By Andrew Rock, Esq.
Andrew Rock, Esq. Courtesy, The Rock Law Group, PA
Collier County Circuit Judge Hugh Hayes recently granted a Final Judgment for the insurance carrier in an appraisal case with the Strems Law Firm. Plaintiffs filed a water intrusion insurance claim for an event in 2015. The carrier accepted coverage for the claim and determined that the amount of loss was less than the applicable deductible. The carrier paid a mitigation company’s invoice in full.
Without submitting a counter-estimate to demonstrate that they disputed the carrier’s position, the policyholders filed suit for breach of contract. After the parties engaged in discovery, appeared before the court, and mediated to an impasse over a period of approximately one year, the carrier demanded appraisal.
The trial court judge entered an order requiring appraisal, but refused to abate the litigation. The appraisal concluded when the parties’ appraisers agreed on the amount of loss, without the involvement of an umpire. Notably, the carrier had denied coverage for the roof but accepted coverage for interior damage, consistent with provisions in the insurance policy. The policyholder’s appraiser, in the course of the appraisal proceeding, agreed with the carrier’s position that the roof did not sustain damage that would have been covered under the policy.
The carrier paid the appraisal award in full and on time, then filed a Motion for Summary Final Judgment. The Motion was argued before Judge Hayes, who, at the hearing, announced his ruling in favor of the carrier.
Many insurance claims have been placed into appraisal as a result of Hurricane Irma and other recent events. Florida courts have developed a growing body of case law supporting appraisal of these claims, including those which involved causation-related issues, like the roof in this instance.
The body of case law concerning ancillary claims, including attorneys’ fees and costs, is also growing. In matters where the policyholder has initiated suit before engaging in any meaningful exchange consistent with the claim process, attorneys’ fees and costs should not be awardable. Plaintiff sought attorney fees in this matter, which it will not be recovering without a successful challenge to the court’s decision.
Please let me know if you would like copies of any filings in this matter.
Andrew Rock is founding shareholder of The Rock Law Group, P.A of Maitland, Florida. The AV rated firm specializes in insurance defense and its partners have a combined 106 years of experience. Practice areas include first party commercial and personal lines property claims; complex insurance coverage disputes; personal injury claims, including those involving serious injuries; products liability; premises liability; bad faith; personal injury protection claims; and insurance fraud claims.
LMA Newsletter of 3-30-20
