Jo Beth Warren Puckett, Petitioners v. U.S. Fire Insurance Co., Respondent

Summary

The Texas Supreme Court reversed the trial court and Court of Appeals, holding that an insurer may not avoid liability under an aviation liability policy unless the insured's failure to maintain a current airworthiness certificate was a cause of the accident. The Court found the policy clause unambiguous but contrary to public policy if applied without a causation requirement. Justice Wallace concurred in the result but argued the clause was ambiguous, while Chief Justice Pope dissented, maintaining that the clear contractual exclusion barred coverage.