Robert Wagner, though having a full-time job, had been performing part-time as a disc jockey for several years. He operated under the name of Music Unlimited and filed taxes for his earnings which averaged several thousand dollars annually.

Wagner was insured by a homeowners policy issued by Peerless Insurance Company during a loss in 1994. Mr. Wagner was working as a disc jockey at a wedding reception. Wagner and a wedding guest, argued and jostled each other because he had not played a song requested by the guest. During the conflict, one of Wagner's speakers fell over and injured Judy Luneau. Luneau was another guest who had nothing to do with the argument. Luneau sued Wagner for being hurt by equipment that was owned and set-up by Wagner.

When Wagner submitted the claim to Peerless, his insurer, coverage was denied. Peerless refused to cover the loss because of its policy containing a business pursuits exclusion. The trial court rejected the insurer's request for a summary judgment and reviewed the matter. After finding that the loss was caused by Wagner's negligence in placing his equipment and his decision to struggle with the wedding guest; it then decided that both acts were excluded by the policy's business exclusion.

The Plaintiff appealed the decision on the grounds that the injuries were caused by acts that were non-business in nature and should be covered by a homeowner's policy. The higher court examined the details surrounding the loss and did not agree that the scuffling and falling equipment were incidental. In its opinion, both Wagners' and his equipment's presence at the loss location were connected directly with Wagner's work as a disc jockey. The higher court found in favor of the insurer.

[Editor's Note: It is interesting that neither the guest who initiated the argument nor the persons hosting the wedding reception were involved as parties to the suit.]

Judy Luneau, Plaintiff-Appellant v. Peerless Insurance Company et al., Defendants-Appellees. VtSCt. No. 98-238 Filed March 24, 2000. Affirmed. CCH 2000 Fire and Casualty Cases, Paragraph 6680