Tiffin Motor Homes, Inc. v. Valloze

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John and Judith Valloze and Nationwide Mutual Insurance Company; State Farm Mutual Auto Insurance Company; Freightliner Custom Chassis Corporation; Freightliner, Allison Transmission, Inc. ("Allison Transmission"); and Cummins Atlantic, LLC, separately petitioned the Supreme Court for writs of mandamus to direct the Franklin Circuit Court to dismiss the declaratory-judgment actions filed against them by Tiffin Motor Homes, Inc. Tiffin manufactured and sold custom-made motor homes. In its complaint in the Valloze action, Tiffin alleged that the Vallozes, who reside in Florida, purchased a Tiffin "Allegro Red" motor home that was manufactured by Tiffin in Red Bay, Florida. In 2011, the Vallozes' motor home caught fire somewhere in South Carolina and was declared a total loss. Nationwide insured the motor home, and it paid the Vallozes for their loss. Tiffin subsequently filed a complaint against the Vallozes, Nationwide, Freightliner, Allison Transmission, and Cummins in Alabama, describing Allison Transmission and Cummins as manufacturers of component parts for Tiffin that Tiffin alleged were the source of the fire. The Vallozes, Nationwide, Allison Transmission, Freightliner and Cummins filed motions to dismiss which were ultimately denied. The trial court did not provide reasons for its rulings. All parties appealed. In the Katnich action, Tiffin alleged that Karen Katnich purchased a Tiffin "Phaeton" motor home in Virginia, and somewhere in North Carolina, the motor home caught fire and suffered a total loss. Tiffin sued State Farm, Custom Automated Services, Inc., Waterway, Inc., Maxzone Auto Parts Corporation and Freightliner, alleging each manufactured parts for Tiffin that were the source of the fire. In both cases, Tiffin asserted that a real, present justiciable controversy existed between the parties as to the cause and origins of the motor home fires. Again the trial court denied motions to dismiss, and provided no reasons for its ruling. After its review, the Alabama Supreme Court concluded with the conclusion of the overwhelming majority of other jurisdictions that declaratory-judgment actions were not intended to be a vehicle for potential tort defendants to obtain a declaration of nonliability. Because a bona fide justiciable controversy did not exist either action, the Court concluded that the trial court erred in denying the petitioners' motions to dismiss Tiffin's complaints. View "Tiffin Motor Homes, Inc. v. Valloze " on Justia Law