MH Obtains Dismissal of Complaint for Insurer Client

February 25, 2020

Case Studies

MH’s California lawyers recently obtained dismissal of claims against our insurance company client involving claims of fraud, negligence, and negligent misrepresentation. Plaintiff claimed that our client fraudulently concealed an erroneous insurance illustration Plaintiff requested in 2013 on behalf of his clients, a couple for whom Plaintiff was purportedly acting as a “consultant.” Plaintiff claimed that the alleged concealment caused him to file an ultimately unsuccessful lawsuit against another insurance agent (who was also working for Plaintiff’s clients at the time). Judge Dolly M. Gee of the U.S. District Court for the Central District of California issued an order granting MH’s motion to dismiss and finding that Plaintiff was unquestionably on notice of his purported claims against our clients as of August 2014 at the latest, as illustrated by documents filed in Plaintiff’s prior unsuccessful lawsuit. The court ruled that all of Plaintiff’s claims were therefore barred by the applicable statutes of limitations (2 years for negligence claims, and 3 years for fraud). Although leave to amend was granted, the court noted that it is “skeptical that the allegation of any new or additional facts could demonstrate that a reasonably prudent person would not have been suspicious…” as of August 2014.

MH attorneys Jodi Swick and Allison Fernandez litigated the case, and Charan Higbee vigorously defended our clients against Plaintiff’s onerous and harassing third-party discovery demands in the earlier litigation.