Baylor Richardson Medical Center
476 F.3d 337 (Fifth Circuit, 2007)
Gore Design Completions, Ltd. v. Hartford Fire Ins.
538 F.3d 365 (Fifth Circuit, 2008)
Anderson v. Liberty Lobby, Inc.
477 U.S. 242 (Supreme Court, 1986)
Marian Fontenot, Etc. v. The Upjohn Company
780 F.2d 1190 (Fifth Circuit, 1986)
D.R. Horton-Texas Ltd. v. Markel International Insurance Co.
300 S.W.3d 740 (Texas Supreme Court, 2009)
Zurich American Insurance Co. v. Nokia, Inc.
268 S.W.3d 487 (Texas Supreme Court, 2008)
King v. Dallas Fire Insurance Co.
85 S.W.3d 185 (Texas Supreme Court, 2002)
Grain Dealers Mutual Insurance v. McKee
943 S.W.2d 455 (Texas Supreme Court, 1997)
Trinity Universal Insurance Co. v. Cowan
945 S.W.2d 819 (Texas Supreme Court, 1997)
Balandran v. Safeco Insurance Co. of America
972 S.W.2d 738 (Texas Supreme Court, 1998)
Farmers Texas County Mutual Insurance v. Griffin
955 S.W.2d 81 (Texas Supreme Court, 1997)
Great American Insurance Co. v. Primo
512 S.W.3d 890 (Texas Supreme Court, 2017)

Cite This Page — Counsel Stack

Bluebook (online)
1st CHOICE ADVANTAGE INSURANCE COMPANY v. Sneed, Counsel Stack Legal Research, https://law.counselstack.com/opinion/1st-choice-advantage-insurance-company-v-sneed-txed-2025.