American Automobile Insurance Company V‪.‬

LIVINGSTON, Chief Justice. F. M. English and Alabama Farm Bureau Mutual Casualty Insurance Co., hereinafter referred to as
Farm Bureau, filed a bill in the Circuit Court of Coffee County, Alabama, in Equity, seeking a declaratory judgment against
American Automobile Insurance Co., hereinafter referred to as American. Covington Motor Co., hereinafter referred to as Covington,
Frances Grantham and Frances Grantham, as administratrix of the estate of Charles L. Grantham, deceased, were joined as party
respondents. The bill averred that English owned a 1947 Ford truck, which was covered by a policy of liability insurance issued
to English by Farm Bureau. The bill further averred that on November 3, 1952, English purchased a new 1952 Ford truck from Covington and took possession
of it pursuant to a conditional sales contract. By the terms of the purchase, English traded in the aforementioned 1947 Ford
truck as a down payment on the new truck; however, by agreement of the parties, English was allowed to retain possession of
the 1947 truck until an appropriate body could be affixed to his new 1952 truck. On November 4, 1952, while driving said 1947
truck, English was involved in an automobile accident in Coffee County, Alabama, with a car driven by Charles L. Grantham,
deceased, and in which Frances Grantham was riding as a passenger. As a result of this accident, suits were filed against
English by Frances Grantham, individually, and as administratrix of the estate of Charles L. Grantham, deceased.