Lexington Insurance v. Travelers Indemnity Co. of Illinois

MEMORANDUM ***

This case arises from a dispute between Lexington Insurance Company and Hous *587 ton Casualty Company (“the primary insurers” or “plaintiffs”) and Commonwealth Insurance Company, Travelers Indemnity Company of Illinois, Reliance Insurance Company of Illinois, Hartford Fire Insurance Company, and American International Specialty Lines Insurance Company (“the excess insurers” or “defendants”), concerning coverage of a claim for the arson of four different Contra Costa County courthouses in California. The primary insurers contend that all four fires constitute a single occurrence under the property insurance policy, while the excess insurers assert that each fire represented a separate occurrence. The district court agreed with the excess insurers and granted their cross-motion for summary judgment. The primary insurers appeal the judgment. We have jurisdiction under 28 U.S.C. § 1291 (2000), and we affirm the decision of the district court.

I. BACKGROUND

The property loss in this case resulted from arson fires at four different courthouses in Contra Costa County (“the County”). The first fire occurred on August 28, 1995 at the Walnut Creek Municipal Court in…