Sitting for the court: Justice Paul W. Green, Justice Nathan L. Hecht, Chief Justice Wallace B. Jefferson, Justice Phil Johnson, Justice David Medina, Justice Dale Wainwright, Justice Don R. Willett, Justice Eva Guzman, Justice Debra Lehrmann
Lancer Insurance Co. v. Garcia Holiday Tours
?from Jim Wells County and the Fourth District Court of Appeals, San Antonio
For petitioner: E. Thomas Bishop, Dallas?For respondents Garcia Holiday Tours, et al.: Stephen J. Chapman, Corpus Christi
For respondents passengers: David George, Houston
A principal issue is whether a standard commercial-automobile policy covers charter-bus passengers for tuberculosis they allegedly contracted from the bus driver as an accident “resulting from ownership, maintenance or use” of the covered bus. Garcia Holiday Tours sued Lancer after Lancer refused to defend or indemnify Garcia in a suit by students and a chaperone who contracted latent TB on an Alice High School band trip. Garcia lost a $5.25 million judgment. In the declaratory-judgment action the trial court granted summary judgment against Lancer on the duty to defend and indemnify. The appeals court reversed, concluding fact questions existed on whether the TB resulted from the bus’s use, precluding the passengers’ summary judgment.
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