330_C010

NOTE – This is from our older court case archives. It may involve situations that are inapplicable to newer coverage forms. Please be aware of this possibility when reading and using this case.

---

Airworthiness Certificate Exclusion Applied Despite Insured’s Lack of Knowledge

---

Aviation	Ambiguity
Permissive operator

The policy under review excluded from coverage any insured who “permits the operation of the aircraft while in flight unless its airworthiness certificate is in full force and effect.” The insured in this case brought action against the insurer when it denied his claim on the basis of the exclusion, asserting that the exclusion was ambiguous. He said that he had no knowledge that the certificate was not effective at the time of the accident giving rise to his claim, or of the flight itself. The trial court rendered judgment in his favor and the insurer appealed.

The appeal court concluded that a layperson, upon reading the exclusion, would understand that the coverage would not apply in the absence of a valid airworthiness certificate, whether or not the insured did not know that it was not in effect. It made no difference, too, that the insured had no knowledge of the flight bringing about his claim.

The judgment of the trial court was reversed in favor of the insurance company and against the insured.

Potter, Plaintiff, Appellee V. Ranger Insurance Company, Defendant, Appellant. United States Court Of Appeals For The Ninth Circuit. No. 83-4012. May 4, 1984. CCH 1984 Fire and Casualty Cases 1547.