Avis Rent A Car System, Inc. v. McDavid
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The Supreme Court reversed the order of the district court entering summary judgment in favor of Avis Rent A Car System, Inc. and against Roynetta McDavid in this lawsuit alleging that McDavid breached the idemnification provision of the parties' rental agreement, holding that the district court erred in denying summary judgment to McDavid.
In Nebraska, McDavid rented a car from Avis to take a trip with her family. When the traveling party reached Tennessee, McDavid's sister, despite an admonition to the contrary, drove the car and was involved in an accident with another vehicle. Three passengers in the other vehicle were injured in the collision and filed suit against McDavid's sister. Avis paid the injured parties $40,100, and when McDavid did not reimburse Avis, Avis brought suit, alleging that McDavid breached the rental agreement's indemnification provision. The district court granted summary judgment for Avis. The Supreme Court reversed, holding that Avis failed to demonstrate a right to indemnity under the rental agreement, and therefore, the district court erred in granting summary judgment to Avis.
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