Rosado v. Daimlerchrysler Fin. Servs. Trust
Annotate this CaseLaw Firm, located in Virginia, leased a vehicle from Company. Tortfeasor, who was driving the car with permission by Law Firm, collided with a car driven by Plaintiff. The day before the accident, the insurance policy on the vehicle lapsed for nonpayment. Plaintiff filed suit in Florida against Law Firm, Tortfeasor, and Company, alleging that because Company had failed to comply with the insurance requirements of Fla. Stat. 324.021(9)(b)(1), Company was vicariously liable for Tortfeasor's negligent operation of the car under Florida's dangerous instrumentality doctrine. Company moved for summary judgment, contending that its liability should be based on Virginia tort law and that if Florida law applied, section 342.021(9)(b)(1) was preempted by the Graves Amendment, a federal law providing that the owner of a motor vehicle who leases the vehicle shall not be vicariously liable from harm that results from the operation of the vehicle during the lease. The trial court concluded that Florida law applied but that the Graves Amendment did preempt section 324.021(9)(b)(1). The court of appeal affirmed. The Supreme Court approved the decision, holding that the Graves Amendment preempts section 324.021(9)(b)(1).
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