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The Ultimate Sanction: Dismissal as a Spoliation Remedy | Cozen O'Connor


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It will come as no surprise to subrogation professionals that retaining evidence for future inspection is essential to successfully prosecuting a subrogation claim. A new opinion out of the U.S. District Court for the Western District of Virginia demonstrates just how essential evidence retention is. In
Nautilus Insurance Co. v. Appalachian Power Co., Case No. 7:19-cv-00380 (W.D. Va.), Nautilus brought an action against the defendant utility for damages to a workshop insured by Nautilus. Nautilus retained a fire investigator, who inspected the scene and advised Nautilus of the importance of preserving the fire scene so Appalachian Power could participate. Nautilus’s adjuster acknowledged this, but later told the fire investigator to close his file and advised the insured that demolition could begin. Nearly three months later, Nautilus placed Appalachian Power on notice of a potential claim. Appalachian Power s ....

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Nev. Justices Say Insurer Can Recoup Costs From Implant Co.


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Nev. Justices Say Insurer Can Recoup Costs From Implant Co.
Law360 (March 12, 2021, 6:26 PM EST) Nautilus Insurance Co. can recoup the money it spent to defend a medical implant company in a suit over a soured business partnership, a split Nevada high court said Thursday in ruling that the insurer is entitled to reimbursement because a judge found it never owed coverage in the first place.
Responding to a certified question from a Ninth Circuit panel, the Nevada Supreme Court in a 4-3 opinion paved the way for Nautilus to recover the $500,000 it paid to defend Access Medical LLC and manager Robert Clark Wood II in the underlying action brought by Wood s former business partner,. ....

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Insurer Freed From Covering Tattoo Supply Co.'s Injury Suit


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Insurer Freed From Covering Tattoo Supply Co. s Injury Suit
Law360 (February 1, 2021, 9:23 PM EST) A New Jersey federal judge ruled Monday that Nautilus Insurance Co. is not required to cover a tattoo shop supply company in a personal injury suit because the alleged incident took place in New Jersey and the supplier s insurance only covers occurrences at its location in Brooklyn, New York.
U.S. District Judge Kevin McNulty tossed the suit, holding that Nautilus has no duty to defend or indemnify FYT Supplies Inc. in the underlying suit because the policy s limitation of coverage endorsement expressly bars injuries sustained outside of FYT s Brooklyn premises. ....

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