R & R Sails, Inc. v. Ins. Co. of State of Pennsylvania

ORDER GRANTING IN PART AND DENYING IN PART DEFENDANT’S MOTION FOR SUMMARY JUDGMENT

This matter comes before the Court on Defendant Insurance Company of the State of Pennsylvania’s (“Defendant”) Motion for Summary Judgment [Doc. No. 55]. Defendant requests an order of this Court entering summary judgment in Defendant’s favor as to all claims brought by Plaintiff R & R Sails, Inc., doing business as Hobie Cat Company (“Plaintiff’). Plaintiff opposes the motion [Doc. No. 59]. Defendant filed a reply [Doc. No. 60]. For the following reasons, the Court GRANTS IN PART and DENIES IN PART Defendant’s motion.

Background

This diversity case is an insurance dispute arising out of property damage resulting from massive wildfires in Australia in December 2001. The following material facts are not in dispute. Hobie Cat Australasia Party Ltd. (“HCAP”) is an Australian corporation with its principal place of business in New South Wales, Australia. HCAP is a wholly owned subsidiary of Plaintiff, its parent corporation. Plaintiff is a Missouri corporation with its principal place of business in Oceanside, California. HCAP manufactures, distributes, and markets recreational and competitive-grade…