Preis
Preis v. American Indemnity Co.
Opinion
Opinion
Johnson, J.
This is an appeal by plaintiffs Tim Preis, California Trust Deed Group, and Trinity Valley Savings and Loan Association from a summary judgment in favor of defendants Appleby and Sterling and American Indemnity Company. We reverse.
Statement of Facts and Proceedings Below
Tim Preis, California Trust Deed Group, and Trinity Valley Savings and Loan Association filed suit against American Indemnity Company (American), an insurance carrier, and Appleby and Sterling (Appleby), American’s general agent, for refusing to pay insurance proceeds on property damáged by fire.
The following facts are undisputed: In 1985, Mr. Preis purchased an apartment building referred to as the South Kenwood properties. The property was encumbered by a deed of trust held by Trinity Valley, and a second deed of trust held by California Trust Deed Group (CTDG).
Before Mr. Preis purchased the South Kenwood properties, they were covered under an insurance policy issued by American. The policy period was from September 24, 1985, to September 24, 1986. The named insureds were Albert Leon and Michael Henschell. The policy was produced by the A1 Schlom Insurance Agency, acting as an insurance broker.…