University Partners v. Maryland Casualty CA3

FACTS AND PROCEEDINGS

Prior to July 27, 2005, Westley was the managing member of University Partners, LLC, the successor in interest of 300 University Avenue, Ltd. (University Partners). University Partners owned a building located at 300 University Avenue in Sacramento (Building). On that date, the Building was destroyed by fire. Prior to May 30, 2001, the Building was insured under a policy issued by Fireman’s Fund Insurance Company and obtained from defendants John O. Bronson, a

3 California corporation, and one of its employees, Paul F. Bystrowski (hereafter collectively Bronson). Although the Fireman’s Fund policy contained a coverage limit of $2,431,000, it included a policy amendment for GRC coverage, which provided that, in the event of a covered loss of the Building, the insurer would pay the full amount required to rebuild the structure without regard to the coverage limit. Prior to the renewal date of the Fireman’s Fund policy, University Partners approached Cummins to determine if it could obtain equivalent coverage at a lower price. Bronson had previously prepared a one-page document titled “Evidence of Property Insurance” (the Evidence Form) that briefly listed the…