Roepel

FACTS AND PROCEDURAL BACKGROUND

1. The Leona Valley Residence and the January 2002 Fire Kerri and James Roepel (the Roepels) married in July 1987. The Roepels purchased the Leona Valley residence from James’s parents in 2001. In January 2002, the home suffered extensive fire damage. The house was uninhabitable.

2 The Roepels submitted claims to Allstate Insurance Company (Allstate) for damage to the dwelling, another structure, loss of personal property and additional living expenses. Allstate and the Roepels settled as to the dwelling damage for $308,500, with $60,000 withheld by Allstate pending completion of 70 percent of the repairs. The Roepels submitted a sworn statement in proof of loss claiming $289,360 as the value of their damaged personal property. Allstate denied their personal property claim because of a conflict between the statements given by the Roepels. In February 2002, the Roepels entered into a $300,000 burn restoration contract with Eagle Construction. Work, however, stopped sometime between March and June 2003, the result of the Roepels’ divorce and problems with Eagle Construction. On November 6, 2003, the Los Angeles County Fire Department issued a…