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Insurance
Bad Faith
Breach of Contract

Steve Lederman v. Allstate Insurance Co.

Published: Apr. 12, 2005 | Result Date: Nov. 4, 2004 | Filing Date: Jan. 1, 1900 |

Case number: SAC0300622CJC Verdict –  $0

Judge

Cormac J. Carney

Court

USDC Central


Attorneys

Plaintiff

Frank Frisenda Jr.


Defendant

Deborah A. Berthel

Gregory Michael MacGregor


Experts

Plaintiff

Jerry Zerg
(technical)

Defendant

John R. Price
(technical)

Boyd A. Veenstra
(technical)

Peter G. Kudrave
(technical)

Facts

Steven Lederman, a Beverly Hills homeowner, held an insurance policy with Allstate Insurance Company. In 1998 after his home allegedly sustained serious rain and wind damage, Lederman filed a claim under his homeowner's insurance policy and was informed that the limits on his policy were $350,000. Lederman claimed that the policy was for an unlimited amount. After conducting an investigation, Allstate assisted Lederman in asserting a claim that the agent had issued an incorrect policy. This claim was ultimately settled. In 2002, Lederman sued Allstate for breach of contract and bad faith. He alleged that Allstate did not pay him in full for the damages to his home. The defendant contended that it paid the claim to the limits of the policy. A defense expert further contended that the plaintiff had allowed his home to fall into disrepair in the 25-year period he resided in it.

Settlement Discussions

The plaintiff demanded $10 million.

Result

Defense

Deliberation

two hours

Poll

9-0

Length

seven days


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