Fireman's Fund Insurance v. Maryland Casualty Co.

Good Law

1994 Cal. App. LEXIS 48·21 Cal. App. 4th 1586·26 Cal. Rptr. 2d 762·94 Daily Journal DAR 895·94 Cal. Daily Op. Serv. 562

Court of Appeal of CaliforniaJanuary 21, 1994Docket Nos. D017339, D017510California5,667 words

Opinion

Froehlich, J.

Fireman’s Fund Insurance Company (Fireman’s) appeals from an order dismissing its complaint after summary judgment was entered in favor of respondent Maryland Casualty Company (Maryland). Fireman’s suit against Maryland sought reimbursement for some or all of the funds Fireman’s had advanced to settle a lawsuit by a third party. Fireman’s contended Maryland improperly settled a construction defect case by misallocating its “primary” policy proceeds, and as a result Fireman’s was required to pay, under its “excess” policy, $2,453,000 to a third party.

The trial court granted summary judgment in Maryland’s favor on numerous grounds. We must synopsize this sprawling litigation before examining Fireman’s contentions.

I

Background

A. The Parties

Fireman’s and Maryland were the liability insurers for certain parties (collectively referred to as Kelly) who developed a condominium complex. Maryland issued the “primary” policies to Kelly for six successive years, from 1979-1980 to 1984-1985. During this period various insurers provided “excess” coverage to Kelly. One of these “excess insurers” was Fireman’s, whose policy was in effect for one year: 1984-1985.

B. The Original…

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Parties

FIREMAN'S FUND INSURANCE COMPANY
Plaintiff
MARYLAND CASUALTY COMPANY
Defendant

Judges

Froehlich

Cites (42)

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219 Cal. App. 3d 111