Prudential Property & Casualty Insurance v. Kerwin

576 N.E.2d 94, 215 Ill. App. 3d 1086, 159 Ill. Dec. 425, 1991 Ill. App. LEXIS 974
CourtAppellate Court of Illinois
DecidedJune 12, 1991
Docket1-89-1485
StatusPublished
Cited by11 cases

This text of 576 N.E.2d 94 (Prudential Property & Casualty Insurance v. Kerwin) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Prudential Property & Casualty Insurance v. Kerwin, 576 N.E.2d 94, 215 Ill. App. 3d 1086, 159 Ill. Dec. 425, 1991 Ill. App. LEXIS 974 (Ill. Ct. App. 1991).

Opinion

JUSTICE RIZZI

delivered the opinion of the court:

Plaintiff Prudential Property & Casualty Company (Prudential) brought a declaratory judgment action against defendants Albert and Patricia Kerwin and its insured, defendant Tore G. Leno. In an underlying personal injury suit, Albert and Patricia Kerwin alleged that Leno negligently or intentionally shot Albert Kerwin and that they were entitled to compensatory and punitive damages. In its declaratory judgment action Prudential sought a declaratory judgment that its homeowners insurance policy did not afford coverage to Leno for the injuries claimed to have been suffered by Albert and Patricia Kerwin. Prudential’s complaint for declaratory judgment alleged that no coverage exists because Leno’s act was expected or intentional and therefore excluded under the policy, and that claims for punitive damages are not covered by the policy. The circuit court granted Prudential’s motion for summary judgment on the basis that Leno’s act was intentional. The circuit court also ruled that punitive damages are not covered under the policy. Albert and Patricia Kerwin have appealed. We affirm.

On March 30, 1985, Leno, age 38, left his house at 4 p.m. and went to Rick’s Lounge in Chicago. After drinking scotch and coke for several hours, he left Rick’s Lounge and proceeded to Yesterday’s Lounge, where he continued to drink scotch and coke. After leaving Yesterday’s Lounge with a companion, Leno stopped at another lounge where he met his son. Leno, his companion, and his son left the lounge and proceeded to Lizzio’s Tavern. Leno does not recall at what time he arrived at Lizzio’s Tavern.

At approximately 3 a.m., Albert and Patricia Kerwin were walking towards the parking lot near Lizzio’s Tavern when they encountered Leno standing about 10 feet away, near the door to the tavern. Leno was very intoxicated. Words were exchanged between Leno and the Kerwins. Leno said something derogatory to Patricia Kerwin. Albert Kerwin responded by saying, “Fuck you jack off!” Leno pulled out a pistol which he sometimes carried with him while working as a self-employed carpenter. He fired at Albert Kerwin, striking him in the lower chest. Albert Kerwin was hospitalized for 30 days and required several surgical procedures for his injury.

Leno testified at his deposition that he was so intoxicated that he does not recall either the events leading up to the shooting or the shooting itself. Leno further testified that he had not previously met either Albert or Patricia Kerwin, and he does not know why he shot Albert Kerwin.

Leno was charged with two counts of aggravated battery (Ill. Rev. Stat. 1983, ch. 38, par. 12 — 4) and armed violence (Ill. Rev. Stat. 1983, ch. 38, par. 33A — 2). He pled guilty to one count of aggravated battery, and all other charges were dropped. Pursuant to his guilty plea, Leno was sentenced to 30 months’ probation.

On October 8, 1985, Albert and Patricia Kerwin filed a personal injury action against Leno for the damages they suffered as a result of the shooting incident. They alleged that Leno had acted negligently or intentionally when he shot Albert Kerwin. Patricia Kerwin also alleged that Leno was liable for negligent infliction of emotional distress, loss of consortium and damages for which she may be responsible under the family expense statute. Ill. Rev. Stat. 1983, ch. 40, par. 1015.

Prudential first became aware of the shooting incident and the personal injury action on April 8, 1986, when it was informed by the Kerwins’ attorney. At that time, Leno was represented in the personal injury action by his personal attorney, Robert Stevenson. On April 30, 1986, Prudential sent Stevenson and Leno a reservation of rights letter by certified mail. The letter informed Leno that he may not be entitled to any rights or benefits under his policy and that Prudential may not have any duty or obligation under the policy because the policy specifically excluded coverage for bodily injury which is “expected or intended by the insured.” The letter also informed Leno that the policy did not afford coverage for punitive damages. In addition, the letter informed Leno that the policy required written notice of the occurrence and the lawsuit “as soon as practicable,” and that he therefore had not complied with the policy’s notice requirements. Finally, the letter informed Leno that it had hired the law firm of McKenna, Storer, Rowe, White & Farrug (McKenna, Storer) to provide a defense for him on the negligence counts of the personal injury action, subject to Prudential’s reservation of rights.

Stevenson responded by advising Prudential and McKenna, Storer that Leno’s defense in the personal injury suit was not being tendered to Prudential and that Prudential should not pay any defense fees on behalf of Leno. Later, in December 1986, Stevenson advised Prudential that Leno was not tendering his defense to Prudential because the shooting was intentional. On January 7, 1987, however, Stevenson requested Prudential to pay his attorney fee for representing Leno in the personal injury suit. Stevenson repeated, however, that Leno’s defense was not being tendered to Prudential. Prudential then agreed to pay Stevenson’s attorney fee, and requested that Stevenson keep it apprised of the status of the personal injury suit. McKenna, Storer did not file an appearance on behalf of Leno in the personal injury suit, and it closed its file in April of 1987. Stevenson continued to represent Leno in the personal injury suit.

On April 2, 1987, Prudential filed the declaratory judgment action sub judice. On September 25, 1987, a default judgment order was entered against Leno in the personal injury suit. On November 18, 1987, a default judgment was entered in favor of Albert Kerwin for $300,000 and in favor of Patricia Kerwin for $50,000. Prudential did not learn of the default judgment until January 1988.

The default judgment has not been vacated. Prudential, however, moved for a summary judgment in the declaratory judgment action. On May 10, 1989, the trial court granted summary judgment in favor of Prudential on the basis that the shooting of Albert Kerwin was not covered under Prudential’s policy because the shooting was an intentional act. The trial court also ruled that punitive damages are not covered under the policy. The Kerwins admit that Prudential’s policy did not afford coverage for an award of punitive damages.

The Kerwins first contend that the facts are not sufficient to establish as a matter of law that Leno intended to “injure Albert Kerwin pursuant to Prudential’s Intentional Act Policy Exclusion.” We disagree.

The facts that led to the shooting are not in dispute. Leno insulted Patricia Kerwin. Albert Kerwin responded by shouting an obscenity at Leno. Leno drew a gun, and then pointed it at Albert Kerwin and shot him while he was only 10 feet away. Albert Kerwin was not armed, and there was no physical threat to Leno. There is nothing to suggest that the gun was accidentally discharged. Plainly, the undisputed facts leave no doubt that Leno intended to injure Albert Kerwin.

The Kerwins argue, however, that Leno had a right to explain his guilty plea to aggravated battery and that the trial court therefore erred in accepting the guilty plea as conclusive evidence of Leno’s intent to shoot Albert Kerwin.

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Cite This Page — Counsel Stack

Bluebook (online)
576 N.E.2d 94, 215 Ill. App. 3d 1086, 159 Ill. Dec. 425, 1991 Ill. App. LEXIS 974, Counsel Stack Legal Research, https://law.counselstack.com/opinion/prudential-property-casualty-insurance-v-kerwin-illappct-1991.