143 S.E. 113 | W. Va. | 1928
Plaintiff recovered $1,000.00 upon a policy insuring store furniture and fixtures. The policy was in the standard form, containing a clause providing that it should be void if the *376 interest of the assured be other than sole and unconditional ownership. When the policy was issued, three fixtures, valued at $915.00, were subject to conditional sales contracts. At the time of the fire, $260.00 remained unpaid on the three items. After the fire the furniture and fixtures were listed by plaintiff at $1,859.00.
The insurance company defends on the theory that the interest of Cook under the contracts is not sole and unconditional as required by the policy. The cases supporting that theory are so numerous that Cooley concludes that they have "well-established the rule" in that respect. Cooley, Briefs on Ins., 2d ed., p. 2199. An examination of those cases discloses that they are based on precedent or the strict letter of the policy. We are unable to accord to them the weight we otherwise would, because they are not in harmony with the former decisions of this Court. We are committed to a construction of insurance contracts which is liberal to the insured. Tucker v. InsuranceCompany,
Here Cook had the sole possession of the fixtures with the exclusive right to their use and profit. He could hold them against the world as long as he was not in default. He could sell them; he could encumber them; he could devise them; they were taxable as his; they would have been assets in the hands of his creditors or personal representative — subject of course to the seller's lien — and in case of their destruction *378
the loss was his. He therefore had every proprietary right in them except the bare legal title. He had the real and beneficial estate which has been asserted to be the "absolute interest" and "equivalent to the fee simple at law".Insurance Company v. Kelly,
We find ample authority supporting the view that unconditional and sole ownership only requires that the interest of the insured in property be such that in case of destruction the loss falls entirely on him and that in such case it is immaterial whether his title be legal or equitable. "In the midst of the numerous confusing decisions, we may discover the consistent purpose not always avowed, to hold that if the interest of the insured at the time the policy was procured was of such a character as would impose upon him, directly or *379
indirectly, the whole burden of loss consequent upon the destruction of the insured premises, that interest will satisfy the condition of sole and unconditional ownership." Vance on Insurance, ch. 12, p. 444. That "consistent purpose" is well demonstrated in Phenix Insurance Co. v. Hilliard,
Counsel assert that by reason of Houseman v. Ins. Co.,
Under the contracts herein Cook held the equitable, beneficial title to the fixtures. Their destruction does not relieve him from payment of balance due the sellers. His interest therefore meets the test established by the former decisions of this Court, and the fact that he did not hold the naked legal title did not violate the condition of sole and unconditional ownership.
The judgment of the circuit court is accordingly affirmed.
Affirmed.