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Contracts
Breach of Contract

Everest National Insurance Company v. Shiftpixy Inc.

Published: Nov. 3, 2023 | Result Date: Jul. 12, 2023 | Filing Date: Dec. 16, 2020 |

Case number: 8:20-cv-02362-HDV-KES Settlement –  $800,000

Judge

Hernan D. Vera

Court

CD CA


Attorneys

Plaintiff

Sheryl W. Leichenger
(Selman, Leichenger, Edson, Hsu, Newman & Moore LLP)

Wendy M. Schenk
(Selman, Leichenger, Edson, Hsu, Newman & Moore LLP)

James R. Tenero
(Selman, Leichenger, Edson, Hsu, Newman & Moore LLP)


Defendant

Nicholas P. Roxborough
(Roxborough, Pomerance, Nye & Adreani LLP)

Vincent S. Gannuscio
(Roxborough, Pomerance, Nye & Adreani LLP)

Joseph C. Gjonola
(Roxborough, Pomerance, Nye & Adreani LLP)


Facts

Everest National Insurance Company (Everest) was the former workers' compensation insurance carrier for Shiftpixy Inc. On December 18, 2020, Everest brought a complaint against Shiftpixy Inc., alleging breach of contract. On February 5, 2021, the Company filed an Answer to Everest's complaint denying its claims for relief, and also filed a cross-claim against the third-party claims administrator, Gallagher Bassett Services, Inc., for claims sounding in breach of contract and negligence based upon its administration of claims arising under the policy.

Contentions

PLAINTIFF'S CONTENTIONS: Plaintiff contended that defendant owed certain premium payments under a retrospective rated policy and sought damages of approximately $600,000.

DEFENDANT'S CONTENTIONS: Defendant denied all contentions.

Result

Stipulated judgment for plaintiff $800,000. The court dismissed the Company's complaint against Gallagher Bassett without prejudice to re-filing in another forum.


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