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Hashimoto v. Republic Insurance Company2/13/2002
running up the street. I was coming back and saw my brother getting beat on. I never got to where he was. I was walking back towards my house and I don't remember if I had a confrontation with someone else or not. I remember having a confrontation with a guy, I think it was after having a confrontation with a black guy. The black guy was coming at me first with a brick. Someone hit me in the side of the head with the brick and then next thing I know the knife is in my hand and I put it out in front of me and the guy kept coming at me. I remember hitting him in the chest with the knife. And I don't know who I had the confrontation with after the black guy. . . ."
Matt also provided a taped statement. In his taped statement Matt stated he had difficulty recalling all the specific details. He thought his lack of memory could be the result of being injured and/or scared. In this statement Matt recalled stabbing other men as well, including a person fitting the description of Wade Hashimoto. Matt stated, "I don't know about the other guy. I know that he was kinda' fat because he came at me and I . . . all I saw was his body."
Detectives Peterson and Vena investigated Wade Hashimoto's killing. They never recovered the knife used in the stabbings. During their investigation the detectives interviewed and took witness statements from approximately 40 of the party attendees. No eyewitness directly implicated Matt in Wade Hashimoto's death. The district attorney rejected the case for prosecution.
In April 1990 Wade's parents, plaintiffs and appellants Claude and Carol Hashimoto (Hashimotos) brought an action for wrongful death against Matt, his brother Greg and his parents. Their complaint alleged causes of action for intentional assault and battery, and for negligence. The Horeczko family tendered defense of the action to their homeowners' insurance carrier, defendant and appellant, Republic Insurance Company (Republic).
The Horeczkos' local insurance agent forwarded the Hashimotos' complaint to Republic's regional office in North Hollywood accompanied by copies of numerous newspaper articles concerning the incident. The articles described how Wade Hashimoto had been stabbed to death after a party given at Matt's house. The articles interviewed and identified by name numerous eyewitnesses to the fights after the party. The articles also identified by name the other stabbing victims. The investigating detectives gave statements to the press regarding their ongoing investigation of Matt as the likely perpetrator. The Horeczkos had hired criminal lawyer Henry Salcido to defend Matt in the criminal investigation. An associate of Salcido gave statements to the press in which he revealed Matt had given statements to the police after his arrest. The articles reported Matt in his statement recalled having a knife in his pocket during the fights but did not remember many other details. Several of the articles suggested Matt had stabbed Wade Hashimoto in self-defense.
Some of the articles stated Wade Hashimoto and the two other stabbing victims belonged to a gang called the "El Posse." The articles explained the El Posse was not a criminal street gang, but a reference to a group of middle class, party-going, high school age persons involved in sports.
Republic assumed the defense of the lawsuit. The Republic homeowner's policy had a liability limit of $300,000 per occurrence and in the aggregate for all insureds. Republic appointed attorney Terry Sannita to represent the Horeczko family. Republic forwarded Sannita copies of the newspaper articles and the Hashimotos' complaint. The Republic claims adjuster wrote in his log "appears our insureds' son stabbed and
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