From Casetext: Smarter Legal Research

Bilyeu v. Motorists Mutual Ins. Co.

Supreme Court of Ohio
Nov 14, 1973
36 Ohio St. 2d 35 (Ohio 1973)

Summary

granting declaratory relief is generally a decision within trial court's discretion, and the court's decision will not be reversed unless it is unreasonable

Summary of this case from Jones v. Alvarez

Opinion

No. 72-865

Decided November 14, 1973.

Declaratory judgments — Granting or denying relief, discretionary — Supreme Court will not reverse, when.

The granting or denying of declaratory relief is a matter for judicial discretion, and where a court determines that a controversy is so contingent that declaratory relief does not lie, this court will not reverse unless the lower court's determination is clearly unreasonable.

APPEAL from the Court of Appeals for Belmont County.

This cause arose out of injuries sustained by plaintiff Judy L. Bilyeu, a minor, in an automobile accident, involving an uninsured motorist. It was submitted to the Common Pleas Court as a declaratory judgment action on the complaint, the answer, an agreed statement of facts and the briefs of the parties.

Judy L. Bilyeu was covered under two automobile insurance policies issued to her father, plaintiff Willard Bilyeu, by defendant, Motorists Mutual Insurance Company. Each policy contained a provision limiting liability to $10,000 and coverage against uninsured motorists.

Plaintiffs sought the answer to three questions:

1. Whether plaintiffs, or either of them, are bound by the arbitration provisions of the policies.

2. Whether defendant may reduce the amount of recovery by the aggregate amount paid to plaintiff Willard Bilyeu under the medical payment provisions of the policies.

3. Whether plaintiffs are entitled to stack or accumulate the uninsured motorist benefits of both policies in the event their recovery exceeds the sum of $10,000.

The Common Pleas Court answered the first question in the affirmative. It then denied the request for a summary judgment on the other two questions, holding that there was no real and substantial controversy between the parties. The Court of Appeals affirmed, saying that: "Absent a finding of both liability and damages by an arbitrator, answers to either question can only serve as an advisory opinion, which is not the function of a declaratory judgment proceedings. [ sic] * * *"

Appellants, in their attempt to resolve those questions on the merits, appeal to this court on the issue of their justiciability.

Messrs. Thomas Thomas and Mr. Harold B. Thomas, for appellants.

Messrs. Sebastian, Durst Marsh, Mr. Arthur M. Sebastian and Messrs. Thornburg Furbee, for appellee.


Both the Common Pleas Court and the Court of Appeals held that the questions dealing with pyramiding of coverage and setoff of medical payments were not properly placed before the court. The Court of Appeals speaks of an advisory opinion and the Common Pleas Court speaks of a lack of real and substantial controversy between the parties.

It is stipulated by the parties that:

" For purposes of this action only and without prejudice to the defendant to deny the same in any subsequent litigation or arbitration proceedings involving the same parties and the same claims, the court may assume that plaintiffs' damages may exceed the sum of $10,000." (Emphasis added.)

This opinion is concerned primarily with the allegations dealing with the pyramiding of policies. Appellants allege and appellee concedes in its brief that Bartlett v. Nationwide Mutl. Ins. Co. (1973), 33 Ohio St.2d 50, determines the controversy as to medical setoff. While Motorists does not agree with that holding, to argue that declaratory relief is necessary in such a situation is unrealistic at best.

The above stipulation points out the fatal flaw in appellants' argument that declaratory judgment is mandated in this cause, which is that the controversy is based upon a contingency which may never occur. The Court of Common Pleas found that arbitration was mandatory on the question of liability and damages. The parties agree that Judy L. Bilyeu was covered under the policies issued to her father, and that this coverage included uninsured motorist coverage. A controversy exists only if the arbitrator makes an award over the limit of one of the policies ($10,000). As yet, there is no arbitrator and no award has been made.

It is a general rule that the granting of declaratory relief is a matter for judicial discretion. Aetna Life Ins. Co. v. Haworth (1937), 300 U.S. 227. See Borchard, Declaratory Judgments (2 Ed.), 61. See, also, 22 American Jurisprudence 2d 845, Declaratory Judgments, Section 9. In Aetna, at page 241, the Supreme Court held that in order to grant declaratory relief the court must be convinced of the existence of "* * * a real and substantial controversy admitting of specific relief through a decree of a conclusive character, as distinguished from an opinion advising what the law would be upon a hypothetical state of facts."

Thus, a determination as to the granting or denying of declaratory relief is one of degree. Although this court might agree or disagree with that determination, our decision must be whether such a determination is reasonable.

In our opinion, it was not unreasonable for the lower courts to decide that the events which could arise from this controversy may never happen. The controversy might be settled by the parties, or the arbitrator's award might be less than $10,000. Those are possibilities which the courts below no doubt considered in determining that a declaratory judgment action did not lie.

For the foregoing reasons, the judgment of the Court of Appeals, affirming the judgment of the Court of Common Pleas denying declaratory relief, is affirmed.

Judgment affirmed.

O'NEILL, C.J., HERBERT, CORRIGAN, STERN, W. BROWN and P. BROWN, JJ., concur.


Summaries of

Bilyeu v. Motorists Mutual Ins. Co.

Supreme Court of Ohio
Nov 14, 1973
36 Ohio St. 2d 35 (Ohio 1973)

granting declaratory relief is generally a decision within trial court's discretion, and the court's decision will not be reversed unless it is unreasonable

Summary of this case from Jones v. Alvarez

reviewing dismissal of declaratory actions under Civ.R. 12(B) involving analysis of elements of a declaratory action

Summary of this case from Zarbana Indus., Inc. v. Hayes

In Bilyeu, a minor was involved in an automobile accident with an uninsured motorist; she was covered by two policies issued to her father, both of which limited liability to $10,000 for coverage against uninsured motorists.

Summary of this case from MW Custom Papers LLC v. Allstate Ins. Co.

In Bilyeu, the pyramiding of policies needed to be addressed only if damages exceeded $10,000, a matter which was subject to arbitration and, possibly, settlement.

Summary of this case from MW Custom Papers LLC v. Allstate Ins. Co.

In Bilyeu v. Motorists Mut. Ins. Co. (1973), 36 Ohio St.2d 35, 37, the Ohio Supreme Court noted: "Thus, a determination as to the granting or denying of declaratory relief is one of degree.

Summary of this case from Dennison Rr. Depot Museum, Inc. v. Kallas

In Bilyeu, the Ohio Supreme Court upheld the denial of declaratory relief sought by Judy L. Bilyeu regarding uninsured motorist coverage.

Summary of this case from Owen v. United Ohio Ins.

In Bilyeu v. Motorists Mut. Ins. Co. (1973), 36 Ohio St.2d 35, 37, the Ohio Supreme Court noted: "Thus, a determination as to the granting or denying of declaratory relief is one of degree.

Summary of this case from Dolecki v. Nationwide Mutual Ins.
Case details for

Bilyeu v. Motorists Mutual Ins. Co.

Case Details

Full title:BILYEU ET AL., APPELLANTS, v. MOTORISTS MUTUAL INS. CO., APPELLEE

Court:Supreme Court of Ohio

Date published: Nov 14, 1973

Citations

36 Ohio St. 2d 35 (Ohio 1973)
303 N.E.2d 871

Citing Cases

Mid-American Fire Cas. Co. v. Heasley

Mid-American's theory, then, is nothing more than a remote possibility, and "the controversy is based upon a…

Halley v. Ohio Co.

The alleged breach of duty by the defendant was a present and not a hypothetical future event. See Driskill…