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Mealey's Insurance - Texas High Court Denies Motion To Rehear Coverage Suit Arising From Hurricane Ike

AUSTIN, Texas - The Texas Supreme Court has refused to revisit a judgment in favor of an insured in a coverage dispute over damage caused by Hurricane Ike, according to its orders pronounced list issued Oct. 21 (National Lloyds Insurance Co. v. Latosha A. Lewis, No. 15-0261, Texas Sup.).

Mealey's Insurance - Federal Judge Dismisses Fraud Suit Against Insurer In Hurricane Charley Dispute

ORLANDO, Fla. - A Florida federal judge on Oct. 4 granted an insurer's motion to dismiss insureds' fraud claims in a dispute arising from roof damage caused by Hurricane Charley (Ida L. Cruz, et al. v. American Security Insurance Co., No. 16-1317, M.D. Fla.; 2016 U.S. Dist. LEXIS 137548).

Mealey's Insurance - Panel Upholds $115,279 Judgment Against Flood Insurer In Hurricane Isaac Dispute

NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on Aug. 1 upheld a federal district court's $115,279.33 judgment in favor of a mortgage lender and against a force-placed flood insurer in a dispute arising from Hurricane Isaac damage (Alfred Cotton, et al. v. Certain Underwriters at Lloyd's of London, No. 15-31005, 5th Cir.; 2016 U.S. App. LEXIS 13962).

Mealey's Insurance - Judge Refuses To Stay Enforcement Of $700,194 Judgment In Hurricane Irene Suit

ELIZABETH CITY, N.C. - A North Carolina federal judge on July 7 denied an insurer's motion to stay enforcement of a $700,194 total judgment against it in a Hurricane Irene coverage dispute (Gary Woodson, et al. v. Allstate Insurance Co., No. 13-21, E.D. N.C., Northern Div.; 2016 U.S. Dist. LEXIS 87971).

Mealey's Insurance - 5th Circuit Affirms Ruling In Insurer's Favor In Hurricane Ike Coverage Dispute

NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on July 7 affirmed a lower court's ruling in favor of a commercial property insurer in a breach of contract and bad faith dispute arising from Hurricane Ike damage to the insured's daycare center and warehouse (Steve Quibodeaux and the Kids Safari Inc., d/b/a Wee Care Childcare and Preschool v. Nautilus Insurance Co., No. 15-40567, 5th Cir.).

Mealey's Insurance - 3rd Circuit Affirms Dismissal Of Claims In Hurricane Irene Flood Coverage Dispute

PHILADELPHIA - The Third Circuit U.S. Court of Appeals on June 16 affirmed a lower federal court's ruling that dismissed an insured's breach of contract, fraud and misrepresentation claims against its federal flood insurer over its alleged personal property damage caused by Hurricane Irene (Psychiatric Solutions, Inc. v. Federal Emergency Management Agency, et al., No. 15-2923, 3rd Cir.; 2016 U.S. App. LEXIS 10894).

Mealey's Insurance - Judge Allows Counterclaims To Proceed In Suit Over False Hurricane Katrina Claims

GULFPORT, Miss - A Mississippi federal judge on May 27 denied relators' motion to dismiss an insurer's counterclaims in their qui tam action alleging that the insurer submitted false Hurricane Katrina flood claims to the U.S. government (U.S., ex rel. Rigsby v. State Farm Fire & Casualty Co., No. 06-433, S.D. Miss.; 2016 U.S. Dist. LEXIS 69924).

Mealey's Insurance - Judge: Insurer's Denial Of Hurricane Irene Claim Was 'Flagrant Act Of Bad Faith'

ELIZABETH CITY, N.C. - A North Carolina federal judge on May 3 held that an insurer committed breach of contract and acted in bad faith when it denied its insureds' Hurricane Irene claim, awarding the insureds $233,398 for their breach of contract claim and treble damages for their unfair and deceptive trade practices claim for a $700,194 total judgment against the insurer (Gary Woodson, et al. v. Allstate Insurance Co., No. 13-21, E.D. N.C.; 2016 U.S. Dist. LEXIS 59461).

Mealey's Insurance - Magistrate Dismisses Claims In Policy Cancellation Dispute Arising From Hurricane Ike

GALVESTON, Texas - A Texas federal magistrate judge on April 28 granted an insurer's motion for summary judgment in a coverage dispute arising from the insurer's cancellation of a federal flood insurance policy following Hurricane Ike, dismissing with prejudice all claims against the insurer (Robert Spong and Kerry Spong v. Fidelity National Property and Casualty Insurance Co., et al., No. 10-228, S.D. Texas; 2016 U.S. Dist. LEXIS 56474).

Mealey's Insurance - Loss Of Power Constitutes Single Occurrence, Louisiana Panel Says In Reversal

NEW ORLEANS - A Louisiana appeals panel found April 20 that the loss of power to a hospital's cooling system following Hurricane Katrina is a single occurrence under a commercial general liability insurance policy and that an insured is responsible for only one retained limit of $50,000, reversing a lower court's ruling that the insured owed a separate retained limit for each claim related to the power outage (David Thebault v. American Home Assurance Company, et al., No. 2015-CA-0800, La. App., 4th Cir.; 2016 La. App. LEXIS 764).

Mealey's Insurance - Insured's Faulty Work Triggered Duty To Defend, Federal Judge Concludes

NEW ORLEANS - Allegations of a subcontractor's defective work in the reconstruction of a high school after Hurricane Katrina raise the possibility of an insurer's duty to defend, a Louisiana federal judge ruled April 15, denying an insurer's motion to dismiss breach of contract and bad faith claims (Gootee Construction, Inc. v. Travelers Property Casualty Company of America, No. 15-3185, E.D. La.; 2016 U.S. Dist. LEXIS 50911).

Mealey's Insurance - Florida Panel Grants Rehearing, Modifies Opinion In Hurricane Wilma Dispute

WEST PALM BEACH, Fla. - A Florida appeals panel on March 23 granted an insurer's motion to rehear an appraisal dispute over Hurricane Wilma damage, modifying its ruling to hold that the notice requirement in Florida Statutes Subsection 627.7015(2) does not ripen until the insurer is on notice that there is a dispute relating to a material fact issue (State Farm Florida Insurance Co. v. Lime Bay Condominium, Inc., No. 4D13-4802, Fla. App., 4th Dist.; 2016 Fla. App. LEXIS 4529).

Mealey's Insurance - Insured's Interpretation Of Deductible Provision Is 'Unreasonable,' Panel Affirms

NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on March 22 upheld an insurer's calculation of an insurance policy deductible by taking 5 percent of the total insurable values of seven oil-and-gas properties damaged by Hurricane Isaac, concluding that the lower court properly relied upon the "ordinary meaning" of the policy term "total insurable values" (Saratoga Resources, Incorporated v. Lexington Insurance Co., No. 15-20343, 5th Cir.; 2016 U.S. App. LEXIS 5237).

Mealey's Insurance - Federal Judge Rules In Insurer's Favor In Hurricane Katrina Coverage Dispute

NEW ORLEANS - A Louisiana federal judge on March 14 granted an insurer's motions for judgment on the pleadings and for summary judgment in an insured's breach of contract lawsuit arising from Hurricane Katrina property damage (Marion's Cleaners LLC v. National Fire & Indemnity Exchange, No. 11-2259 c/w No. 11-2376, E.D. La.; 2016 U.S. Dist. LEXIS 32389).

Mealey's Insurance - Panel Reverses $25,000 Award For Insured's Contents Loss In Hurricane Isaac Suit

NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on Jan. 15 reversed a lower federal court's $25,000 award plus interest in favor of an insured in a dispute over contents loss coverage, finding that the insured failed to submit the required signed proof of loss for the claimed damages stemming from Hurricane Isaac (Elvin Cummings v. Fidelity National Indemnity Insurance Co., No. 14-31125, 5th Cir.; 2016 U.S. App. LEXIS 723).

Mealey's Insurance - Louisiana High Court Majority Denies Insureds' Appeal In Hurricane Isaac Dispute

NEW ORLEANS - A majority of the Louisiana Supreme Court refused to disturb an appeals court's ruling that sustained a federal flood insurer's exception of lack of subject matter jurisdiction in a Hurricane Isaac coverage dispute, according to a Jan. 8 news release (Louis Rodriguez-Roble And Marisol Soto-Ayala v. American National Property and Casualty Co., No. 2015-C -1953, La. Sup.).

Mealey's Insurance - Mississippi Majority Affirms No Coverage Ruling In Hurricane Katrina Barge Dispute

JACKSON, Miss. - A majority of the Mississippi Supreme Court on Jan. 7 affirmed an appeals court's rejection of an insured's bad faith and negligence lawsuit arising from her alleged loss caused by a casino barge that collided with her home during Hurricane Katrina (Cherri R. Porter v. Grand Casino of Mississippi Inc., et al., No 2010-CT-00307-SCT, Miss Sup.; 2016 Miss. LEXIS 3).

Mealey's Insurance - Insured Not Entitled To Full Payment Of Hurricane Isaac Claim, 5th Circuit Affirms

NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on Jan. 8 affirmed a lower federal court's finding that an insured has failed to demonstrate that it submitted a properly documented proof of loss as required under its Standard Flood Insurance Policy (SFIP) in a coverage dispute arising from Hurricane Isaac damage (Construction Funding, LLC v. Fidelity National Indemnity Insurance Co., No. 15-30040, 5th Cir.; 2016 U.S. App. LEXIS 297).

Mealey's Insurance - Florida Panel Reverses Ruling Against Insurer In Hurricane Jeanne Coverage Dispute

WEST PALM BEACH, Fla. - A Florida appeals panel on Dec. 9 reversed a lower court's final judgment for "additional living expenses" against an insurer in a Hurricane Jeanne coverage dispute, finding that a hurricane coverage endorsement applied to the insureds' losses (State Farm Florida Insurance Co. v. Richard Moody, et al., Nos. 4D13-3377, 4D14-273 and 4D14-274, Fla. App., 4th Dist.; 2015 Fla. App. LEXIS 18405).

Mealey's Insurance - Panel: Fact Issues As To Filing Of Breach Of Contract Suit Requires Reversal

WEST PALM BEACH, Fla. - A Florida appeals panel held Nov. 18 that there are genuine issues of material fact regarding whether an insured was forced to file a breach of contract lawsuit against its insurer, reversing and remanding a lower court's ruling in a Hurricane Wilma coverage dispute (State Farm Florida Insurance Co. v. Lime Bay Condominium, Inc., No. 4D13-4802, Fla. App., 4th Dist.; 2015 Fla. App. LEXIS 17313).

Mealey's Litigation Procedure - Insurer Says Hurricane Sandy Reinsurance Dispute Should Be Arbitrated In London

NEW YORK - A captive insurer argued in a federal court in New York on Nov. 16 that its reinsurer should be compelled to arbitrate a Hurricane Sandy-related reinsurance dispute in London (Infrassure, Ltd. v. First Mutual Transportation Assurance Company, Inc., No. 15-cv-8230, S.D. N.Y.).

Mealey's Insurance - Insurer Says Hurricane Sandy Reinsurance Dispute Should Be Arbitrated In London

NEW YORK - A captive insurer argued in a federal court in New York on Nov. 16 that its reinsurer should be compelled to arbitrate a Hurricane Sandy-related reinsurance dispute in London (Infrassure, Ltd. v. First Mutual Transportation Assurance Company, Inc., No. 15-cv-8230, S.D. N.Y.).

Mealey's Insurance - Insureds Not Entitled To Double Recovery In Hurricane Ike Suit, 5th Circuit Affirms

NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on Nov. 6 affirmed a lower federal court's ruling that Texas insureds are not entitled to additional building flood damage arising from Hurricane Ike but reversed the lower court's finding that the insureds are owed $2,500 for damaged car parts (Brian Lowery, et al v. Fidelity National Property and Casualty Insurance Co., No. 14-40135, 5th Cir.; 2015 U.S. App. LEXIS 19443).

Mealey's Insurance - United States Moves To Certify Interlocutory Appeal, Seeks Stay In MR-GO Dispute

WASHINGTON, D.C. - The U.S. government on Oct. 30 filed a motion for the U.S. Court of Federal Claims to certify for interlocutory appeal its May 1 ruling that held the U.S. Army Corps of Engineers' construction, expansions, operation and failure to maintain a 77-mile-long navigational channel caused subsequent storm surge that was exacerbated during Hurricane Katrina and other storms and caused flooding on property that effected a temporary taking under the U.S. Constitution's Fifth Amendment (St. Bernard Parish Government v. The United States, No. 05-1119, Fed. Clms.).

Mealey's Insurance - Louisiana High Court Reverses Ruling Against Insurer In Hurricane Katrina Dispute

NEW ORLEANS - The Louisiana Supreme Court on Oct. 14 found that the doctrine of lis pendens applies to plaintiffs' individual lawsuits even though they were not named parties or joined in first-filed Hurricane Katrina class actions, reversing and remanding a lower court's ruling that denied the insurer's exception of lis pendens (Thelma Aisola v. Louisiana Citizens Property Insurance Corp., 2014-CC-1708, La. Sup.).