State Farm Mutual Automobile Insurance v. Duckworth
648 F.3d 1216
11th Cir.2011Background
- Duckworths, Maryland residents, held Maryland auto policies with anti-stacking provisions; Florida-based public policy exception may apply but is narrow and requires three-prong test plus reasonable notice of permanent residence.
- Florida follows lex loci contractus for insurance; MD law would govern unless the public policy exception applies.
- Duckworths moved to Florida after Aquila’s death; accident occurred in Florida involving uninsured motorist coverage under Maryland policies; State Farm paid Maryland policy UM benefits but denied auto-policy UM benefits under the anti-stacking provisions.
- Duckworths argued Florida law should apply because of Florida’s public policy against anti-stacking and lack of informed consent; insurer alleged no sufficient notice of permanent Florida residence.
- District court granted summary judgment for State Farm on all three prongs of the public policy exception; on appeal, court held the public policy exception did not apply for lack of reasonable notice, affirming the district court.
- Opinion notes that, even assuming Anna told Whiting the move was permanent, State Farm still lacked reasonable notice that the move was permanent and that Florida law should govern; district court’s summary judgment affirmed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Florida’s public policy exception applies | State Farm | Anna Duckworth | No; exception inapplicable |
| Whether State Farm had reasonable notice of a permanent Florida residence | State Farm | Duckworths indicated permanent intent | No; reasonable notice not shown |
| Whether the Duckworths had established permanent Florida citizenship | State Farm | Duckworths were permanent Florida residents | No; not clearly established as a matter of law |
Key Cases Cited
- State Farm Mut. Auto. Ins. Co. v. Roach, 945 So.2d 1160 (Fla.2006) (public policy exception is narrow and requires clear notice of permanence)
- Gillen v. United Servs. Auto. Ass'n, 300 So.2d 3 (Fla.1974) (permits Florida law to control where insureds clearly establish permanent residence)
- State Farm Mut. Auto. Ins. Co. v. Davella, 450 So.2d 1202 (Fla.3d Dist.Ct.App.1984) (reasonable notice required; renewal of nonpermanent plans defeats notice)
- New Jersey Manufacturers Insurance Co. v. Woodward, 456 So.2d 552 (Fla.3d Dist.Ct.App.1984) (insurer must have notice of permanent relocation; mere post office address not enough)
- Sturiano v. Brooks, 523 So.2d 1126 (Fla.1988) (snowbird/temporary Florida residence cases; permanence requires clear evidence)