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POTOMAC INS. CO. v. MOTORIST MUT. INS. CO.

598 S.W.2d 461 (1979)

The POTOMAC INSURANCE COMPANY, Appellant, v. MOTORIST MUTUAL INSURANCE COMPANY, Appellee. MOTORIST MUTUAL INSURANCE COMPANY, Cross-appellant, v. The POTOMAC INSURANCE COMPANY, Cross-appellee.

Court of Appeals of Kentucky.

As Modified On Denial of Rehearing February 29, 1980.

Discretionary Review Denied May 29, 1980.

Attorney(s) appearing for the Case

W. R. Patterson, Jr., Lexington, for appellant/cross-appellee.

James D. Ishmael, Jr., Herbert D. Sledd, Lexington, for appellee/cross-appellant.

Before HAYES, HOWARD and VANCE, JJ.

VANCE, Judge.

The question is whether the issuance of an insurance policy by one company covering loss by fire effects a cancellation of a written binder previously issued by another company on the same property when it is agreed the owner did not intend to have duplicate coverage. We hold that it does.

In April 1977, Robert Ferguson and James Hinkle, partners in a sporting goods business known as Winchester Sports Center, began construction of a new building...

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