Motors Insurance v. American Garages, Inc.

98 Misc. 2d 887, 414 N.Y.S.2d 841, 1979 N.Y. Misc. LEXIS 2160
CourtAppellate Terms of the Supreme Court of New York
DecidedFebruary 7, 1979
StatusPublished
Cited by13 cases

This text of 98 Misc. 2d 887 (Motors Insurance v. American Garages, Inc.) is published on Counsel Stack Legal Research, covering Appellate Terms of the Supreme Court of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Motors Insurance v. American Garages, Inc., 98 Misc. 2d 887, 414 N.Y.S.2d 841, 1979 N.Y. Misc. LEXIS 2160 (N.Y. Ct. App. 1979).

Opinion

OPINION OF THE COURT

Per Curiam.

Judgment entered May 25, 1978 affirmed, with $25 costs upon the well-reasoned opinion of Salman, J., at Trial Term.

The plaintiff is the subrogee of the owner of a 1976 Pontiac automobile. That vehicle was stolen from the defendant’s garage on July 16, 1976 at approximately 4:00 a.m. Immediately prior to the theft the garage attendant had been moving cars in the rear of the garage. He observed two men, carrying what may have been a gun, approaching him from approximately 400 feet away, and fled the garage through a rear door. The keys to the vehicle in question were kept on a pegboard in the garage office, the door of which was not locked. When the attendant returned to the garage about 25 minutes later the subject vehicle had been taken.

The vehicle had been garaged on defendant’s premises under a contract which provided, inter alia, that the defendant did not protect the customer’s car from theft, that the relationship between the garage and the customer was to be considered that of landlord and tenant, not bailor and bailee, [889]*889and that if the ^foregoing provisions were deemed invalid or contrary to public policy, the defendant’s liability would be limited to $100, unless the plaintiff declared a greater value and paid to the defendant an amount equal to the cost of the theft insurance. The court below awarded the plaintiff the sum of $5,032.20 for the loss incurred as a result of the theft of the vehicle in question by reason of the defendant’s negligence. We affirm that award.

The ordinary relationship between a customer and a garage owner is that of bailor and bailee and certain legal rights and liabilities mark that relationship (25 NY Jur, Garages, §§ 31, 38, pp 130, 131). The burden is always on the customer to prove lack of due care in safeguarding his vehicle in order to recover for its loss. However, upon a mere showing that he delivered the vehicle to the bailee and the failure or refusal of the bailee to return it, the burden of going forward with the evidence shifts to the bailee. If he then shows a reasonable explanation for the failure to return (e.g., as by the intervention of a criminal agency), the customer, to recover, must now show that the negligence of the bailee brought about that occurrence (25 NY Jur, Garages, § 39; Richardson, Evidence [10th ed], § 109; Hogan v O’Brien, 212 App Div 193, 194; Claflin v Meyer, 75 NY 260). But not every parking arrangement gives rise to a bailor-bailee status. The key words are dominion and control by the bailee. Thus in the so-called Airport parking cases, the parker is merely renting space; he is a type of temporary licensee. The mere failure to return his car to him, absent proof of negligence, gives rise to no presumption in his favor (Rembert v Co-op Parking Garage No. 2, 86 Misc 2d 399; Ellish v Airport Parking Co. of Amer., 69 Misc 2d 837, affd 42 AD2d 174, affd without opn 34 NY2d 882; Greene Steel & Wire Co. v Meyers Bros. Operations, 44 Misc 2d 646; Security Mut. Ins. Co. of N. Y. v Airport Parking Co. of Amer., 68 Misc 2d 628; Peralta v Port of N. Y. Auth., 76 Misc 2d 1086, 1087). As noted in a leading case, Osborn v Cline (263 NY 434, 437, 438), "Where a person simply hires a place to put his car or whether he has turned its possession over to the care and custody of another depends on the place, the conditions, and nature of the transaction * * * It all depends upon the facts.”

In the absence of contractual provisions to the contrary, the facts in this case would spell out that type of control by the defendant that points ineluctably to a bailee arrangement. [890]*890The customer may park his own car or, if his spot were taken, the attendant would park it. He was required to give the garage keeper a set of his keys; his car is moved if required. The garage contract at issue, however, specifically provided that the relationship between the garage and the customer was that of landlord-tenant, not bailor-bailee. In Langenthal v American Stuyvesant Garage (72 Misc 2d 189, 190) the court said the parties were "contractually free” to thus define their relationship without violating section 5-325 of the General Obligations Law.

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Bluebook (online)
98 Misc. 2d 887, 414 N.Y.S.2d 841, 1979 N.Y. Misc. LEXIS 2160, Counsel Stack Legal Research, https://law.counselstack.com/opinion/motors-insurance-v-american-garages-inc-nyappterm-1979.