Erie Insurance Exchange v. Davidson

32 Pa. D. & C.5th 496
CourtPennsylvania Court of Common Pleas, Monroe County
DecidedSeptember 5, 2013
DocketNo. 7806 CIVIL 2011
StatusPublished

This text of 32 Pa. D. & C.5th 496 (Erie Insurance Exchange v. Davidson) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Monroe County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Erie Insurance Exchange v. Davidson, 32 Pa. D. & C.5th 496 (Pa. Super. Ct. 2013).

Opinion

HIGGINS, J.,

The pertinent facts in this case are not at issue. On May 22, 2009, defendant Kimberly Davidson was a passenger in a Ford E-350 Mini School Bus van being operated by Rebecca Achey. Ms. Davidson was employed as a “bus aide” at First Student which required her to assist children on and off the bus. On May 22, 2009, Zachary Sasz was operating a 2001 Pontiac Grand Am which was struck by a vehicle being driven by Allison Phelps. As a result of that collision, the Sasz vehicle was pushed into the opposite lane of travel causing a collision with the bus van being operated by Ms. Achey. Ms. Davidson suffered personal injuries as a result and she subsequently settled her third party claim against Ms. Phelps. Thereafter, MS'. Davidson submitted a claim for UIM benefits under her commercial policy (“policy”) issued by plaintiff, Erie Insurance Exchange (hereinafter “Erie”). Erie denied Ms. Davidson UIM benefits under the “regular use” exclusion in the policy. Erie then filed the instant action seeking a declaratory judgment regarding its rights and obligations under the policy, i.e., to wit: whether the regular use exclusion contained in the defendants’ policy excludes UIM coverage for Ms. Davidson. After the pleadings closed, Erie filed a motion for summary [498]*498judgment (“motion”). We heard oral arguments from the parties and reviewed the briefs filed of record. We are now prepared to rule on Erie’s Motion.

Pennsylvania Rule of Civil Procedure 1035.2 states that any party may move for summary judgment in whole or in part whenever there is no genuine issue of any material fact as to a necessary element of the cause of action or defense, and the moving party is entitled to judgment as a matter of law. Gutteridge v. A. P. Green Services, Inc., 804 A.2d 643 (Pa. Super. 2002). A trial court may dismiss all or part of a claim after the close of pleadings through summary judgment Wilson v. El-Daief 600 Pa. 161, 964 A.2d 354 (2009). To prevail on a motion for summary judgment, the moving party bears the burden of proving that no genuine issues of material fact exist as to a necessary element of the cause of action or defense. Rush v. Philadelphia Newspapers, Inc., 732 A.2d 648 (Pa. Super. 1999). The court must view the record in the light most favorable to the party opposing the motion for summary judgment and resolve all doubts as to the existence of genuine issues of material fact against the moving party. Potter v. Herman, 762 A.2d 1116 (Pa. Super. 2000). The trial court may only enter summary judgment when the facts are so clear that reasonable minds cannot differ. Basile v. H & R Block, Inc., 563 Pa. 359, 761 A.2d 1115 (2000).

The party opposing a motion for summary judgment may not rest on mere allegations or denials in the pleadings, but must identify evidence of a dispute of material fact presented by the record in the case. Pa. R.C.P. 1035.3; McCarthy v. Dan Lepore & Sons Co., Inc., 724 A.2d 938 (Pa. Super. 1998) The record, for the purposes of a motion for summary judgment, consists of pleadings, depositions, [499]*499answers to interrogatories, admissions, affidavits, and reports signed by an expert witness that would, if filed, comply with Rule 4003.5(a)(1). Pa. R.C.P. 1035.1.

In its motion, Erie argues that UIM coverage is not available to Ms. Davidson under the “regular use” exclusion in the policy. Specifically, Erie claims that the policy excludes coverage for bodily injury to an insured using a non-owner motor vehicle which is regularly used by the insured and which is not insured by UIM benefits. In opposition, defendants argue that Ms. Davidson’s job responsibilities do not require her to operate the bus and that she does not possess a commercial driver’s license (“CDL”) which would allow her to operate the bus. The parties agree that Ms. Davidson was a regular passenger on the bus in which she was occupying when it was involved in the collision that caused Ms. Davidson’s injuries. Ms. Davidson does not possess a CDL which she testified is required to operate the bus. Therefore, the issue before the court is whether a passenger, who regularly occupies a non-owned motor vehicle, is considered to be “using” the non-owned motor vehicle pursuant to the policy’s terms.

Under Pennsylvania law, the court’s primary task in contract interpretation is determining the intent of the parties. 401 Fourth St., Inc. v. Investors Ins. Group, 583 Pa. 445, 879 A.2d 166 (2005) (citation omitted). In determining the intent of the parties, we look to the terms used in the written insurance policy. Gene and Harvey Builders, Inc. v. Pennyslvania Manufacturers’ Association, Ins. Co., 512 Pa. 420, 517 A.2d 910 (1986) (citation omitted).

When there is ambiguous language, the policy is [500]*500to be construed in favor of the insured, “to further the contract’s prime purpose of indemnification,” 401 Fourth St., supra 583 Pa. at 455. Conversely, where the contract’s terms are unambiguous, we are required to give effect to that language. Id. Merely because the parties interpret the contract differently does not mean it is ambiguous. Espenshade v. Espenshade, 729 A. 2d 1239, 1242 (Pa. Super. 1999). Only where different constructions are capable of being understood in more than one sense is a contract ambiguous. Insurance Adjustment Bureau v. Allstate, 905 A. 2d 462, 468-69 (Pa. 2006).

Based upon the above, we will focus our inquiry on the following language contained in the policy:

WHAT WE DO NOT COVER-EXCLUSIONS
This insurance does not apply to:
10. bodily injury to you or a resident using a non-owned motor vehicle or a non-owned miscellaneous vehicle which is regularly used by you or a resident, but not insured for Uninsured or Underinsured Motorists Coverage under this policy, (emphasis in original) See page 2, paragraph 10 of policy attached as Exhibit “B” of plaintiff’s complaint.

Erie argues that Ms. Davidson suffered bodily injury while using a non-owned motor vehicle which was not insured under this policy. On the other hand, defendants contend that Ms. Davidson was not “using” the vehicle because she was a passenger and she is unable to drive the vehicle. Neither party disputes that Ms. Davidson was a regular passenger on the bus, accordingly, our inquiry turns to whether being s passenger on the bus is construed [501]*501as “using” the bus.

Initially, we note that the definition sections contained within the policy do not define “using” or “using a non-owned motor vehicle.” Erie argues that this “regular use” exception was upheld as clear and unambiguous in the case of Brink v. Erie Insurance

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Related

Wilson v. El-Daief
964 A.2d 354 (Supreme Court of Pennsylvania, 2009)
McCarthy v. Dan Lepore & Sons Co., Inc.
724 A.2d 938 (Superior Court of Pennsylvania, 1998)
Espenshade v. Espenshade
729 A.2d 1239 (Superior Court of Pennsylvania, 1999)
Erie Insurance Exchange v. E.L. Ex Rel. Lowry
941 A.2d 1270 (Superior Court of Pennsylvania, 2008)
Erie Insurance Exchange v. Transamerica Insurance
533 A.2d 1363 (Supreme Court of Pennsylvania, 1987)
Gene & Harvey Builders, Inc. v. Pennsylvania Manufacturers' Ass'n
517 A.2d 910 (Supreme Court of Pennsylvania, 1986)
Potter v. Herman
762 A.2d 1116 (Superior Court of Pennsylvania, 2000)
Gutteridge v. A.P. Green Services, Inc.
804 A.2d 643 (Superior Court of Pennsylvania, 2002)
Basile v. H & R BLOCK, INC.
761 A.2d 1115 (Supreme Court of Pennsylvania, 2000)
Insurance Adjustment Bureau, Inc. v. Allstate Insurance
905 A.2d 462 (Supreme Court of Pennsylvania, 2006)
Rush v. Philadelphia Newspapers, Inc.
732 A.2d 648 (Superior Court of Pennsylvania, 1999)
401 Fourth Street, Inc. v. Investors Insurance Group
879 A.2d 166 (Supreme Court of Pennsylvania, 2005)
Brink v. Erie Insurance Group
940 A.2d 528 (Superior Court of Pennsylvania, 2008)

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Bluebook (online)
32 Pa. D. & C.5th 496, Counsel Stack Legal Research, https://law.counselstack.com/opinion/erie-insurance-exchange-v-davidson-pactcomplmonroe-2013.