Sylvia Jurgen operates a florist shop. During a particularly busy ...

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Sylvia Jurgen operates a florist shop. During a particularly busy day, she allowed one of her employees, Terry Lioni, to use her (Jurgen's) personal car to assist with deliveries. Lioni had just obtained his driver's license. Lioni was involved in an accident that was his fault. Would Jurgen's liability insurance pay in this situation?

Question 2

Describe the effect of the decision in the Kelo case.

[Expo]

Answer to Question 1

Yes. Liability policies ordinarily protect the owner of the automobile from liability when the automobile is operated by another person with the permission of the insured. Lioni was operating the vehicle with Jurgen's permission.

Answer to Question 2

The U.S. Supreme Court held that local entities, with a zoning plan in place, could take private property for purposes of economic development, i.e., use by another of private property for a different purpose. The result was statutory revision of local zoning and eminent domain powers.