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Insurance
Bad Faith
Breach of Implied Warranty

Stafford Williams, James Culligan, Daniel Rohrback dba Beach Cities Enterprises v. Insurance Company of the West

Published: Oct. 7, 2003 | Result Date: Feb. 27, 2003 | Filing Date: Jan. 1, 1900 |

Case number: BC251743 Arbitration –  $0

Judge

Gregory W. Alarcon

Court

L.A. Superior Central


Attorneys

Plaintiff

Michael R. Mirharooni

Charles H. Gardner


Defendant

Sterling J. Stires


Experts

Plaintiff

Paul Chappell
(technical)

Defendant

Philippe J. Van Herle
(technical)

Facts

Plaintiff Stafford Williams insured his charter vessel with a policy issued by defendant Insurance Company of the West. The policy covered damages for named perils, such as latent defects in the vessel's machinery. Two engines on the vessel broke down, causing substantial damage to the vessel. The defendant refused to cover the plaintiff's losses, contending that they were not covered by the policy. The plaintiff sued the defendant for breach of the insurance policy and bad faith failure to provide insurance benefits.

Other Information

According to the defendant: Two months prior to the binding arbitration, the plaintiff's counsel demanded no less than $1 million to settle the case. The defendant presented no offers to settle.


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