 |
 |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|
|
|
|
County Forest Products8/17/2000
Reporter of Decisions
Argued: April 5, 2000
Green Mountain Agency, Inc., Sphere Drake Underwriting Management, Ltd., and Terra Nova Insurance Company, Ltd., appeal the judgment of the Superior Court (Aroostook County, Pierson, J.) in favor of County Forest Products, Inc., on its complaint and F.A. Peabody Company on its cross-claim. County Forest suffered a fire loss and filed this action against the insurance agencies and insurers alleging various claims arising from the nonpayment of the full amount of the fire insurance. Sphere Drake and Terra Nova, the insurers, appeal: (1) the court's conclusion that Green Mountain is their agent with apparent authority to act for them; (2) the court's reformation of the insurance contract; (3) the court's finding that the insurers and Green Mountain are estopped from denying increased coverage limits; (4) the award of consequential damages to County Forest; and (5) the summary judgment in favor of County Forest affirming an appraisal award. Green Mountain appeals: (1) the finding that it is secondarily liable for the amount owing under the insurance policy; and (2) the finding of joint and several liability for the consequential damages. Both the insurers and Green Mountain appeal: (1) the refusal of the court to reduce the judgment against them by the amount of the settlement between County Forest and Peabody; and (2) the award of damages to Peabody on Peabody's cross-claim. County Forest appeals the denial of its motion to add Galen Porter, Jr., its owner, as a plaintiff in the action. We affirm the judgment for County Forest in all respects except that we remand to the Superior Court to determine whether the judgment should be reduced by the amount of County Forest's settlement with Peabody. We vacate the judgment for Peabody on the cross-claim and remand the cross-claim to allow the Superior Court to resolve the apparent inconsistency arising from its judgment to Peabody on the cross-claim and its denial of Green Mountain's request to reduce the judgment to County Forest.
I. PARTIES
The plaintiff is County Forest Products, Inc., a Maine corporation that operated a sawmill, a planing mill, and sold dimensional lumber at its place of business in Crystal. Galen Porter, Jr., is the president and sole owner of County Forest.
F.A. Peabody Company, one of the defendants, is a Maine corporation with an office located in Houlton. It is in the business of selling and arranging for insurance. Peabody began obtaining insurance for Porter's businesses in the mid-1980s. Peabody obtained the fire insurance policy for County Forest at issue in this case. The insurance agent employed by Peabody who obtained the insurance for County Forest is Scott Austin.
Another defendant is Green Mountain Agency, Inc., a surplus and excess lines agency, which means that it procures insurance for customers with specialized risks who might not otherwise be able to obtain coverage through standard insurers. Green Mountain has an office in Vermont. In late 1994 and early 1995, Peabody arranged for the issuance of a fire insurance policy for County Forest through Green Mountain. The underwriter at Green Mountain with whom Peabody had contact is Thomas Palumbo, the vice-president of Green Mountain. Joseph Palumbo is the president of Green Mountain.
Green Mountain arranged to have two insurers, with whom it had contracts, issue the fire insurance policy for County Forest. The two insurance companies, Sphere Drake Underwriting Management, Ltd., and Terra Nova Insurance Company, Ltd., are defendants, and both are located in England. Green Mountain dealt with the two insurers through an intermediary, Warren, Exa
Page 1 2 3 4 5 6 7 8 9 10 11 12 13 Maine Personal Injury Attorneys
Personal Injury Lawyers
|
| |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|