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Dundee Mills Inc. v. John Deere Ins. Co.

The plaintiff could not maintain a direct action against the insurer of an interstate motor carrier whose employee stole the plaintiff's cargo.

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The central question presented is whether a shipper can maintain a direct action against the insurer of an interstate motor carrier whose employee stole the shipper’s cargo. We answer in the negative and so affirm the trial court’s grant of summary judgment1 to the insurer.

According to the amended complaint, Dundee Mills, Inc. contracted with American Transportation Systems, Inc. to arrange for the delivery of a load of towels from Georgia to Miami, Florida. ATS selected W & A Harris Enterprises, Inc. to deliver the cargo, which never reached its destination because Harris’s driver stole the load in transit.2 Mills sued ATS, Harris, and John Deere Insurance Company to recover for the loss of its towels.

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