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78 Cal. App. 4th 847 *; 93 Cal. Rptr. 2d 364 **; 2000 Cal. App. LEXIS 138 ***; 2000 Cal. Daily Op. Service 1553; 2000 Daily Journal DAR 2141
SHADE FOODS, INC., Plaintiff and Appellant, v. INNOVATIVE PRODUCTS SALES & MARKETING, INC., Defendant, Cross-complainant and Appellant; ROYAL INSURANCE COMPANY OF AMERICA, Defendant and Appellant; NORTHBROOK NATIONAL INSURANCE COMPANY, Defendant, Cross-defendant and Appellant.
Subsequent History: [***1] As Modified on Denial of Rehearing of March 29, 2000, Reported at: 2000 Cal. App. LEXIS 230.
Prior History: Superior Court of the City and County of San Francisco. Super. Ct. No. 970035. Paul H. Alvarado, Judge.
Disposition: We reverse the portion of the judgment for punitive damages against Northbrook in the amounts of $ 2 million and $ 3 million and the judgment against Royal for punitive damages in the amount of $ 8 million. We also reverse the portion of the judgment against Northbrook jointly awarding IPS and Shade $ 1 million as compensatory damages for liability insurance coverage and the portion of the judgment against Royal awarding Shade $ 1,054,419.50 as compensatory damages for liability insurance coverage and remand the case to the trial court for modification of these portions of the judgment in compliance with this opinion. In all other respects the judgment is affirmed. Each side shall bear its own costs on appeal.
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Insurance Law, Business Insurance, Commercial General Liability Insurance, Property Claims, Real Property Law, Environmental Regulations, Indoor Air & Water Quality, Exclusions, Intentional Acts, Coverage, Products & Workmanship, Policy Interpretation, Reasonable Expectations, General Overview, Damages, Property Insurance, Claim, Contract & Practice Issues, Fortuity Doctrine, Business & Corporate Compliance, Contract Conditions & Provisions, Implied Warranties, Merchantability, Civil Procedure, Jury Trials, Jury Instructions, Contracts Law, Breach, Commercial Law (UCC), Contract Provisions, Warranties, Implied Warranty of Merchantability, Contracts Law, Breach of Warranty, Sales of Goods, Liability & Performance Standards, Disclosure Obligations by Insureds, Remedies, Ambiguous Terms, Coverage Favored, Exclusions, Defenses, Ambiguities & Mistakes, Company Representatives, Agents, Insurance Company Operations, Types of Insurance, Insurable Interests, Third Parties, Beneficiaries, Claims & Enforcement, Types of Contracts, Covenants, Good Faith & Fair Dealing, Industry Practices, Unfair Business Practices, Claims Investigations & Practices, Discovery & Disclosure, Discovery, Relevance of Discoverable Information, Bad Faith & Extracontractual Liability, Elements of Bad Faith, Duty to Defend, Refusals to Defend, Obligations of Parties, Settlements, Sales (Article 2), Form, Formation & Readjustment, Liability & Performance Standards, Contract Formation, Acceptance, Reservation of Rights, Standards of Review, Substantial Evidence, Sufficiency of Evidence, Torts, Business Torts, Damages, Punitive Damages, Types of Damages, Punitive Damages, Seller's Damages & Remedies, Limitation & Modification, Property Damages, Buyer's Damages & Remedies, Penalties, Triggers, Continuous Triggers, Excess Insurance, Apportionment of Liability, Allocation, Indemnification, Relationship Between Clauses, Consequential Damages, Pain & Suffering, Emotional Distress, Settlements, Excess Judgments, Policy Limits, Reasonable Basis, Good Faith & Fair Dealing, Payment Delays & Denials, Payments